HomeMy WebLinkAbout143 - 11/19/1985 - ISSUANCE OF SEWER REVENUE REFUNDING AND IMPROVEMENT BONDS, SERIES 1985 IN THE AMOUNT OF $30,715,000 CERTIFIED RECORD
OF
PROCEEDINGS OF THE COUNCIL OF
THE CITY OF FORT COLLINS, COLORADO
RELATING TO AN ORDINANCE
AUTHORIZING THE ISSUANCE OF ITS
SEWER REVENUE REFUNDING AND IMPROVEMENT BONDS
SERIES 1985
DATED NOVEMBER 1 , 1985
IN THE AGGREGATE PRINCIPAL AMOUNT OF $30 , 715 , 000
TABLE OF CONTENTS
(Not a part of this Ordinance)
Page
Section 1 . Definitions and Construction. . . . . . . . . . . . . . . . . . . 2
A. Definitions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
B. Construction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Section 2 . Necessity; Authority for Bonds . . . . . . . . . . . . . . . . . 10
A. Necessity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
B. Authority for Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Section 3 . The Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
A. Authorization. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
B . Bond Details . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
C. Bonds Equally Secured. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
D. Special Obligations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Section 4 . Sale and Delivery of Bonds . . . . . . . . . . . . . . . . . . . . . 28
A. Purchaser ' s Proposal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
B . Award of Contract . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
C. Delivery. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Section 5 . Funds and Accounts Adopted or Created by
Ordinance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
A. Escrow Fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
B. Capital Projects Fund. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38
C. Sewer Fund. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38
D. Operation and Maintenance Fund . . . . . . . . . . . . . . . . . . . . 39
E. Principal and Interest Fund. . . . . . . . . . . . . . . . . . . . . . . 39
F . Debt Service Reserve Fund. . . . . . . . . . . . . . . . . . . . . . . . . 40
G. Termination of Deposits; Use of Moneys in
Principal and Interest Fund and Debt Service
Reserve Fund. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
H. Payment of Additional Subordinate Securities . . . . . . 42
I . Sewer Depreciation and Capital Improvements Fund . . 42
J. Use of Remaining Revenues . . . . . . . . . . . . . . . . . . . . . . . . . 42
K. Budget and Appropriation of Sums . . . . . . . . . . . . . . . . . . 43
Section 6 . General Administration of Funds . . . . . . . . . . . . . . . . 43
A. Places and Times of Deposits . . . . . . . . . . . . . . . . . . . . . . 43
B. Investment of Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43
C. No Liability for Losses Incurred in Performing
Terms of Ordinance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44
( i)
Page
D. Character of Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44
E. Accelerated Payments Optional . . . . . . . . . . . . . . . . . . . . . 44
Section 7 . Priorities ; Liens; Issuance of Additional
Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44
A. First Lien on Pledged Revenues; Equality of Bonds . 44
B. Issuance of Additional Parity Securities . . . . . . . . . . 45
C. Certification of Revenues . . . . . . . . . . . . . . . . . . . . . . . . . 46
D. Subordinate Securities Permitted. . . . . . . . . . . . . . . . . . 46
E. Superior Securities Prohibited. . . . . . . . . . . . . . . . . . . . 47
F. Payment Dates of Additional Bonds . . . . . . . . . . . . . . . . . 47
G. Supplemental Ordinances . . . . . . . . . . . . . . . . . . . . . . . . . . . 47
Section 8 . Covenants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47
A. Rate Maintenance Covenant . . . . . . . . . . . . . . . . . . . . . . . . . 47
B. Collection of Charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48
C. Competent Management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48
D . Performance of Duties . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49
E. Costs of Bond Issue and of Performance. . . . . . . . . . . . 49
F. Contractual Obligations . . . . . . . . . . . . . . . . . . . . . . . . . . . 49
G. Further Assurances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49
H. Conditions Precedent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49
I . Efficient Operation and Maintenance; No Free
Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50
J. Records and Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50
K. Rules, Regulations and Other Details . . . . . . . . . . . . . . 50
L. Payment of Governmental Charges . . . . . . . . . . . . . . . . . . . 50
M. Protection of Security. . . . . . . . . . . . . . . . . . . . . . . . 51
N. Accumulation of Interest Claims . . . . . . . . . . . . . . . . . . . 51
0. Prompt Payment of Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . 51
P. Use of Principal and Interest and Debt Service
Reserve Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51
Q. Additional Securities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
R. Other Liens . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
S . Disposal of Sewerage Facilities Prohibited. . . . . . . . 52
T. Surety Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
U. Arbitrage Covenant . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
V. Disposal of Property. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
W. Loss from Condemnation. . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
X. Inspection of Records . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
Y. Audits Required. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
Z . Insurance and Reconstruction. . . . . . . . . . . . . . . . . . . . . . 53
AA. Completion of Project; Estimated Life of Project . . 54
Section 9 . Defeasance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54
( ii)
Page
Section 10 . Default Provisions and Remedies of
Bond Owners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55
A. Events of Default . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55
B . Remedies for Defaults . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56
C. Rights and Privileges Cumulative. . . . . . . . . . . . . . . . . . 57
D . Duties Upon Default . . . . . . . . . . . . . . . . . . . . . . . . I . . . . . . 57
E. Evidence of Security Owners . . . . . . . . . . . . . . . . . . . . . . . 58
F. Warranty Upon Issuance of Bonds . . . . . . . . . . . . . . . . . . . 59
G. Immunities of Purchaser . . . . . . . . . . . . . . . . . . . . . . . . . . . 59
Section 11 . Amendment of Ordinance . . . . . . . . . . . . . . . . . . . . . . . . . 59
A. Amendment of Ordinance Not Requiring Consent
of Bond Owners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59
B . Amendment of Ordinance Requiring Consent of
BondOwners . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59
C. Time for and Consent to Amendment . . . . . . . . . . . . . . . . . 60
D . Unanimous Consent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
E. Exclusion of Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
F. Notation on Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
G. Proof of Instruments and Bonds . . . . . . . . . . . . . . . . . . . . 62
Section 12 . Miscellaneous . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
A. Character of Agreement . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
B. No Pledge of Property. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
C. Statute of Limitations . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
D. Delegated Duties . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63
E. Successors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64
F. Rights and Immunities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64
G. Ratification. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64
H. Facsimile Signatures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65
I . Ordinance Irrepealable . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65
J. Repealer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65
K. Severability. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65
( iii)
STATE OF COLORADO )
COUNTY OF LARIMER ) ss .
CITY OF FORT COLLINS )
The Council of the City of Fort Collins , Colorado, held a
regular meeting at Council Chambers , City Hall , 300 West LaPorte
Avenue, Fort Collins , Colorado, on Tuesday, the 5th day of
November , 1985 , at the hour of 6 : 30 p.m.
The following persons were present :
Council Members : Barbara S . Rutstein, Mayor
Kelly Ohlson, Assistant Mayor
E. John Clarke
Larry Estrada
Gerald C. Horak
John B. Knezovich
Ed Stoner
Interim City Manager : Richard H. Shannon
Finance Director : James H. Harmon
City Clerk: Wanda M. Krajicek
City Attorney: John H. Huisjen
The following persons were absent :
None
Council Member Clarke introduced the
following Ordinance, which was read by title, copies of the full
Ordinance having been available in the office of the City Clerk
at least forty-eight (48) hours prior to the time the Ordinance
was introduced for each Council Member and for inspection and
copying by the general public :
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ORDINANCE NO. 143 , 1985
AN ORDINANCE AUTHORIZING THE ISSUANCE OF CITY
OF FORT COLLINS, COLORADO, SEWER REVENUE
REFUNDING AND IMPROVEMENT BONDS , SERIES 1985,
DATED NOVEMBER 1 , 1985 , IN THE AGGREGATE
PRINCIPAL AMOUNT OF $30 , 715 , 000 .
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS,
COLORADO, AS FOLLOWS :
Section 1 . Definitions and Construction .
A. Definitions . In this Ordinance the following terms
have the following respective meanings unless the context hereof
clearly requires otherwise :
( 1) Acquire or Acquisition : the design, construction,
reconstruction, purchase, lease, gift , transfer , assignment ,
option to purchase, grant from the federal government or any
public body or other person, endowment , bequest, devise,
installation, condemnation, contract , or other acquirement or
other provision, or any combination thereof , of facilities ,
other property, any project , or an interest therein, as
authorized by the Act .
(2) Act : part 4 of article 35 of title 31 , Colorado
Revised Statutes , as amended.
(3) Additional Parity Bonds : any revenue bonds of the City
payable in whole or in part from Pledged Revenues , issued after
the date hereof, pursuant to and in accordance with the
provisions of Section 7B of this Ordinance and the Constitution
and laws of the State, having a lien on the Pledged Revenues
equal to or on a parity with the lien thereon of the Bonds .
(4) Average Annual Debt Service Requirements : the
aggregate of all Debt Service Requirements due on the Bonds or
other given issue of Parity Securities for all Bond Years
beginning with the Bond Year in which Debt Service Requirements
of the Bonds or such Parity Securities are first payable and
ending with the Bond Year in which the last of the Debt Service
Requirements are payable divided by the number of such years .
(5) Bond Year : for the purpose of this Ordinance, the
twelve ( 12) )months commencing on the second day of December of
any calendar year and ending on the first day of December of the
next succeeding calendar year .
(6) Bonds : those securities issued hereunder and
designated as the "City of Fort Collins , Colorado, Sewer Revenue
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Refunding and Improvement Bonds , Series 1985 , " dated November 1 ,
1985, in the aggregate principal amount of $30 , 715 , 000 .
(7) Capital Pr -3ects Fund: the special fund created by
Ordinance No . 28, 1980 , of the City and referred to in
Section 5B hereof .
(8) City: the City of Fort Collins , Colorado .
(9) Combined Average Annual Debt Service Requirements : the
sum of the Average Annual Debt Service Requirements for all
issues of Parity Securities for which the computation is being
made.
( 10) Commercial Bank: a state or national bank or trust
company which is a member of the Federal Deposit Insurance
Corporation which is located within the State .
( 11) Comparable Bond Year : in connection with any Fiscal
Year, the Bond Year which ends in such Fiscal Year . For
example, for the Fiscal Year commencing on January 1 , 1986 , the
Comparable Bond Year for the Bonds commences on December 2,
1985, and ends on December 1 , 1986 .
( 12) Cost of the Project : all or any part of the cost of
Acquisition, Improvement and Equipment of all or any part of the
Project to be financed with the proceeds of the Bonds ,
including, without limitation, all or any property, rights ,
easements, privileges , agreements , and franchises deemed by the
City to be necessary or useful and convenient therefor or in
connection therewith, interest or discount on the Bonds , costs
of issuance of the Bonds , engineering and inspection costs and
legal expenses, costs of financial , professional , and other
estimates and advice, contingencies , any administrative,
operating, and other expenses of the City prior to and during
such Acquisition, Improvement and Equipment, and additionally
during a period of not exceeding one year after the completion
thereof, as may be estimated and determined by the City Council ,
and all such other expenses as may be necessary or incident to
the financing, Acquisition, Improvement , Equipment , and
completion of the Project or any part thereof , and the placing
of the same in operation, provision of reserves for working
capital , operation, maintenance, or replacement expenses , or for
payment or security of principal of or interest on the Bonds
during or after such Acquisition, Improvement or Equipment as
the City may determine, and also reimbursements to the City or
to any Person of any moneys theretofore expended for the
purposes of the City or other public body or to the federal
government of any moneys theretofore expended for or in
connection with the Project .
( 13 ) Debt Service Requirements : the principal of and
interest on the Bonds, Additional Parity Bonds and any other
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securities payable from the Pledged Revenues and heretofore or
hereafter issued, if any, or such part of such securities as may
be designated, as such principal and interest become due .
( 14 ) Debt Service Reserve Fund : the special fund created by
and designated in Ordinance No . 9 , 1975 , of the City as the
"City of Fort Collins Sewer Refunding Revenue Bonds Reserve
Fund" and referred to in Section 5F hereof .
( 15) Equip or Equipment : the furnishing of all necessary or
desirable, related or appurtenant machinery and other
facilities , or any combination thereof , appertaining to any
property, project or interest therein, as authorized by the Act .
( 16) Escrow Agreement : the Escrow Agreement, dated as of
November 1 , 1985 , between the City and the Escrow Bank .
( 17) Escrow Fund : the special fund created by and
designated in Section 5A hereof as the "City of Fort Collins ,
Colorado, Sewer Revenue Refunding and Improvement Bonds , Series
1985, Escrow Fund . "
( 18) Escrow Bank : First Interstate Bank of Fort Collins ,
N.A. , Fort Collins , Colorado, or its successors .
( 19) Event of Default : any one of the events stated in
Section 10 hereof .
(20 ) Federal Securities : bills , certificates of indebted-
ness, notes , or bonds which are direct obligations of, or the
principal and interest of which obligations are unconditionally
guaranteed by, the United States of America .
(21) Fiscal Year : the twelve ( 12) months commencing on the
first day of January of any calendar year and ending on the last
day of December of such calendar year or such other twelve ( 12)
month period as may from time to time be designated by the City
Council or by State statute as the Fiscal Year of the City.
(22) General Improvements : any Improvement to or of the
Sewerage Facilities of the City, other than a Special Project .
(23 ) Improve or Improvement : the addition, extension,
enlargement, betterment , replacement or improvement or any
combination thereof , of facilities , other property, any project ,
or any interest therein, as authorized by the Act , but not
including reconstruction, replacement , repair or other renewal
of existing facilities that does not increase the capacity of
the Sewerage Facilities or improve the treatment technology.
(24 ) Income : all income from rates , fees , tolls , and
charges and tap fees or any combination thereof for the services
furnished by, or the direct or indirect connection with, or the
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use of the Sewerage Facilities , including, without limiting the
generality of the foregoing, minimum charges , charges for the
availability of service, disconnection fees , reconnection fees ,
and reasonable penalties for any delinquencies , except all sewer
trunk line assessments and sewer main line assessments , all
supplemental user fees payable pursuant to any contract between
the City and any user of any Sewerage Facilities , and all income
or other gain, if any, from any investment of Pledged Revenues
and of the proceeds of securities payable from Pledged Revenues ,
unless the City Council otherwise provides by ordinance.
(25) Net Pledged Revenues : all Income remaining after the
deduction of Operation and Maintenance Expenses .
(26) 1975 Bonds : those securities issued under Ordinance
No. 9 , 1975, of the City, as amended by Ordinance No . 27 , 1975,
and Ordinance No . 101 , 1982 , of the City and designated as the
"City of Fort Collins , Colorado, Sewer Refunding Revenue Bonds ,
Series 1975 , " dated March 1 , 1975 , in the original aggregate
principal amount of $3 , 155, 000 .
(27) 1982 Bonds : those securities issued under Ordinance
No . 101 , 1982 , of the City and designated as the "City of Fort
Collins , Colorado, Sewer Revenue Bonds , Series 1982 , " dated
October 1 , 1982, in the original aggregate principal amount of
$2,200, 000 .
(28) 1984 Bonds : those securities issued under Ordinance
No . 158, 1984 , of the City and designated as the "City of Fort
Collins, Colorado, Sewer Revenue Bonds , Series 1984 , dated
November 1 , 1984 , in the original aggregate principal amount of
$11 , 000 , 000 .
(29) Operation and Maintenance Expenses : such reasonable
and necessary current expenses of the City, paid or accrued, of
operating, maintaining and repairing the Sewerage Facilities as
may be determined by the City Council , and the term may include
at the City Council ' s option, except as limited by contract or
otherwise limited by law, without limiting the generality of the
foregoing:
(a) Engineering, auditing, legal and other overhead
expenses of the City directly related and reasonably
allocable to the administration, operation and maintenance
of the Sewerage Facilities;
(b) Insurance and surety bond premiums appertaining to
the Sewerage Facilities ;
(c) The reasonable charges of any paying agent ,
registrar , transfer agent or depository or escrow bank
appertaining to the Sewerage Facilities or any bonds or
other securities issued therefor;
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(d) Payments to pension, retirement , health and
hospitalization funds appertaining to the Sewerage
Facilities ;
(e) Any taxes , assessments , franchise fees or other
charges or payments in lieu of the foregoing;
( f) Ordinary and current rentals of equipment or other
property;
(g) Contractual services , professional services ,
salaries , administrative expenses , and costs of labor
appertaining to the Sewerage Facilities and the cost of
materials and supplies used for current operation of the
Sewerage Facilities ;
(h) The costs incurred in the collection of all or any
part of the Pledged Revenues;
( i) Any costs of utility services furnished to the
Sewerage Facilities by the City or otherwise .
"Operation and Maintenance Expenses" does not include:
(a) Any allowance for depreciation;
(b) Any costs of reconstruction, Improvement ,
extensions , or betterments;
(c) Any accumulation of reserves for capital
replacements;
(d) Any reserves for operation, maintenance, or repair
of the Sewerage Facilities ;
(e) Any allowance for the redemption of any bonds or
other securities , or the payment of any interest thereon;
( f) Any liabilities incurred in the Acquisition of any
properties comprising the Project or any existing Sewerage
Facilities or any combination thereof ;
(g) Any other ground of legal liability not based on
contract .
(30) Operation and Maintenance Fund : the special fund
created by and designated as such in Ordinance No . 101 , 1982 ,
and referred to in Section 5D hereof .
(31) Ordinance : this Ordinance No . 143 1985, of the City,
finally adopted by the City Council on November 19 , 1985 , which
provides for the issuance and delivery of the Bonds .
-6-
(32) Outstanding: when used with reference to the Bonds ,
any Additional Parity Bonds or any other designated securities
of the City and as of any particular date, all the Bonds ,
Additional Parity Bonds or any such other securities payable in
whole or in part from the Pledged Revenues or otherwise
pertaining to the Project or the Sewerage Facilities , as the
case may be, in any manner theretofore and thereupon being
executed and delivered, except the following:
(a) Any Bond, Additional Parity Bond or other security
cancelled by the City or on the City' s behalf , at or before
such date;
(b) Any Bond, Additional Parity Bond or other security
held by or on behalf of the City;
(c) Any Bond, Additional Parity Bond or other security
of the City for the payment or the redemption of which
moneys or Federal Securities sufficient to meet all of the
payment requirements of the principal of , the interest on,
and any premium due in connection with the redemption of
such Bond, Additional Parity Bond or other security to the
date of maturity or any Redemption Date thereof, shall have
theretofore been deposited in escrow or in trust with a
Trust Bank for that purpose, as provided in and required by
Section 9 hereof ; and
(d) Any lost , destroyed, or wrongfully taken Bond,
Additional Parity Bond or other security of the City in lieu
of or in substitution for which another bond or other
security shall have been executed and delivered .
(33) Owner : when used in conjunction with any Bond, or any
other designated security, the holder of any bearer instrument
or registered owner of any registered instrument .
(34 ) Parity Securities : bonds or securities payable from
the Pledged Revenues equally or on a parity with the Bonds .
(35) Permitted Investments : any of the following
obligations :
(a) Bonds or other interest-bearing obligations of the
United States of America;
(b) Bonds or other interest-bearing obligations , the
payment of the principal and interest of which is
unconditionally guaranteed by the United States of America;
(c) Repurchase agreements of any marketable security
specified above where the market value of such security is
at all times at least equal to the moneys involved and there
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is a perfected assignment of and security interest in such
security; and
(d) Certificates of deposit in "eligible public
depositories, " as defined by Colorado statutes , which are
insured by FDIC or FSLIC or collateralized in the manner
provided by Colorado statutes .
(36) Person: not only a natural person, corporation, or
other legal entity, but also two or more natural persons ,
corporations , or other legal entities acting jointly as a firm,
partnership, unincorporated association, joint ventures or
otherwise.
(37) Pledged Revenues : all or a portion of the Income . The
term indicates a source of revenues and does not necessarily
indicate all or any portion or other part of such revenues in
the absence of further qualification.
(38) Principal and Interest Fund : the special fund created
by and designated in Ordinance No . 9 , 1975 , of the City as the
"City of Fort Collins Sewer Refunding Revenue Bonds , Series
1975, Bond Fund" and referred to in Section 5E hereof .
(39) Prior Bonds : the 1975 Bonds, the 1982 Bonds , and the
1984 Bonds .
(40) Project : that portion of the Sewerage Facilities for
the Acquisition of which the Bonds are issued hereunder , whether
such Acquisition is undertaken at one time or in stages .
(41) Purchaser : Dillon, Read & Co . Inc . , Dallas , Texas , and
its associates , if any.
(42) Redemption Date: the date fixed for the redemption
prior to maturity of any Bonds or other designated securities
payable from the Pledged Revenues in any notice of prior
redemption authorized by the City, or otherwise fixed and
designated by the City.
(43) Refunding Act : part 1 of article 56 of title 11 ,
Colorado Revised Statutes , as amended.
(44) Security or securities : when used with reference to
securities of the City, any bonds , certificates , notes ,
debentures, temporary bonds or other obligations of the City
issued by the City, or any other evidence of the advancement of
money to the City, as authorized by the Act or other applicable
State law and approved by the City Council .
(45) Sewer Depreciation and Capital Improvements Fund : the
special fund created by the City charter and referred to in
Section 5I hereof .
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(46) Sewer Fund: the special fund created by Ordinance
No . 67, 1974, of the City and referred to in Section 5C hereof .
(47) Sewerage Facilities : any one or more of the various
devices used in the collection, treatment , or disposition of
sewage and industrial wastes of a liquid nature, including,
without limitation, all inlets; collection, drainage, or
disposal lines ; intercepting sewers; sewage disposal plants;
outfall sewers; sewage lagoons ; all pumping, power , and other
equipment and appurtenances; all extensions , improvements ,
remodeling, additions and alterations thereof ; any and all
rights or interests for such sewerage facilities; and all other
necessary, incidental , or appurtenant properties , equipment , and
facilities relating to the foregoing and any such devices which
may be Sewerage Facilities under the Act .
(48) Special Project : any Improvement to or of the Sewerage
Facilities of the City, which using engineering criteria
constitutes a single identifiable "project , " and the estimated
costs of which ( including costs of issuance of any Additional
Parity Bonds or other securities issued therefor , interest on
such Additional Parity Bonds or other securities payable from
the proceeds thereof , and deposits to the Debt Service Reserve
Fund) equal or exceed 100 of the value at cost of the existing
Sewerage Facilities of the City.
(49) State: the State of Colorado .
(50) Subordinate Bonds or Subordinate Securities : bonds or
securities payable from the Pledged Revenues having a lien
thereon subordinate or junior to the lien thereon of the Bonds .
(51) Trust Bank: a Commercial Bank which is authorized to
exercise and is exercising trust powers .
B. Construction . This Ordinance, except where the context
by clear implication herein otherwise requires , shall be
construed as follows :
( 1) Words in the singular include the plural , and words in
the plural include the singular .
(2) Words in the masculine gender include the feminine and
the neuter , and when the sense so indicates words of the neuter
gender refer to any gender .
(3) Articles , sections , subsections , paragraphs and
subparagraphs mentioned by number , letter , or otherwise,
correspond to the respective articles , sections , subsections,
paragraphs and subparagraphs of this Ordinance so numbered or
otherwise so designated.
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(4) The titles and headlines applied to articles , sections
and subsections of this Ordinance are inserted only as a matter
of convenience and ease in reference and in no way define or
limit the scope or intent of any provisions of this Ordinance .
( 5) Any inconsistency between the provisions of this
Ordinance and those of the Act or the Refunding Act is intended
by the City Council . To the extent of any such inconsistency
the provisions of this Ordinance shall be deemed made pursuant
to the City charter and shall supersede to the extent permitted
by law the conflicting provisions of the Act or the Refunding
Act .
Section 2 . Necessity; Authority for Bonds .
A. Necessity. The City has need for and desires to
Acquire the Project for the benefit of the public health of its
inhabitants .
The City has heretofore issued and sold the 1975 Bonds , of
which $1 ,360 , 000 remain Outstanding, bearing the following
numbers, maturing on the following dates in the following years
in the following aggregate principal amounts , bearing interest
at the following per annum interest rates , and being redeemable
prior to maturity at the option of the City, in inverse
numerical order , on June 1 , 1985 , an on any interest payment
date thereafter , upon payment of par , accrued interest and
premium of 3% of principal :
Principal Per Annum
Numbers Dates Years Amounts Interest Rates
360 to 384 June 1 1986 $125 , 000 7 . 00%
385 to 407 December 1 1986 115 , 000 7 . 00
407 to 437 June 1 1987 150 , 000 7 . 00
438 to 458 December 1 1987 105 , 000 7 . 00
459 to 488 June 1 1988 150 , 000 7 . 00
489 to 513 December 1 1988 125 , 000 7 . 00
514 to 543 June 1 1989 150 , 000 7 . 00
544 to 572 December 1 1989 145 , 000 7 . 00
573 to 602 June 1 1990 150 , 000 7 . 00
603 to 631 December 1 1990 145 , 000 7 . 00
The City has also heretofore issued and sold the 1982 Bonds ,
of which $1 ,950 , 000 remain Outstanding, bearing the following
numbers, maturing on October 1 in the following years in the
following aggregate principal amounts , bearing interest at the
following per annum interest rates , and being redeemable prior
to their respective maturity dates , at the option of the City,
in whole or in part, in inverse numerical order , on October 1 ,
1997, and on any interest payment date thereafter , at a price
equal to the principal amount of each bond so redeemed plus
accrued interest thereon to the redemption date :
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Principal Per Annum
Numbers Years Amounts Interest Rates
51 to 75 1986 $125 , 000 12 . 00o
76 to 100 1987 125 , 000 10 . 00
101 to 125 1988 125 , 000 10 . 00
126 to 150 1989 125 , 000 10 . 00
151 to 175 1990 125, 000 10 . 00
176 to 200 1991 125 , 000 9 . 60
201 to 225 1992 125, 000 9 . 75
226 to 250 1993 125 , 000 9 . 90
251 to 275 1994 125 , 000 10 . 00
276 to 300 1995 125 , 000 10 . 15
301 to 320 1996 100 , 000 10 .30
321 to 340 1997 100 , 000 10 . 45
341 to 360 1998 100 , 000 10 . 60
361 to 380 1999 100 , 000 10 . 70
381 to 400 2000 100 , 000 10 . 80
401 to 420 2001 100 , 000 10 . 90
421 to 440 2002 100 , 000 11 . 00
The City has also heretofore issued and sold the 1984 Bonds ,
of which $11 , 000 , 000 remain Outstanding, maturing or becoming
subject to mandatory sinking fund redemption on December 1 in
the following years in the following aggregate principal
amounts , bearing interest at the following per annum interest
rates, and being redeemable prior to their respective maturity
dates, at the option of the City, in whole or in part , in
inverse order of maturity and by lot within a maturity, on
December 1 , 1994 , and on any interest payment date thereafter ,
at a price equal to the principal amount of each bond so
redeemed plus accrued interest thereon to the redemption date
plus a premium expressed as a percentage of the principal amount
of each bond so redeemed, depending on the redemption date:
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Principal Per Annum
Years Amounts Interest Rates
1988 $175 , 000 7 . 75%
1989 190 , 000 8 . 00
1990 200 , 000 8 . 30
1991 220 , 000 8 . 60
1992 235 , 000 8 . 80
1993 255 , 000 9 . 00
1994 275 , 000 9 . 20
1995 300 , 000 9 . 40
1996 325 , 000 9 . 60
1997 360 , 000 10 . 20
1998 390 , 000 10 . 20
1999 430 , 000 10 . 20
2000 475 , 000 10 . 20
2001 520 , 000 10 . 20
2002 575 , 000 10 . 20
2003 630 , 000 10 . 20
2004 695 , 000 10 . 20
2005 770 , 000 10 . 30
2006 850 , 000 10 . 30
2007 940 , 000 10 . 30
2008 1 , 040 , 000 10 . 30
2009 1 , 150 , 000 10 . 30
The premiums payable upon prior redemption of the 1984 Bonds
are as follows :
Redemption Dates Premiums
December 1 , 1994 and June 1 , 1995 2 . 5%
December 1 , 1995 and June 1 , 1996 2 . 0
December 1 , 1996 and June 1 , 1997 1 . 5
December 1 , 1997 and June 1 , 1998 1 . 0
December 1 , 1998 and June 1 , 1999 0 . 5
December 1 , 1999 and Thereafter None
The City wishes to refund, pay and discharge the Prior Bonds
in order to reduce the net effective interest rate; reduce the
total interest payable by issuing bonds at a lower net interest
cost or having a lower net effective interest rate; reduce the
total principal and interest payable thereon in any particular
year or years or effect other economies; modify or eliminate
restrictive contractual limitations appertaining to the
incurring of additional obligations ; or any combination of the
foregoing.
B. Authority For Bonds . The City Council is authorized by
article XX of the Colorado Constitution, the City charter , and
the Act to issue bonds in anticipation of the collection of
revenues of sewerage facilities to pay the cost thereof . The
City Council has determined and hereby determines that all
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limitations imposed by the Act upon the issuance of the Bonds
have been duly and completely met and satisfied.
The City Council is further authorized by article XX of the
Colorado Constitution, the City charter and the Refunding Act to
issue bonds in anticipation of the collection of revenues of
sewerage facilities to refund, pay and discharge the Prior Bonds
for the aforementioned purposes . The City Council has
determined and hereby determines that the provisions and
limitations of the Refunding Act and any other applicable law
imposed on the issuance of the Bonds have been met .
Section 3 . The Bonds .
A. Authorization. The Bonds , payable as to all Debt
Service Requirements solely out of Net Pledged Revenues, are
hereby authorized to be issued pursuant to article XX of the
Colorado Constitution, the City charter, the Act , the Refunding
Act and the terms of this Ordinance, and the City pledges
irrevocably (but not necessarily exclusively) the Net Pledged
Revenues to the payment of the Debt Service Requirements of the
Bonds, the proceeds of the Bonds to be used solely to defray the
Cost of the Project and to refund, pay and discharge the Prior
Bonds ,
B. Bond Details .
( 1) Generally. The Bonds shall be issued in fully
registered form in denominations of $5, 000 or any integral
multiple thereof , provided that no Bond shall be issued in any
denomination larger than the aggregate principal amount maturing
on the maturity date of such Bond and that no Bond shall be made
payable on more than one maturity date .
Pursuant to the recommendations of the Committee on Uniform
Security Identification Procedures , CUSIP numbers may be printed
on the Bonds .
The Bonds shall mature on December 1 in each of the
following years and principal amounts and shall bear interest
from November 1 , 1985 , or the interest payment date to which
interest has been paid next preceding their respective dates ,
whichever is later , to their respective maturity dates , except
if redeemed prior thereto, at the following per annum interest
rates :
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Principal Per Annum
Years Amounts Interest Rates
1986 $ 325 , 000 5 . 5000
1987 520 , 000 6 . 000
1988 885 , 000 6 . 500
1989 940 , 000 6 . 750
1990 960 , 000 7 . 000
1991 710 , 000 7 . 250
1992 740 , 000 7 . 500
1993 790 , 000 7 . 750
1994 825 , 000 8 . 000
1995 875 , 000 8 . 200
1996 1 , 000 , 000 8 . 400
1997 1 , 000 , 000 8 . 600
1998 1 , 000 , 000 8 . 700
1999 1 , 030 , 000 8 . 800
2005 8 , 660 , 000 9 . 200
2010 10 , 455 , 000 9 . 375
Said interest shall be payable on June 1 , 1986 , and semiannually
thereafter on the 1st day of December and the 1st day of June of
each year . If upon presentation at maturity the principal of
any Bond is not paid as provided herein, interest shall continue
thereon at the same interest rate until the principal is paid in
full .
The Debt Service Requirements of the Bonds shall be payable
in lawful money of the United States of America, to the
registered Owners of the Bonds by the Finance Director of the
City, who is hereby designated the paying agent for the Bonds .
The principal and the final installment of interest shall be
payable to the registered Owner of each Bond upon presentation
and surrender of the Bond at maturity or upon prior redemption.
Except as hereinbefore and hereinafter provided, the interest
shall be payable to the registered Owner of each Bond determined
as of the close of business on the regular record date, which
shall be the fifteenth day of the calendar month next preceding
the interest payment date, irrespective of any transfer of
ownership of the Bond subsequent to the regular record date and
prior to such interest payment date, by check or draft mailed to
such registered Owner at the address appearing on the
registration books of the City maintained by the City Clerk, who
is hereby designated the registrar for the Bonds . Any interest
not paid when due and any interest accruing after maturity shall
be payable to the registered Owner of each Bond entitled to
receive such interest determined as of the close of business on
the special record date, which shall be fixed by the paying
agent for such purpose, irrespective of any transfer of
ownership of the Bond subsequent to such special record date and
prior to the date fixed by the City for the payment of such
interest , by check or draft mailed as aforesaid . Notice of the
special record date and of the date fixed for the payment of
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such interest shall be given by sending a copy thereof by
certified or registered first-class , postage prepaid mail , at
least ten ( 10) days prior to the special record date, to the
Purchaser and to the registered Owner of each Bond upon which
interest will be paid determined as of the close of business on
the day preceding such mailing at the address appearing on the
registration books of the City.
If the paying agent or registrar initially appointed
hereunder shall resign, or if the City shall reasonably
determine that said paying agent or registrar has become
incapable of fulfilling his or her duties hereunder , the City
may, upon notice mailed to each registered Owner of bonds at the
address last shown on the registration books, appoint a
successor paying agent or registrar , or both. Every such
successor paying agent or registrar shall be a Commercial Bank .
It shall not be required that the same institution serve as both
paying agent and registrar hereunder , but the City shall have
the right to have the same institution serve as both paying
agent and registrar hereunder .
(2) Redemption of Bonds Prior to Maturity. Bonds maturing
in the years 1986 through 1995 shall not be subject to optional
redemption prior to their respective maturity dates . Bonds
maturing in the year 1996 and thereafter shall be subject to
optional redemption prior to their respective maturity dates , in
whole or in part in inverse order of maturity and by lot within
a maturity, on December 1 , 1995 , and on any interest payment
date thereafter , at a price equal to the principal amount of
each Bond so redeemed plus accrued interest thereon to the
Redemption Date.
Bonds maturing in the year 2005 shall also be subject to
mandatory sinking fund redemption prior to their maturity date,
by lot, on the dates specified below at a price equal to the
principal amount of each Bond so redeemed plus accrued interest
thereon to the Redemption Date . Such Bonds shall be redeemed on
December 1 in each of the following years in each of the
following aggregate principal amounts :
Years Principal Amounts
2000 $1 , 215 , 000
2001 1 ,300 , 000
2002 1 ,425, 000
2003 1 , 430, 000
2004 1 , 570 , 000
2005 1 , 720, 000
Bonds maturing in the year 2010 shall also be subject to
mandatory sinking fund redemption prior to their maturity date,
by lot, on the dates specified below at a price equal to the
principal amount of each Bond so redeemed plus accrued interest
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thereon to the Redemption Date . Such Bonds shall be redeemed on
December 1 in each of the following years in each of the
following aggregate principal amounts :
Years Principal Amounts
2006 $1 , 885 , 000
2007 2 , 055 , 000
2008 2 , 265 , 000
2009 2 , 475 , 000
2010 1 , 775 , 000
The Bonds shall also be subject to extraordinary redemption
prior to their respective maturity dates if the City determines
that there is no longer a need for all or a portion of the
Project and if the City has sufficient funds available to effect
such redemption, in whole or in part by calling as nearly as
practicable a pro rata share of the Bonds due on each maturity
date by lot within such maturity, on December 1 , 1987, at a
price equal to the principal amount of each Bond so redeemed
plus accrued interest thereon to the Redemption Date . In the
case of an extraordinary redemption in part , the amounts of the
mandatory sinking fund installments due with respect to Bonds
maturing in the years 2005 and 2010 shall be reduced as nearly
as practicable on a pro rata basis .
Bonds which are redeemable prior to their respective
maturity dates may be redeemed in part if issued in
denominations which are integral multiples of $5 , 000 . Such
Bonds shall be treated as representing a corresponding number of
separate Bonds in the denomination of $5 , 000 each. Any such
Bond to be redeemed in part shall be surrendered for partial
redemption in the manner hereinafter provided for transfers of
ownership. Upon payment of the redemption price of any such
Bond redeemed in part the registered Owner thereof shall receive
a new Bond or Bonds of authorized denominations in aggregate
principal amount equal to the unredeemed portion of the Bond
surrendered.
Notice of redemption shall be given by the paying agent in
the name of the City by sending a copy thereof by certified or
registered first-class postage prepaid mail , at least thirty
(30) days prior to the Redemption Date, to the Purchaser and to
the registered Owner of each of the Bonds being redeemed
determined as of the close of business on the day preceding the
first mailing of such notice, at the address appearing on the
registration books of the City maintained by the registrar .
Such notice shall specify the number or numbers of the Bonds to
be redeemed, whether in whole or in part , and the date fixed for
redemption and shall further state that on the redemption date
there will be due and payable upon each Bond or part thereof so
to be redeemed the principal amount or part thereof plus accrued
interest thereon to the redemption date and that from and after
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such date interest will cease to accrue. Failure to mail any
notice as aforesaid or any defect in any notice so mailed with
respect to any Bond shall not affect the validity of the
redemption proceedings with respect to any other Bond. Any
Bonds redeemed prior to their respective maturity dates by call
for prior redemption or otherwise shall not be reissued and
shall be cancelled the same as Bonds paid at or after maturity.
(3 ) Interest Rates . The maximum net effective interest
rate authorized for the Bonds is 15% per annum, and the actual
net effective interest rate for the Bonds is 9 . 194555% per annum.
(4 ) Execution . The Bonds shall be executed by and on
behalf of the City with the facsimile signature of the Mayor ,
shall bear a facsimile of the seal of the City, shall be
attested with the facsimile signature of the City Clerk, and
shall be countersigned with the manual signature of the Finance
Director of the City. Should any officer whose manual or
facsimile signature appears on the Bonds cease to be such
officer before delivery of the Bonds to the Purchaser , such
manual or facsimile signature shall nevertheless be valid and
sufficient for all purposes .
(5) Registration, Transfer and Exchange of Bonds . Upon
their execution and prior to their delivery the Bonds shall be
registered for the purpose of payment of principal and interest
in the office of the City Clerk, who is hereby designated as the
transfer agent for the Bonds . Thereafter , the Bonds shall be
transferable only upon the registration books of the City by the
transfer agent at the request of the registered Owner thereof or
his, her or its duly authorized attorney-in-fact or legal
representative. The registrar or transfer agent shall accent a
Bond for registration or transfer only if the registered Owner
is to be an individual , a corporation, a partnership, or a
trust . A Bond may be transferred upon surrender thereof
together with a written instrument of transfer duly executed by
the registered Owner or his, her or its duly authorized
attorney-in-fact or legal representative with guaranty of
ignature satisfactory to the transfer agent, containing written
instructions as to the details of the transfer , along with the
social security number or federal employer identification number
of the transferee and, if the transferee is a trust, the names
and social security numbers of the settlors and the
beneficiaries of the trust . The transfer agent shall not be
required to transfer ownership of any Bond during the fifteen
( 15) days prior to the first mailing of any notice of redemption
or to transfer ownership of any Bond selected for redemption on
or after the date of such mailing. The registered Owner of any
Bond or Bonds may also exchange such Bond or Bonds for another
Bond or Bonds of authorized denominations . Transfers and
exchanges shall be made without charge, except that the transfer
agent may require payment of a sum sufficient to defray any tax
or other governmental charge that may hereafter be imposed in
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connection with any transfer or exchange of Bonds . No transfer
of any Bond shall be effective until entered on the registration
books of the City maintained by the registrar . In the case of
every transfer or exchange, the transfer agent shall deliver to
the new registered Owner a new Bond or Bonds of the same
aggregate principal amount , maturing in the same year , and
bearing interest at the same per annum rate as the Bond or Bonds
surrendered. Such Bond or Bonds shall be dated as of their date
of execution by the Finance Director of the City. New Bonds
delivered upon any transfer or exchange shall be valid
obligations of the City, evidencing the same obligation as the
Bonds surrendered, shall be secured by this Ordinance, and shall
be entitled to all of the security and benefits hereof to the
same extent as the Bonds surrendered . The City may deem and
treat the person in whose name any Bond is last registered upon
the books of the City as the absolute Owner thereof for the
purpose of receiving payment of the principal of and interest on
such Bond and for all other purposes , and all such payments so
made to such person or upon his order shall be valid and
effective to satisfy and discharge the liability of the City
upon such Bond to the extent of the sum or sums so paid, and the
City shall not be affected by any notice to the contrary.
( 6) Lost Bonds . If any Bond shall have been lost ,
destroyed or wrongfully taken, the City shall provide for the
replacement thereof in the manner set forth and upon receipt of
the evidence, indemnity bond and reimbursement for expenses
provided in Ordinance No . 80 , 1984 , adopted by the City Council
on July 17 , 1984 .
(7) Recitals in Bonds . Each Bond shall recite in substance
that the Bond is a special and limited obligation of the City
payable solely out of and secured by an irrevocable (but not
necessarily exclusive) pledge of the Net Pledged Revenues , that
the Bond does not constitute a debt or an indebtedness of the
City within the meaning of any constitutional , statutory or
charter provision or limitation, that the Bond is not payable in
whole or in part from the proceeds of general property taxes ,
and that the full faith and credit of the City is not pledged
for the payment of the principal of or interest on the Bond.
Each Bond shall further recite that it is issued under the
authority of article XX of the Colorado Constitution, the City
charter , the Act , the Refunding Act and this Ordinance. Such
recital shall conclusively impart full compliance with all of
the provisions of the Act and the Refunding Act , and all Bonds
issued containing such recital shall be incontestable for any
cause whatsoever after their delivery for value .
(8) Form of Bonds . The Bonds shall be in substantially the
following form:
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[Form of Bond]
(Text of Face)
UNITED STATES OF AMERICA
STATE OF COLORADO COUNTY OF LARIMER
CITY OF FORT COLLINS
SEWER REVENUE REFUNDING AND IMPROVEMENT BOND
SERIES 1985
No . R- $
Interest Maturity Original
Rate Date Date CUSIP
December 1 , November 1 , 1985
REGISTERED OWNER:
PRINCIPAL SUM:
The City of Fort Collins, in the County of Larimer and State
of Colorado, for value received, hereby promises to pay to the
Registered Owner (specified above) , or registered assigns ,
solely from the special funds provided therefor , as hereinafter
set forth, the Principal Sum (specified above) , in lawful money
of the United States of America, on the Maturity Date (specified
above) , with interest thereon from November 1 , 1985 , or the
interest payment date to which interest has been paid next
preceding the date hereof , whichever is later , to the Maturity
Date, except if redeemed prior thereto, at the per annum
Interest Rate ( specified above) , payable semiannually on the 1st
day of June and the 1st day of December of each year , commencing
on June 1 , 1986 , or the first such date after the date hereof ,
whichever is later , in the manner provided herein. If upon
presentation at maturity payment of the Principal Sum is not
made as provided herein, interest continues at the Interest Rate
until the Principal Sum is paid in full .
Bonds of this issue maturing in the years 1986 through 1995
are not subject to optional redemption prior to their respective
maturity dates . Bonds of this issue maturing in the year 1996
and thereafter are subject to optional redemption prior to their
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respective maturity dates , in whole or in part , in inverse order
of maturity and by lot within a maturity, on December 1 , 1995 ,
and on any interest payment date thereafter , at a price equal to
the principal amount of each Bond so redeemed plus accrued
interest thereon to the redemption date .
Bonds of this issue maturing in the year 2005 are also
subject to mandatory sinking fund redemption prior to their
maturity date, by lot , on the dates specified below at a price
equal to the principal amount of each Bond so redeemed plu—
accrued interest thereon to the redemption date . Such Bonds are
to be redeemed on December 1 in each of the following years in
each of the following aggregate principal amounts :
Years Principal Amounts
2000 $1 , 215 , 000
2001 1 ,300 , 000
2002 1 , 425 , 000
2003 1 , 430 , 000
2004 1 , 570 , 000
2005 1 , 720 , 000
Bonds of this issue maturing in the year 2010 are also subject
to mandatory sinking fund redemption prior to their maturity
date, by lot , on the dates specified below at a price equal to
the principal amount of each Bond so redeemed plus accrued
interest thereon to the redemption date . Such Bonds are to be
redeemed on December 1 in each of the following years in each of
the following aggregate principal amounts :
Years Principal Amounts
2006 $1 , 885 , 000
2007 2 , 055 , 000
2008 2 , 265 , 000
2009 2 , 475 , 000
2010 1 , 775 , 000
The Bonds of this issue are also subject to extraordinary
redemption prior to their respective maturity dates if the City
determines that there is no longer a need for all or a portion
of the financed facilities and if the City has sufficient funds
available to effect such redemption, in whole or in part by
calling as nearly as practicable a pro rata share of the Bonds
due on each maturity date by lot within such maturity, on
December 1 , 1987 , at a price equal to the principal amount of
each Bond so redeemed plus accrued interest thereon to the
redemption date . In the case of an extraordinary redemption in
part, the amounts of the mandatory sinking fund installments due
with respect to Bonds maturing in the years 2005 and 2010 are to
be reduced as nearly as practicable on a pro rata basis .
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Bonds of this issue which are redeemable prior to their
respective maturity dates may be redeemed in part if issued in
denominations which are integral multiples of $5 , 000 . In such
case the Bond is to be surrendered in the manner provided for
transfers of ownership . Upon payment of the redemption price
the Registered Owner is to receive a new Bond or Bonds of
authorized denominations in aggregate principal amount equal to
the unredeemed portion of the Bond surrendered.
REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF THIS
BOND SET FORTH ON THE REVERSE HEREOF .
This Bond is a special and limited obligation of the City
payable solely out of and secured by an irrevocable (but not
necessarily exclusive) pledge of the Net Pledged Revenues , as
more specifically provided in the Ordinance. This Bond does not
constitute a debt or an indebtedness of the City within the
meaning of any constitutional , statutory -or City charter
provision or limitation. This Bond is not payable in whole or
in part from the proceeds of general property taxes , and the
full faith and credit of the City is not pledged for the payment
of the principal of or interest on this Bond.
IN WITNESS WHEREOF, the City Council of the City of Fort
Collins , Colorado, has caused this Bond to be executed in its
name and on its behalf with the facsimile signature of the Mayor
of the City, to be sealed with the facsimile seal of the City,
to be signed and attested with the facsimile signature of the
City Clerk of the City, and to be countersigned with the manual
signature of the Finance Director of the City.
CITY OF FORT COLLINS, COLORADO
(FACSIMILE) By: (Facsimile Signature)
( SEAL ) Mayor
ATTEST:
(Facsimile Signature)
City Clerk Countersigned:
(Manual Signature)
Finance Director
DATED :
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ABBREVIATIONS
The following abbreviations , when used in the inscription on
the face of this Bond, shall be construed as though they were
written out in full according to applicable laws or regulations .
TEN COM - as tenants in common
TEN ENT - as tenants by the entireties
JT TEN - as joint tenants with the right of
survivorship and not as tenants in common
UNIF GIFT MIN ACT - Custodian
(Cust ) (Minor )
under Uniform Gifts to Minors Act
(State)
Additional abbreviations may also be used
though not on the above list .
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(Text of Reverse)
The principal of and interest on this Bond are payable to
the Registered Owner by the Finance Director of the City, as
paying agent . The principal and the final installment of
interest are payable to the Registered Owner upon presentation
and surrender of this Bond at maturity or upon prior
redemption. Except as hereinbefore and hereinafter provided,
the interest is payable to the Registered Owner determined as of
the close of business on the regular record date, which is the
fifteenth day of the calendar month next preceding the interes_-
payment date, irrespective of any transfer of ownership hereof
subsequent to the regular record date and prior to such interest
payment date, by check or draft mailed to the Registered Owner
at the address appearing on the registration books of the City
maintained by the City Clerk, as registrar . Any interest hereon
not paid when due and any interest hereon accruing after
maturity is payable to the Registered Owner determined as of the
close of business on the special record date, which is to be
fixed by the paying agent for such purpose, irrespective of any
transfer of ownership of this Bond subsequent to such special
record date and prior to the date fixed by the paying agent for
the payment of such interest , by check or draft mailed as
aforesaid. Notice of the special record date and of the date
fixed for the payment of such interest is to be given by sending
a copy thereof by certified or registered first-class postage
prepaid mail , at least ten ( 10 ) days prior to the special record
date, to Dillon, Read & Co . Inc . , Dallas , Texas , and to the
registered owner of each Bond upon which interest will be paid
determined as of the close of business on the day preceding such
mailing, at the address appearing on the registration books of
the City.
Notice of redemption of any Bonds of this issue is to be
given by the paying agent in the name of the City by sending a
copy of such notice by certified or registered first-class
postage prepaid mail , at least thirty (30) days prior to the
redemption date, to Dillon, Read & Co . Inc . , Dallas, Texas , and
to the registered owner of each of the Bonds being redeemed
determined as of the close of business on the day preceding the
first mailing of such notice, at the address appearing on the
registration books of the City. Such notice is to specify the
number or numbers of the Bonds to be redeemed, whether in whole
or in part , and the date fixed for redemption and shall further
state that on the redemption date there will be due and payable
upon each Bond or part thereof so to be redeemed the principal
amount or part thereof plus accrued interest thereon to the
redemption date and that from and after such date interest will
cease to accrue . Failure to mail any notice as aforesaid or any
defect in any notice so mailed with respect to any Bond shall
not affect the validity of the redemption proceedings with
respect to any other Bond.
-23-
Payment of the principal of and interest on this Bond is to
be made solely from, and as security for such payment there are
irrevocably (but not necessarily exclusively) pledged, pursuant
to the ordinance authorizing the issuance of this Bond (the
Ordinance) , two special funds thereby identified as the
Principal and Interest Fund and the Debt Service Reserve Fund,
into which funds the City has covenanted in the Ordinance to
pay, respectively, from certain revenues derived from the
operation and use of and otherwise pertaining to the Sewerage
Facilities of the City (the Income) , after provision is made
only for the payment of all necessary and reasonable current
expenses of operating, maintaining and repairing the Sewerage
Facilities ( such remaining revenues being the Net Pledged
Revenues) , sums sufficient to pay when due the principal of and
interest on the Bonds and any additional parity securities
hereafter issued and payable from such revenues , and to
accumulate and maintain a specified reserve for such purposes .
In addition, the City may at its option augment such funds with
any other moneys of the City legally available for expenditure
for the purposes thereof as provided in the Ordinance.
It is hereby recited, certified and warranted that for the
payment of this Bond and of the interest hereon, the City has
created and will maintain said special funds and will deposit
therein, out of the Net Pledged Revenues , the amounts and
revenues specified in the Ordinance and out of said special
funds , as an irrevocable charge thereon , will pay this Bond and
the interest hereon, in the manner provided by the Ordinance .
The Bonds of this issue are equitably and ratably secured by
a lien on the Net Pledged Revenues , and such Bonds constitute an
irrevocable and first lien (but not necessarily an exclusive
first lien) upon the Net Pledged Revenues . Bonds and other
types of securities , in addition to the Bonds of this issue,
subject to expressed conditions , may be issued and made payable
from the Net Pledged Revenues having a lien thereon subordinate
and junior to the lien of the Bonds of this issue or , subject to
additional expressed conditions , having a lien thereon on a
parity with the lien of such Bonds in accordance with the
provisions of the Ordinance .
The City covenants and agrees with the Registered Owner that
it will keep and will perform all of the covenants of this Bond
and of the Ordinance .
This Bond is one of a series authorized and issued for the
purpose of defraying the cost of acquiring certain Sewerage
Facilities and refunding, paying and discharging certain valid
and outstanding sewer revenue bonds of the City, under the
authority of and in full conformity with the laws and the
Constitution of the State of Colorado and the Charter of the
City, and pursuant to the Ordinance duly adopted prior to the
issuance of this Bond. This Bond is issued under the authority
-24-
of part 4 of article 35 of title 31 and part 1 of article 56 of
title 11 , Colorado Revised Statutes , as amended. This recital
conclusively imparts full compliance with all of the provisions
of said statutes , and said statutes provide that all Bonds
containing such recital shall be incontestable for any cause
whatsoever after their delivery for value .
Reference is hereby made to the Ordinance, and to any and
all modifications and amendments thereof , for a description of
the provisions , terms and conditions upon which the Bonds of
this issue are issued and secured, including, without
limitation, the nature and extent of the security for the Bonds ,
provisions with respect to the custody and application of the
proceeds of the Bonds , the collection and disposition of the
revenues and moneys charged with and pledged to the payment of
the principal of and interest on the Bonds , the terms and
conditions on which the Bonds are issued, a description of the
special funds referred to above and the nature and extent of the
security and pledge afforded thereby for the payment of the
principal of and interest on the Bonds , and the manner of
enforcement of said pledge, as well as the rights , duties ,
immunities and obligations of the City and the members of its
Council and also the rights and remedies of the registered
owners of the Bonds .
To the extent and in the respects permitted by the
Ordinance, the provisions of the Ordinance, or any instrument
amendatory thereof or supplemental thereto, may be modified or
amended by action of the City taken in the manner and subject to
the conditions and exceptions provided in the Ordinance . The
pledge of revenues and other obligations of the City under the
Ordinance may be discharged at or prior to the maturity or prior
redemption of the Bonds upon the making of provision for the
payment of the Bonds on the terms and conditions set forth in
the Ordinance .
It is hereby recited, certified and warranted that all the
requirements of law have been fully complied with by the proper
officers of the City in the issuance of this Bond; that it is
issued pursuant to and in strict conformity with the
Constitution and all other laws of the State of Colorado,
including the home rule charter of the City, and with the
Ordinance; that this Bond does not contravene any
constitutional , charter or statutory provision or limitation;
and that this Bond and each of the other Bonds of the series of
which this is one are issued under the authority of the
Ordinance.
This Bond is transferable only upon the registration books
of the City by the City Clerk as transfer agent , at the request
of the Registered Owner or his , her or its duly authorized
attorney-in-fact or legal representative, upon surrender hereof
together with a written instrument of transfer duly executed by
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the Registered Owner or his , her or its duly authorized
attorney-in-fact or legal representative with guaranty of
signature satisfactory to the transfer agent , containing written
instructions as to the details of the transfer , along with the
social security number or federal employer identification number
of the transferee and, if the transferee is a trust , the names
and social security numbers of the settlors and beneficiaries of
the trust . The transfer agent is not required to transfer
ownership of this Bond during the fifteen ( 15) days prior to the
first mailing of any notice of redemption or to transfer
ownership of any Bond selected for redemption on or after the
date of such mailing. The Registered Owner may also exchange
this Bond for another Bond or Bonds of authorized
denominations . Transfers and exchanges are to be made without
charge, except that the transfer agent may require payment of a
sum sufficient to defray any tax or other governmental charge
that may hereafter be imposed in connection with any transfer or
exchange of Bonds . No transfer of this Bond shall be effective
until entered on the registration books of the City. In the
case of every transfer or exchange, the transer agent is to
deliver to the new registered owner a new Bond or Bonds of the
same aggregate principal amount , maturing in the same year , and
bearing interest at the same per annum rate as the Bond or Bonds
surrendered. Such Bond or Bonds shall be dated as of their date
of execution by the Finance Director of the City. The City may
deem and treat the person in whose name this Bond is last
registered upon the books of the City as the absolute owner
hereof for the purpose of receiving payment of the principal of
and interest on this Bond and for all other purposes , and all
such payments so made to such person or upon his order shall be
valid and effective to satisfy and discharge the liability of
the City upon this Bond to the extent of the sum or sums so
paid, and the City shall not be affected by any notice to the
contrary.
-26-
(Assignment)
ASSIGNMENT
FOR VALUE RECEIVED, the undersigned sells, assigns and
transfers unto
PLEASE INSERT SOCIAL SECURITY OR
OTHER IDENTIFYING NUMBER OF ASSIGNEE
(Name and Address of Assignee)
the attached Bond and does hereby irrevocably constitute and
appoint , or its
successor , to transfer said Bond on the books kept for
registration thereof .
Dated:
Signature guaranteed:
(Bank, Trust Company or Firm)
NOTICE: The signature to this
assignment must correspond with
the name of the Registered
Owner as it appears upon the
face of the attached Bond in
every particular without
alteration or enlargement or
any change whatever .
[End of Form of Bond]
-27-
C. Bonds Equally Secured. The covenants and agreements
herein set forth to be performed on behalf of the City shall be
for the equal benefit, protection and security of the Owners of
any and all of the Bonds , all of which, regardless of the time
or times of their maturity, shall be of equal rank without
preference, priority or distinction of any of the Bonds over any
other thereof, except as otherwise expressly provided in or
pursuant to this Ordinance .
D. Special Obligations . All of the Bonds , as to all Debt
Service Requirements thereof, shall be payable solely out of the
Net Pledged Revenues , which Net Pledged Revenues are hereby so
pledged for that purpose . The Owner or Owners of any of the
Bonds may not look to the general fund or any other fund of the
City for the payment of the Debt Service Requirements , except
the special funds pledged therefor . The Bonds shall not
constitute a debt or indebtedness of the City within the meaning
of any constitutional , charter or statutory provision or
limitation, and the Bonds shall not be considered or held to be
general obligations of the City but shall constitute special and
limited obligations of the City. The Bonds are not payable in
whole or in part from the proceeds of general property taxes,
and the full faith and credit of the City is not pledged for
payment of the Bonds .
Section 4 . Sale and Delivery of Bonds .
A. _Purchaser ' s Proposal . The Purchaser has submitted a
proposal for the purchase of the Bonds together with the
disclosures and information required by the Refunding Act at a
price equal to $30 , 112 , 986 plus accrued interest thereon from
the date thereof to the delivery date thereof , and the Finance
Director of the City has recommended that said proposal be
accepted by the Council .
B. Award of Contract . The contract for the purchase of
the Bonds is hereby awarded to the Purchaser at the price
specified in the Purchaser ' s proposal and upon the terms set
forth in this Ordinance . The Finance Director of the City is
hereby authorized to execute the contract of purchase on behalf
of the City.
C. Delivery. After the Bonds have been duly executed and
registered as provided herein the Finance Director of the City
shall cause the Bonds to be delivered to the Purchaser upon
receipt of the agreed purchase price.
Section 5 . Funds and Accounts Adopted or Created by
Ordinance. The proceeds of the Bonds and the Pledged Revenues
shall be deposited by the City in the funds described in this
Section 5 , to be accounted for in the manner and priority set
forth in this Section 5 . Neither the Purchaser nor any
subsequent Owner of any Bonds shall be in any manner responsible
-28-
for the application or disposal by the City or by any of its
officers , agents and employees of the moneys derived from the
sale of the Bonds or of any other moneys designated in this
Section 5 .
The Pledged Revenues , and all moneys and securities paid or
to be paid to or held or to be held in any fund or account
hereunder , are hereby pledged to secure the payment of the Debt
Service Requirements of the Bonds , subject to the provisions
herein relating to the Escrow Fund and the Capital Projects Fund
and subject to the application of the Pledged Revenues for the
payment of Debt Service Requirements of Parity Securities ; and
this pledge shall be valid and binding from and after the date
of the first delivery of the Bonds , and the moneys , as received
by the City and hereby pledged, shall immediately be subject to
the lien of this pledge without any physical delivery thereof ,
any filing, or further act , and the lien of this pledge and the
obligation to perform the contractual provisions hereby made
shall have priority over any or all other obligations and
liabilities of the City (except as herein otherwise expressly
provided) , and the lien of this pledge shall be valid and
binding as against all parties having claims of any kind in
tort, contract or otherwise against the City (except as herein
otherwise expressly provided) , irrespective of whether such
parties have notice thereof .
A. Escrow Fund. The City shall deposit in a separate
special fund hereby created and designated as the "City of Fort
Collins , Colorado, Sewer Revenue Refunding and Improvement
Bonds , Series 1985, Escrow Fund" forthwith upon receipt of the
proceeds of the Bonds the sum of approximately $15 , 035 , 900 to be
used only as provided in this Section 5A. The City shall apply
said sum to the purchase of the Federal Securities in which the
moneys in the Escrow Fund are to be invested as provided in the
Escrow Agreement and in accordance with the proposal submitted
by the Purchaser . The Escrow Fund shall be maintained by the
City in an amount at the time of the deposit therein, and at all
times subsequently, at least sufficient , together with the known
minimum yield to be derived from the investment of the deposits
therein or any part thereof in Federal Securities , to pay the
principal of, interest on, and any premium due in connection
with the redemption of the Prior Bonds as the same become due .
Moneys shall be withdrawn by the Escrow Bank from the Escrow
Fund in sufficient amounts and at times to permit the payment
thereof in connection with the Prior Bonds at each payment
date. Any moneys remaining in the Escrow Fund after provision
has been made for the payment of the Prior Bonds may be applied
to any lawful purpose of the City. If for any reason the amount
in the Escrow Fund shall at any time be insufficient for the
purposes hereinbefore set forth, the City shall forthwith from
the first Pledged Revenues available therefor deposit therein
such additional moneys as shall be necessary to permit the
-29-
payment in full of the principal of and interest on the Prior
Bonds as herein provided .
The Finance Director of the City is hereby authorized and
directed to give forthwith notice of refunding of the 1975
Bonds . The notice of refunding of the 1975 Bonds shall be given
by publication at least one time in a newspaper having general
circulation in the City and by mailing a copy of the notice by
registered, first class mail to Boettcher & Company, Inc . ,
Denver , Colorado . The notice of refunding of the 1975 Bonds
shall be in substantially the following form:
-30-
[Form of Notice]
NOTICE OF REFUNDING
OF
CITY OF FORT COLLINS , COLORADO
SEWER REFUNDING REVENUE BONDS
SERIES 1975
DATED MARCH 1 , 1975 - $3 , 155 , 000
NOTICE IS HEREBY GIVEN to the holders of all outstanding
City of Fort Collins , Colorado, Sewer Refunding Revenue Bonds ,
Series 1975 , dated March 1 , 1975 , in the Original aggregate
principal amount of $3 , 155, 000 (the Prior Bonds ) , that the City
of Fort Collins , Colorado (the City) , has issued Sewer Revenue
Refunding and Improvement Bonds , Series 1985 , dated November 1 ,
1985 , in the aggregate principal amount of $30 , 715 , 000 , and
deposited a portion of the proceeds thereof in escrow with First
Interstate Bank of Fort Collins , N.A. , Fort Collins , Colorado,
which proceeds have been invested in bills , certificates of
indebtedness , notes or bonds which are direct obligations of , or
the principal and interest of which obligations are
unconditionally guaranteed by, the United States of America for
the payment of the principal of and interest on the Prior Bonds
as the same become due .
According to a report pertaining to such escrow prepared by
a firm of certified public accountants licensed to practice in
Colorado, the escrow, including the known minimum yield from
such investments , is fully sufficient at the time of the deposit
and at all times subsequently, to pay the principal of and
interest on the Prior Bonds as such payments become due .
GIVEN BY ORDER OF THE COUNCIL this day of
1985 .
CITY OF FORT COLLINS, COLORADO
Finance Director
[End of Form of Notice]
-31-
The City hereby exercises its option to redeem 1982 Bonds
numbered 341 to 440 , maturing in the year 1998 and thereafter ,
prior to their respective maturity dates , on October 1 , 1997 , at
the principal corporate trust offices of First Interstate Bank
of Fort Collins , N.A. , Fort Collins , Colorado, at a price equal
to the principal amount of each bond so redeemed plus accrued
interest thereon to the redemption date . The Finance Director
of the City is hereby authorized and directed to give forthwith
and again no later than September 1 , 1997 , notice of refunding
and redemption of the 1982 Bonds . The notice of refunding and
redemption of the 1982 Bonds shall be given by publication of
such notice at least one ( 1 ) time by one ( 1 ) publication in The
Coloradoan, Fort Collins , Colorado, if then in business and
publishing, and if not , then in a newspaper of general
circulation in the City and by sending a copy of such notice by
certified or registered, first-class , postage prepaid mail to
the holders of each of the bonds being redeemed, if the names
and addresses of the holders and the numbers of the bonds are
recorded with the City Clerk . The notice of refunding and
redemption of the 1982 Bonds shall be in substantially the
following form:
-32-
[Form of Notice]
NOTICE OF REFUNDING AND REDEMPTION
OF
CITY OF FORT COLLINS , COLORADO
SEWER REVENUE BONDS
SERIES 1982
DATED OCTOBER 1 , 1982 - $2 , 200 , 000
NOTICE IS HEREBY GIVEN to the holders of all outstanding
City of Fort Collins , Colorado , Sewer Revenue Bonds , Series
1982 , dated October 1 , 1982 , in the original aggregate principal
amount of $2, 200 , 000 (the Prior Bonds) , that the City of Fort
Collins , Colorado (the City) , has issued Sewer Revenue Refunding
and Improvement Bonds , Series 1985 , dated November 1 , 1985 , in
the aggregate principal amount of $30 , 715 , 000 , and deposited a
portion of the proceeds thereof in escrow with First Interstate
Bank of Fort Collins , N.A. , Fort Collins , Colorado, which
proceeds have been invested in bills , certificates of
indebtedness , notes or bonds which are direct obligations of , or
the principal and interest of which obligations are
unconditionally guaranteed by, the United States of America for
the payment of the principal of and interest on the Prior Bonds
as the same become due.
According to a report pertaining to such escrow prepared by
a firm of certified public accountants licensed to practice in
Colorado, the escrow, including the known minimum vield from
such investments , is fully sufficient at the time of t::e deposit
and at all times subsequently, to pay the principal of and
interest on the Prior Bonds as such payments become due .
NOTICE IS FURTHER HEREBY GIVEN that the City has exercised
its option to redeem the Prior Bonds numbered 341 through 440 ,
maturing in the year 1998 and thereafter , prior to their
respective maturity dates , on October 1 , 1997 , at the principal
corporate trust offices of First Interstate Bank of Fort
Collins, N.A. , Fort Collins , Colorado, at a price equal to the
principal amount of each bond so redeemed plus accrued interest
thereon to the redemption date.
On the redemption date there will become and will be due and
payable upon each bond so to be redeemed, at the principal
corporate trust offices of First Interstate Bank of Fort
Collins, N.A. , Fort Collins , Colorado , the principal amount of
each bond so redeemed plus accrued interest thereon to the
redemption date and from and after the redemption date interest
will cease to accrue . Each such bond will be redeemed on or
after the redemption date upon presentation and surrender of the
bond.
-33-
DATED this day of 19
CITY OF FORT COLLINS, COLORADO
Finance Director
[End of Form of Notice]
-34-
The City hereby exercises its option to redeem 1984 Bonds
maturing in the years 2004 and 2009 , prior to their respective
maturity dates , on December 1 , 1994 , at the principal corporate
trust offices of First Interstate Bank of Fort Collins , N.A. ,
Fort Collins , Colorado, at a price equal to the principal amount
of each bond so redeemed plus accrued interest thereon to the
redemption date plus a premium equal to two and one-half percent
(2 . 5%) of the principal amount of each bond so redeemed . The
Finance Director of the City is hereby authorized and directed
to give forthwith and again no later than November 1 , 1994 ,
notice of refunding and redemption of the 1984 Bonds . The
notice of refunding and redemption of the 1984 Bonds shall be
given by sending a copy thereof by certified or registered,
first-class , postage prepaid mail to Boettcher & Company, Inc . ,
Denver , Colorado, and to the registered owners of each of the
bonds being redeemed determined on the close of business on the
day preceding the first mailing of such notice at the addresses
appearing on the registration books of the City. The notice of
refunding and redemption of the 1984 Bonds shall be in
substantially the following form:
-35-
[Form of Notice]
NOTICE OF REFUNDING AND REDEMPTION
OF
CITY OF FORT COLLINS , COLORADO
SEWER REVENUE BONDS
SERIES 1984
DATED NOVEMBER 1 , 1984 - $11 , 000 , 000
NOTICE IS HEREBY GIVEN to the registered owners of all
outstanding City of Fort Collins , Colorado, Sewer Revenue Bonds ,
Series 1984 , dated November 1 , 1984 , in the original aggregate
principal amount of $11 , 000 , 000 (the Prior Bonds) , that the City
of Fort Collins , Colorado (the City) , has issued Sewer Revenue
Refunding and Improvement Bonds , Series 1985, dated November 1 ,
1985, in the aggregate principal amount of $30 , 715, 000 , and
deposited a portion of the proceeds thereof in escrow with First
Interstate Bank of Fort Collins , N.A. , Fort Collins , Colorado,
which proceeds have been invested in bills , certificates of
indebtedness , notes or bonds which are direct obligations of , or
the principal and interest of which obligations are
unconditionally guaranteed by, the United States of America for
the payment of the principal of and interest on the Prior Bonds
as the same become due .
According to a report pertaining to such escrow prepared by
a firm of certified public accountants licensed to practice in
Colorado, the escrow, including the known minimum yield from
such investments , is fully sufficient at the time of the deposit
and at all times subsequently, to pay the principal of and
interest on the Prior Bonds as such payments become due .
NOTICE IS FURTHER HEREBY GIVEN that the City has exercised
its option to redeem the Prior Bonds numbered through
maturing in the years 2004 and 2009 , prior to their respective
maturity dates , on December 1 , 1994 , at the principal corporate
trust offices of First Interstate Bank of Fort Collins , N.A. ,
Fort Collins, Colorado, at a price equal to the principal amount
of each bond so redeemed plus accrued interest thereon to the
redemption date plus a premium equal to two and one-half percent
(2 . 5%) of the principal amount of each bond so redeemed .
On the redemption date there will become and will be due and
payable upon each bond so to be redeemed, at the principal
corporate trust offices of First Interstate Bank of Fort
Collins, N.A. , Fort Collins , Colorado, the principal amount of
each bond so redeemed plus accrued interest thereon to the
redemption date plus the applicable premium due and from and
after the redemption date interest will cease to accrue. Each
-36-
such bond will be redeemed on or after the redemption date upon
presentation and surrender of the bond .
DATED this day of 19
CITY OF FORT COLLINS , COLORADO
Finance Director
[End of Form of Notice]
-37-
B. Capital Projects Fund. The proceeds of the Bonds ,
except the sums required in Sections 5A, 5E and 5F hereof to be
deposited in the Escrow Fund, the Principal and Interest Fund
and the Debt Service Reserve Fund, shall be deposited in the
Capital Projects Fund and shall be maintained in a separate
special account therein and used and withdrawn only as provided
in this Section 5B.
The proceeds of the Bonds so deposited in the Capital
Projects Fund, except as herein otherwise expressly provided,
shall be used and paid out from time to time solely for the
purpose of paying the Cost of the Project and are pledged
therefor . Any such proceeds remaining in the Capital Projects
Fund after completion of the Acquisition of the Project shall be
deposited in the Principal and Interest Fund and used for the
purposes of the Principal and Interest Fund or shall be used to
the extent feasible to call and redeem the Bonds in advance of
maturity. The City shall use any proceeds of the Bonds credited
to the Capital Projects Fund, without further order , to pay the
Debt Service Requirements of the Bonds as the same become due
whenever and to the extent moneys in the Principal and Interest
Fund and the Debt Service Reserve Fund or moneys otherwise
available therefor are insufficient for that purpose, unless
such proceeds shall be needed to defray obligations accrued and
to accrue under any contracts then existing and pertaining to
the Project . Any moneys so used shall be restored to the
Capital Projects Fund from the first Pledged Revenues thereafter
received and not needed to meet the requirements provided in
Sections 5E and 5F hereof .
C. Sewer Fund. Except as otherwise provided herein, the
entire Income, upon receipt thereof from time to time by the
City, shall be set aside and credited immediately to the Sewer
Fund. In addition, the City may at its option credit to the
Sewer Fund any other moneys of the City legally available for
expenditure for the purposes of the Sewer Fund as provided
herein.
The Sewer Fund shall be administered and the moneys on
deposit therein shall be deposited and applied in the following
order of priority:
( 1) First , to the Operation and Maintenance Fund to
pay Operation and Maintenance Expenses in the manner set
forth in Section 51);
(2) Second, to the Principal and Interest Fund to pay
the Debt Service Requirements of the Bonds , Additional
Parity Bonds and any other additional Parity Securities then
Outstanding in the manner set forth in Section 5E;
(3) Third, to the Debt Service Reserve Fund, in the
manner set forth in Section 5F;
-38-
(4) Fourth, to the payment of the Debt Service
Requirements of Subordinate Bonds or other Subordinate
Securities in accordance with Section 5H;
(5) Fifth, to the Sewer Depreciation and Capital
Improvements Fund, in the manner set forth in Section 5I ; and
( 6) Sixth, to be used in accordance with Section 5J .
D. Operation and Maintenance Fund . As a first charge on
the Sewer Fund, there shall be credited from time to time within
each Fiscal Year , to the Operation and Maintenance Fund, moneys
sufficient to pay the Operation and Maintenance Expenses of the
Sewerage Facilities as they become due and payable, and
thereupon the Operation and Maintenance Expenses shall be
promptly paid.
Any surplus remaining in the Operation and Maintenance Fund
at the end of the Fiscal Year and not needed for Operation and
Maintenance Expenses , shall be transferred to the Sewer Fund and
used for the purposes thereof .
E. Principal and Interest Fund . The City shall deposit in
the Principal and Interest Fund, forthwith upon receipt of the
proceeds of the Bonds , interest accrued thereon from their date
to the date of delivery thereof to the Purchaser , to apply to
the payment of interest first due on the Bonds .
Subject to the payments required by Section 5D, from any
moneys remaining in the Sewer Fund, there shall be credited to
the Principal and Interest Fund the following :
( 1) Interest Payments . Monthly, commencing
December 31 , 1985 , an amount equal to one-sixth of the next
installment of interest on the Bonds due in the current Bond
Year and such amounts for interest on any Additional Parity
Bonds and any other Parity Securities then Outstanding as
the ordinances authorizing the issuance thereof shall
provide, to the extent that other funds are not on deposit
therein and available therefor , so that there are moneys
therein sufficient to pay such interest when due; and
(2) Principal Payments_. Monthly, commencing
December 31 , 1985 , an amount equal to one-twelfth of the
next installment of principal on the Bonds due in the
current Bond Year and such amounts for principal on any
Additional Parity Bonds and any other Parity Securities then
Outstanding as the ordinances authorizing the issuance
thereof shall provide, to the extent that other funds are
not on deposit therein and available therefor , so that there
are moneys therein sufficient to pay such principal when due.
-39-
The moneys credited to the Principal and Interest Fund shall
be used to pay the Debt Service Requirements of the Bonds , any
Additional Parity Bonds and any other Parity Securities then
Outstanding, promptly as such Debt Service Requirements become
due, except as otherwise provided in Sections 5G and 9 hereof .
The Principal and Interest Fund shall be maintained as a sinking
fund for the mandatory redemption of Bonds maturing in the years
2005 and 2010 . Any mandatory sinking fund redemption shall be
treated as an installment of principal for purposes of this
Section 5E.
F. Debt Service Reserve Fund. The City shall deposit in
the Debt Service Reserve Fund, from moneys held in the Debt
Service Reserve Fund for the Prior Bonds , on the date of
issuance of the Bonds, the sum of approximately $1 , 930 , 000 , and
from the proceeds of the Bonds , forthwith upon receipt thereof,
the sum of approximately $3 , 085, 000 . Subject to the payments
required by Sections 5D and 5E hereof, except as provided in
Section 5G hereof, there shall be credited as hereinafter
provided and from time to time to the Debt Service Reserve Fund
moneys sufficient to accumulate in and maintain the Debt Service
Reserve Fund at an amount at least equal to the Combined Average
Annual Debt Service Requirements for all Outstanding Bonds ,
Additional Parity Bonds and other Parity Securities . No payment
need be made into the Debt Service Reserve Fund so long as the
moneys therein shall equal not less than said amount . In the
event that the amount of the Debt Service Reserve Fund falls
below the minimum amount required to be maintained therein, the
City shall credit to the Debt Service Reserve Fund from the Net
Pledged Revenues that sum of money needed to accumulate or
reaccumulate the amount therein so that at all times the amount
of the Debt Service Reserve Fund equals said minimum amount .
The moneys required to be deposited in the Debt Service Reserve
Fund shall be set aside, accumulated and, if necessary,
reaccumulated from time to time, and maintained as a continuing
reserve to be used, except as hereinafter provided in this
Section 5F and Sections 5G and 9 hereof, only to prevent
deficiencies in payment of the Debt Service Requirements of the
Bonds, any Additional Parity Bonds and any other Parity
Securities then Outstanding resulting from failure to deposit
into the Principal and Interest Fund sufficient funds to pay
such Debt Service Requirements as the same become due.
If at any time the City shall for any reason fail to pay
into the Principal and Interest Fund the full amount above
stipulated, then an amount shall be paid into the Principal and
Interest Fund at such time from the Debt Service Reserve Fund
equal to the difference between that paid from the Sewer Fund
and the full amount so stipulated. The money so used shall be
replaced to the Debt Service Reserve Fund from the first moneys
credited to the Sewer Fund thereafter received and not required
to be otherwise applied by Sections 5D and 5E hereof . If
Additional Bonds or other Parity Securities (other than the
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Bonds) are Outstanding and the ordinances authorizing the
issuance of those securities require the replacement of moneys
in a reserve account therefor , then the moneys replaced in the
Debt Service Reserve Fund shall be replaced on a pro rata basis
based upon the principal amount of the then Outstanding Bonds
and the total principal amount of the then Outstanding
Additional Parity Bonds or other Parity Securities , including
the Bonds , as moneys become available therefor .
If at any time the City shall for any reason fail to pay
into the Debt Service Reserve Fund the full amount stipulated
herein from the moneys credited to the Sewer Fund, the
difference between the amount paid and the amount so stipulated
shall in a like manner be paid therein from the first moneys
credited to the Sewer Fund thereafter received and not required
to be applied otherwise by Sections 5D and 5E hereof .
G. Termination of Deposits ; Use of Moneys in Principal and
Interest Fund and Debt Service Reserve Fund. No payment need be
made into the Principal and Interest Fund or the Debt Service
Reserve Fund, or both, if the amount in the Principal and
Interest Fund and the amount in the Debt Service Reserve Fund
total a sum at least equal to the entire amount of the
Outstanding Bonds and any Outstanding Additional Parity Bonds
and Parity Securities , as to all Debt Service Requirements , to
their respective maturities or to any Redemption Date or
Redemption Dates on which the City shall have exercised or shall
have obligated itself to exercise its option to redeem, prior to
their respective maturity dates , any Bonds , any Additional
Parity Bonds and any other Parity Securities , then Outstanding
and thereafter maturing (provided that , solely for the purpose
of this Section 5G, there shall be deemed to be a credit to the
Debt Service Reserve Fund of moneys , Federal Securities and bank
deposits , or any combination thereof , accounted for in any other
fund or account of the City and restricted solely for the
purpose of paying the Debt Service Requirements) , in which case
moneys in the Principal and Interest Fund and the Debt Service
Reserve Fund in an amount, except for any known interest or
other gain to accrue from any investment or deposit of moneys
pursuant to Section 6B hereof from the time of any such
investment or deposit to the time or respective times the
proceeds of any such investment or deposit shall be needed for
such payment, at least equal to such Debt Service Requirements ,
shall be used together with any such gain from such investments
and deposits solely to pay such Debt Service Requirements as the
same become due; and any moneys in excess thereof in the
Principal and Interest Fund and the Debt Service Reserve Fund
and any other moneys derived from the Pledged Revenues or
otherwise pertaining to the Sewerage Facilities may be used in
any lawful manner determined by the City.
The moneys in the Principal and Interest Fund and in the
Debt Service Reserve Fund shall be used solely and only for the
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purpose of paying the Debt Service Requirements of the Bonds ,
any Additional Parity Bonds and any other Parity Securities
hereafter authorized and Outstanding from time to time; but any
moneys at any time in excess of the minimum amount required to
be maintained in the Debt Service Reserve Fund may be withdrawn
therefrom, and transferred from time to time to the Sewer Fund
and distributed in the same manner as other moneys in the Sewer
Fund.
H. Payment of Additional Subordinate Securities .
Subsequent to fully providing for the payments required to be
made by Sections 5A through 5F hereof for a given Bond Year, any
moneys remaining in the Sewer Fund for such Bond Year may be
used by the City for the payment of Debt Service Requirements of
additional Subordinate Securities payable from the Pledged
Revenues and hereafter authorized to be issued in accordance
with this Ordinance and any other provisions herein supplemental
thereto , including reasonable reserves for such Subordinate
Securities , as the same become due; but the lien of such
Subordinate Securities on the Pledged Revenues and the pledge
thereof for the payment of such Subordinate Securities shall be
subordinate to the lien and pledge of the Bonds, any Additional
Parity Bonds and any other additional Parity Securities as
herein provided. (Any Additional Parity Bonds or other
additional Parity Securities , but not any Subordinate Bonds or
Subordinate Securities, shall be payable from the Principal and
Interest Fund and the Debt Service Reserve Fund pursuant to
Sections 5E through 5G hereof . )
I . Sewer Depreciation and Capital Improvements Fund.
Subject to the payments required by Sections 5D through 5H,
there shall be deposited in the Sewer Depreciation and Capital
Improvements Fund any moneys remaining in the Sewer Fund at the
end of each Bond Year . The moneys in the Sewer Depreciation and
Capital Improvements Fund shall be set aside, accumulated, and,
if necessary, reaccumulated from time to time, and maintained
for the purpose of paying the costs of required renewals ,
replacements , extraordinary repairs , extensions, improvements,
enlargements, and betterments to the Sewerage Facilities .
Moneys in excess of those required to be maintained in the Sewer
Depreciation and Capital Improvements Fund may be withdrawn
therefrom and transferred to the Sewer Fund and distributed in
the manner provided in Section 5J .
J. Use of Remaining Revenues . After the payments required
to be made by Sections 5A through 5I hereof are made, at the end
of any Bond Year , or whenever in any Bond Year there shall have
been credited to the Principal and Interest Fund, the Debt
Service Reserve Fund, and the Sewer Depreciation and Capital
Improvements Fund all amounts required to be deposited in those
special funds at that time, as herein provided, any remaining
moneys credited to the Sewer Fund may be used for any one or any
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combination of lawful purposes as the City may from time to time
determine .
K. Budget and Appropriation of Sums . The sums provided to
make the payments specified in this Section 5 are hereby
appropriated for said purposes , and said amounts for each year
shall be included in the annual budget and the appropriation
ordinance or measures to be adopted or passed by the City
Council in each year respectively while any of the Bonds , either
as to principal or interest , are Outstanding and unpaid. No
provisions of any constitution, statute, ordinance, resolution,
or other order or measure enacted after the issuance of the
Bonds shall in any manner be construed as limiting or impairing
the obligation of the City to keep and perform the covenants
contained in this Ordinance so long as any of the Bonds remain
Outstanding and unpaid. Nothing herein shall prohibit the City
Council from appropriating other funds of the City legally
available for this purpose to the Sewer Fund for the purposes
thereof .
Section 6 . General Administration of Funds .
A. Places and Times of Deposits . Each of the special
funds created or adopted in Section 5 hereof shall be maintained
in a Commercial Bank kept separate and apart from all other
accounts or funds of the City as trust accounts solely for the
purposes herein designated therefor . For purposes of investment
of moneys, nothing herein prevents the commingling of moneys
accounted for in any two or more such accounts or funds
pertaining to the Pledged Revenues . Such accounts or funds
shall be continuously secured to the fullest extent required or
permitted by the laws of the State for the securing of public
funds and shall be irrevocable and not withdrawable by anyone
for any purpose other than the respective designated purposes of
such accounts or funds . Each periodic payment shall be credited
to the proper account or fund not later than the date therefor
herein designated, except that when any such date shall be a
Saturday, a Sunday or a legal holiday, then such payment shall
be made on or before the next preceding business day.
B. Investment of Funds . Any moneys in any fund
established in Section 5 hereof may be invested, reinvested or
deposited only in Permitted Investments . Securities or
obligations purchased as such an investment shall either be
subject to redemption at any time at face value by the owner
thereof at the option of such owner , or shall mature at such
time or times as shall most nearly coincide with the expected
need for moneys from the fund in question. Securities or
obligations so purchased as an investment of moneys in any such
fund shall be deemed at all times to be a part of the applicable
fund; provided that the interest accruing on such investments
and any profit realized therefrom shall be credited to the. Sewer
Fund, and any loss resulting from such investments shall be
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charged to the particular fund in question . The City shall
present for redemption or sale on the prevailing market any
securities or obligations so purchased as an investment of
moneys in a given fund whenever it shall be necessary to do so
in order to provide moneys to meet any required payment or
transfer from such fund . The City shall not invest any moneys
accounted for hereunder if any such investment would contravene
the covenant concerning arbitrage in Section 8U hereof .
C. No Liability for Losses Incurred in Performing Terms of
Ordinance . Neither the City nor any officer of the City shall
Se liable or responsible for any loss resulting from any
investment or reinvestment made in accordance with this
Ordinance .
D. Character of Funds . The moneys in any fund herein
authorized shall consist of lawful money of the United States or
investments permitted by Section 6B hereof or both such money
and such investments . Moneys deposited in a demand or time
deposit account in or evidenced by a certificate of deposit of a
Commercial Bank pursuant to Sections 6A and 6B hereof,
appropriately secured according to the laws of the State, shall
be deemed lawful money of the United States of America .
E. Accelerated Payments Optional . Nothing contained
herein prevents the accumulation in any fund herein designated
of any monetary requirements at a faster rate than the rate or
minimum rate, as the case may be, provided therefor , but no
payment shall be so accelerated if such acceleration shall cause
a default in the payment of any obligation of the City
pertaining to the Pledged Revenues . Nothing herein contained
requires in connection with the Pledged Revenues received in any
Fiscal Year the accumulation in any fund or account for the
payment in the Comparable Bond Year of Debt Service Requirements
due in connection with any series of bonds or other securities
payable from the Pledged Revenues and heretofore, herein or
hereafter authorized, in excess of such Debt Service
Requirements due in such Comparable Bond Year, or in excess of
any reserves required to be accumulated and maintained therefor ,
and of any existing deficiencies , and payable from such fund or
account, as the case may be, except as may be otherwise provided
herein.
Section 7 . Priorities; Liens; Issuance of Additional Bonds .
A. First Lien on Pledged Revenues ; Equality of Bonds .
Except as expressly provided in this Ordinance with respect to
Additional Parity Bonds , Parity Securities and Subordinate
Securities , the Pledged Revenues shall be and hereby are
irrevocably pledged and set aside to pay the Debt Service
Requirements -of the Bonds .
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The Bonds constitute an irrevocable and first lien (but not
necessarily an exclusive first lien) upon the Pledged Revenues .
The Bonds , any Additional Parity Bonds and any other Parity
Securities hereafter authorized to be issued and from time to
time Outstanding are equitably and ratably secured by a lien on
the Pledged Revenues and shall not be entitled to any priority
one over the other in the application of the Pledged Revenues
regardless of the time or times of the issuance thereof , it
being the intention of the City Council that there shall be no
priority among the Bonds , any Additional Parity Bonds and any
other Parity Securities , regardless of the fact that they may be
actually issued and delivered at different times .
B. Issuanc_e of Additional Parity Securities . Nothing
herein, subject to the limitations stated in Sections 7F and 7G
hereof , prevents the issuance by the City of Additional Parity
Bonds or other additional Parity Securities payable from the
Pledged Revenues and constituting a lien on the Pledged Revenues
on a parity with, but not prior or superior to, the lien thereon
of the Bonds , or prevents the issuance of bonds or other
securities refunding all or a part of the Bonds ; but before any
such Additional Parity Bonds or other additional Parity
Securities are authorized or actually issued (excluding ( i) any
parity refunding securities refunding the Bonds , ( ii ) any Parity
Securities refunding Additional Parity Bonds or additional
Parity Securities) , the City shall have made all payments
required by Section 5 hereof and shall satisfy the following
provisions to the extent applicable :
( 1 ) Additional Parity Bonds for Special Projects
Initial Series . The City may issue an initial series of
Additional Parity Bonds to pay the costs of a Special
Project upon compliance with the conditions and tests set
forth in either (a) or (b) below:
(a) As certified by the consulting engineer for
the Special Project , the Net Pledged Revenues for any
consecutive twelve-month period during the preceding 24
months must have been equal to at least 125% of the
Combined Average Annual Debt Service Requirements of
the Bonds then Outstanding, any Additional Parity Bonds
then Outstanding, and the Additional Parity Bonds
proposed to be issued plus the estimated Average Annual
Debt Service Requirements of any Additional Parity
Bonds expected to be needed to complete the Special
Project . If any adjustment in rates , fees , tolls or
charges or tap fees , or any combination thereof , for
the direct or indirect connection with, or use of , the
Sewerage Facilities is made by the City during such
twelve-month period, the consulting engineer shall
adjust the calculation of the Net Pledged Revenues to
reflect the amount thereof that would have been
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received if such adjustment had been in effect
throughout such twelve-month period.
(b) As certified by the consulting engineer for
the Special Project , the Net Pledged Revnues for the
then-current Fiscal Year and each succeeding Fiscal
Year to and including the third Fiscal Year following
the expected completion date of the Special Project
must be expected to be 125% of the Combined Average
Annual Debt Service Requirements of the Bonds then
Outstanding, any Additional Parity Bonds then
Outstanding, and the Additional Parity Bonds proposed
to be issued plus the estimated Average Annual Debt
Service Requirements of any Additional Parity Bonds
expected to be needed to complete the Special Project .
The consulting engineer may take into consideration ( i)
any scheduled or projected changes in rates, fees ,
tolls or charges or tap fees , including those which are
anticipated as necessary to meet the rate maintenance
covenant in Section 8A hereof, or to meet any coverage
requirement above such rate maintenance covenant as the
City may determine to be necessary, ( ii ) investment
income and increased amounts to be held in the special
funds maintained for the payment and security of Bonds,
and (iii) increases or decreases in operation and
maintenance expenses .
(2) Additional Parity Bonds for Special Projects
Subsequent Series . The City may issue a subsequent series
of Additional Parity Bonds to complete a Special Project
initially financed with Additional Parity Bonds issued in
compliance with ( 1) above without complying with the
requirements of ( 1) above.
(3) Additional Parity Bonds for General Improvements
Initial or Subsequent Series . The City may issue an initial
or subsequent series of Additional Parity Bonds to pay the
costs of General Improvements upon compliance with ( 1 ) (a)
above.
C. Certification of Revenues . Where certifications of
revenues are required by this Ordinance, the specified and
required written certifications of the consulting engineer that
revenues are sufficient to pay the required amounts shall be
conclusively presumed to be accurate in determining the right of
the City to authorize issue, sell and deliver Additional Parity
Bonds or other additional Parity Securities .
D. Subordinate Securities Permitted . Nothing herein,
subject to the limitations stated in Sections 7F and 7G hereof,
prevents the City from issuing Subordinate Securities for any
lawful purpose.
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E. Superior Securities Prohibited . Nothing herein permits
the City to issue additional bonds or other additional
securities or to enter into any other contract or obligation
payable from the Pledged Revenues and having a lien thereon
prior and superior to the lien thereon of the Bonds .
F. Payment Dates of Additional Bonds . Anv Additional
Parity Bonds or Subordinate Bonds or other additional Parity or
Subordinate Securities ( including, without limitation, any
funding or refunding securities) issued in compliance with the
terms hereof may bear interest payable seminannually on June 1
and December 1 of each year , but the first interest payment date
may be for interest accruing for any period not in excess in the
aggregate of one year; and such additional securities shall
mature on December 1 of each year during the term of the
additional bonds or other additional securities .
G. Supplemental Ordinances . Additional bonds or other
additional securities payable from any Pledged Revenues shall be
issued only after authorization thereof by ordinance,
supplemental ordinance or other instrument of the City Council
stating the purpose or purposes of the issuance of such
additional securities, directing the application of the proceeds
thereof to such purpose or purposes , directing the execution
thereof , and fixing and determining the date, principal amount,
maturity or maturities , designation and numbers thereof , the
maximum rate or rates of interest to be borne thereby, any prior
redemption privileges of the City with respect thereto, and
other provisions thereof in accordance with this Ordinance . All
additional securities shall bear such date, shall bear such
numbers and series designation, letters or symbols prefixed to
their numbers distinguishing them from other securities issued
or to to be issued, shall be payable at such place or places ,
may be subject to redemption prior to maturity on such terms and
conditions as may be provided, and shall bear interest at such
rate or at such different or varying rates per annum, all as may
be fixed by ordinance, instrument or other document of the City
Council .
Section 8 . Covenants .
The City hereby particularly covenants and agrees with the
Owners of the Bonds from time to time, and makes provisions
which shall be a part of its contract with such Owners , which
covenants and provisions shall be kept by the City continuously
until all of the Bonds and the interest thereon, have been fully
paid and discharged, to the effect and with the purpose that :
A. Rate Maintenance Covenant , The City covenants that it
will prescribe, revise, and collect rates , fees , tolls , and
charges and tap fees or any combination thereof, which may be
imposed by the City whether pursuant to the Act or otherwise,
for the direct or indirect connection with, or the use of the
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Sewerage Facilities, and reasonable penalties for any
delinquencies, which shall produce Income sufficient, together
with any other moneys legally available therefor and credited to
the Sewer Fund, to make the payments and accumulations required
by this Ordinance, and which shall produce Net Pledged Revenues
sufficient, together with all other moneys legally available
therefor and credited to the Sewer Fund after payment of
Operation and Maintenance Expenses, to pay an amount at least
equal to 125% of the Combined Average Annual Service
Requirements for the Outstanding Bonds and every other issue of
Outstanding Additional Parity Bonds or other Parity Securities
plus any amounts required to meet then existing deficiencies
pertaining to any account relating to the Pledged Revenues or
any securities payable therefrom.
In the event that such rates , fees, tolls , and charges and
tap fees at any time should not be sufficient to make all of the
payments and accumulations required by this Ordinance, the City
Council will increase its rates , fees , tolls , and charges and
tap fees to such extent as to insure the payments and
accumulations required by the provisions of this Ordinance.
B. Collection of Charges . The City shall cause all rates ,
fees , tolls, and charges and tap fees pertaining to the Sewerage
Facilities to be billed promptly and collected as soon as
reasonable, shall prescribe and enforce rules and regulations or
impose contractual obligations for the payment thereof , to the
end that the Pledged Revenues shall be adequate to meet the
requirements of this Ordinance and any other ordinance or
instrument supplemental thereto . The rates , fees, tolls , and
charges and tap fees due shall be collected in any lawful manner .
C. Competent Management . The City shall employ
experienced and competent management personnel for each
component of the Sewerage Facilities . If the City shall fail to
pay the Debt Service Requirements of the Bonds promptly as the
same fall due, or if the City shall fail to keep any of the
covenants herein contained, and if such default shall continue
for a period of sixty ( 60) days , or if the Net Pledged Revenues
of the Sewerage Facilities in any Fiscal Year , together with
other legally available revenue and money, should fail to equal
at least the amount of the Debt Service Requirements of the
Bonds, and other obligations ( including all reserves therefor
specified in the authorizing proceedings, including but not
limited to this Ordinance) payable from the Net Pledged
Revenues, proceeds and income in the Comparable Bond Year, the
City shall retain a firm of competent management Persons skilled
in the operation of sewerage facilities to assist in the
management of the Sewerage Facilities so long as such default
continues or the said revenues, proceeds and income are less
than the amount hereinabove designated.
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D. Performance of Duties . The City, acting by and through
its officers , or otherwise, shall faithfully and punctually
perform, or cause to be performed, all duties with respect to
the Pledged Revenues , the Sewerage Facilities and the Project
required by the Constitution and laws of the State, and the
ordinances , resolutions and contracts of the City, including,
without limitation, the proper segregation of the proceeds of
the Bonds and the Pledged Revenues and their application from
time to time to the respective funds provided therefor .
E. Costs of Bond Issue and of Performance . Except as
otherwise specifically provided herein, all costs and expenses
incurred in connection with the issuance of the Bonds , payment
of the Debt Service Requirements , or with the City' s performance
of or compliance with any covenant or agreement contained in
this Ordinance, shall be paid exclusively (but only from the
appropriate special fund in the manner authorized herein) from
the proceeds of the Bonds , or from the Pledged Revenues , or from
other legally available moneys , and in no event shall any of
such costs or expenses be required to be paid out of or charged
to the general funds of the City.
F. Contractual Obligations . The City will perform all
contractual obligations undertaken by it under the contract with
the Purchaser as described in Section 4B hereof and any other
agreements relating to the Bonds , the Pledged Revenues , the
Sewerage Facilities or the Project .
G. Further Assurances . At any and all times the City
shall , so far as it may be authorized by law, pass , make, do
execute, acknowledge, deliver , and file or record all and every
such further instruments , acts, deeds , conveyances , assignments ,
transfers , other documents, and assurances as may be necessary
or desirable for the better assuring, conveying, granting,
assigning and confirming all and singular the rights , the
Pledged Revenues and other funds and accounts hereby pledged or
assigned, or intended so to be, or which the City may hereafter
become bound to pledge or assign, or as may be reasonable and
required to carry out the purposes of this Ordinance . The City,
acting by and through its officers , or otherwise, shall at all
times, to the extent permitted by law, defend, preserve and
protect the pledge of the Pledged Revenues and other funds and
accounts pledged hereunder and all the rights of every Owner of
any of the Bonds against all claims and demands of all Persons
whomsoever .
H. Conditions Precedent . Upon the date of issuance of any
of the Bonds, all conditions , acts and things required by the
Constitution or laws of the United States , the Constitution or
laws of the State, the home rule charter of the City, and this
Ordinance, to exist , to have happened, and to have been
performed precedent to or in the issuance of the Bonds shall
exist, have happened and have been performed, and the Bonds,
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together with all other obligations of the City, shall not
contravene any debt or other limitation prescribed by the
Constitution or laws of the United States or the Constitution or
laws of the State or the home rule charter of the City.
I . _Efficient Operation and Maintenance; No Free Service.
The City shall at all times operate the Sewerage Facilities
properly and in a sound and economical manner . The City shall
maintain, preserve and keep the Sewerage Facilities properly or
cause the same so to be maintained, preserved, and kept, with
the appurtenances and every part and parcel thereof in good
repair, working order and condition, and shall from time to time
make or cause to be made all necessary and proper repairs ,
replacements and renewals so that at all times the maintenance
of the Sewerage Facilities may be properly and advantageously
conducted. All salaries, fees , wages and other compensation
paid by the City in connection with the repair , maintenance and
operation of the Sewerage Facilities shall be fair and
reasonable.
The City shall supply no free service to any Person. If the
City shall use the Sewerage Facilities as a customer , it shall
pay a fair and reasonable amount for such service. In no event
shall the City pay a greater amount than would be charged a
private Person for the same amount of service. The City shall
include in its annual budgets and appropriation measures ,
amounts sufficient to pay for service so furnished.
J. Records and Accounts . The City will keep proper books
of record and account, separate and apart from all other records
and accounts , showing complete and correct entries of all
transactions relating to the funds referred to herein.
K. Rules, Regulations and Other Details . The City, acting
by and through its officers, shall establish and enforce
reasonable rules and regulations governing the construction,
operation, care, repair , maintenance, management, control , use
and services of the Sewerage Facilities . The City shall observe
and perform all of the terms and conditions contained in this
Ordinance and shall comply with all valid acts , rules ,
regulations , orders and directives of any legislative,
executive, administrative or judicial body applicable to the
Sewerage Facilities , the Project or the City.
L . Payment of Governmental Charges . The City shall pay or
cause to Be paid all taxes and assessments or other municipal or
governmental charges , if any, lawfully levied or assessed upon
or in respect of the Sewerage Facilities , the Project , or upon
any part thereof, or upon any portion of the Pledged Revenues ,
when the same shall become due, and shall duly observe and
comply with all valid requirements of any municipal or
governmental authority relative to the Sewerage Facilities , the
Project , or any part thereof, except for any period during which
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the same are being contested in good faith by proper legal
proceedings . The City shall not create or suffer to be created
any lien or charge upon the Sewerage Facilities , the Project , or
any part thereof , or upon the Pledged Revenues , except the
pledge and lien created by this Ordinance for the payment of the
Debt Service Requirements due in connection with the Bonds , and
except as herein otherwise permitted. The City shall pay or
cause to be discharged or shall make adequate provision to
satisfy and to discharge, within ninety (90 ) days after the same
shall become payable, all lawful claims and demands for labor ,
materials , supplies or other objects which, if unpaid, might by
law become a lien upon the Sewerage Facilities , the Project or
any part thereof , or the Pledged Revenues , but nothing herein
requires the City to pay or to cause to be discharged or to make
provision for any such tax, assessment , lien or charge, so long
as the validity thereof is contested in good faith and by
appropriate legal proceedings .
M. Protection of Security. The City, its officers , agents
and employees , shall not take any action in such manner or to
such extent as might prejudice the security for the payment of
the Debt Service Requirements of the Bonds and any other
securities payable from the Pledged Revenues according to the
terms thereof . No contract shall be entered into nor any other
action taken by which the rights of any Owner of any Bonds or
other security payable from Pledged Revenues might be
prejudicially and materially impaired or diminished .
N. Accumulation of Interest_ Claims . In order to prevent
any accumulation of claims for interest after maturity, the City
shall not directly or indirectly extend or assent to the
extension of the time for the payment of any claim for interest
on any of the Bonds or any other securities payable from Pledged
Revenues; and the City shall not directly or indirectly be a
party to or approve any arrangements for any such extension or
for the purpose of keeping alive any of such claims for
interest . If the time for the payment of any such installment
of interest is extended in contravention of the foregoing
provisions , such installment or installments of interest after
such extension or arrangement shall not be entitled in case of
default hereunder to the benefit or the security of this
Ordinance, except upon the prior payment in full of the
principal of all of the Bonds and any such securities the
payment of which has not been extended .
0. Prompt Payment of Bonds . The City shall promptly pay
the Debt Service Requirements of every Bond at the places , on
the dates , and in the manner specified herein and in the Bonds
according to the true intent and meaning hereof .
P. Use of Principal and Interest and Debt Service Reserve
Funds . The Principal and Interest Fund and the Debt Service
Reserve Fund shall be used solely and only, and the moneys
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credited to such accounts are hereby pledged, for the purpose of
paying the Debt Service Requirements of the Bonds, Additional
Parity Bonds and any other Parity Securities to their respective
maturities or any Redemption Date or Redemption Dates on which
the City is obligated to redeem Bonds , subject to Section 9
hereof .
Q. Additional Securities . The City shall not hereafter
issue any bonds or securities relating to the Sewerage
Facilities or the Project and payable from Pledged Revenues,
other than the Bonds , without compliance with the requirements
with respect to the issuance of Additional Parity Bonds or other
securities set forth herein to the extent applicable.
R. Other Liens . Other than as provided herein, there are
no liens or encumbraces of any nature whatsoever on or against
the Sewerage Facilities , the Project or any part thereof, or on
or against the Pledged Revenues .
S . Disposal of Sewerage Facilities Prohibited. Subject to
Section 8V hereof, except for the use of the Sewerage Facilities
and services pertaining thereto in the normal course of
business , neither all nor a substantial part of the Sewerage
Facilities shall be sold, mortgaged, pledged, encumbered,
alienated or otherwise disposed of , until all of the Bonds have
been paid in full , as to all Debt Service Requirements , or
unless provision has been made therefor, or until the Bonds have
otherwise been redeemed, including, without limitation, the
termination of the pledge as herein authorized. Subject to
Section 8V hereof, the City shall not dispose of its title to
the Sewerage Facilities or to any useful part thereof, including
any property necessary to the operation and use of the Sewerage
Facilities and the lands and interests in lands comprising the
Sewerage Facilities .
T. Surety Bonds . Each official or other person having
custody of any Pledged Revenues or responsible for their
handling, shall be fully bonded at all times, which bond shall
be conditioned upon the proper application of said moneys . The
cost of each such bond shall be considered an Operation and
Maintenance Expense, unless otherwise provided by law.
U. Arbitrage . The City shall make no investment or other
use of the proceeds of the Bonds , which, if such investment or
other use had been reasonably expected on the date the Bonds are
issued, would have caused the Bonds to be arbitrage bonds within
the meaning of Section 103(c) of the Internal Revenue Code of
1954 , as amended, and the regulations thereunder .
V. Disposal of Property. No part of the Sewerage
Facilities shall be sold, leased, mortgaged, pledged, encumbered
or otherwise disposed of or otherwise alienated, until all of
the Bonds have been paid in full , or unless provision has been
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made therefor , or until the Bonds have otherwise been redeemed;
provided, however , that the City may sell , exchange or lease at
any time and from time to time any property or facilitieF
constituting part of the Sewerage Facilities and not useful in
the construction, reconstruction or operation thereof; but any
proceeds of any such sale or exchange received and not used to
replace such property so sold or exchanged shall be deposited in
the Sewer Fund, and any proceeds of any such lease received
shall be deposited by the City as revenues of the Sewerage
Facilities .
W. Loss from Condemnation . If any part of the Sewerage
Facilities is taken by the exercise of a power of eminent
domain, the amount of any award received by the City as a result
of such taking shall be expended upon the Improvement or
Equipment of the Sewerage Facilities or upon both its
Improvement and Equipment , or shall be applied to the redemption
of the Outstanding Bonds , any Outstanding Additional Parity
Bonds and any Outstanding Parity Securities in accordance with
the provisions hereof and of any other instrument pertaining to
the issuance of any such Parity Securities at maturity or prior
thereto if the authorizing ordinances authorize the prior
redemption of such securities , or shall be deposited in the
Sewer Depreciation and Capital Improvements Fund and held as a
reserve for expenditure subsequently upon such capital
improvements , or any combination thereof , as the City Council
may determine .
X. Inspection of Records . Any Owner of any of the Bonds
or any other securities payable from the Pledged Revenues, any
duly authorized agent or agents of such Owner , or the Purchaser
of the Bonds , shall have the right at all reasonable times to
inspect all records , accounts and data relating thereto,
concerning the Sewerage Facilities , the Project , the Pledged
Revenues , or all or any other combination thereof , to make
copies of such records , accounts and data at the Owner ' s or
Purchaser ' s expense, and to inspect the Sewerage Facilities and
properties comprising the Sewerage Facilities .
Y. Audits Required. The City, annually following the
close of each Fiscal Year , shall order an audit for the Fiscal
Year of the books and accounts pertaining to the Sewerage
Facilities to be made forthwith by an independent accountant ,
and order an audit report showing the receipts and disbursements
for each fund or account pertaining to the Sewerage Facilities ,
the Project, the Pledged Revenues , or all or any other
combination thereof . All expenses incurred in the making of the
audits and reports required by this subsection shall be regarded
and paid as an Operation and Maintenance Expense.
Z . Insurance and Reconstruction. The City shall at all
times maintain with responsible insurers all such insurance
reasonably required and obtainable within limits and at costs
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deemed reasonable by the City as is customarily maintained with
respect to sewerage facilities of like character against loss of
or damage to the Sewerage Facilities and against public and
other liability to the extent at least reasonably necessary to
protect the interest of the City and of each Owner of a Bond or
any other security payable from the Pledged Revenues , except as
herein otherwise provided. If any useful part of the Sewerage
Facilities shall be damaged or destroyed, the City shall , as
expeditiously as possible, commence and diligently proceed with
the repair or replacement of the damaged or destroyed property
so as to restore the same to use. The proceeds of any insurance
appertaining to the Sewerage Facilities shall be payable to the
City and (except for proceeds of use and occupancy insurance)
shall be applied to the necessary costs involved in such repair
and replacement , and to the extent not so applied shall
(together with the proceeds of any such use and occupancy
insurance) be deposited in the Sewer Fund as Pledged Revenues .
If the costs of such repair and replacement of the damaged or
destroyed property exceed the proceeds of such property
insurance available for payment of the same, moneys in the Sewer
Fund shall be used to the extent necessary for such purpose, as
permitted by Section 5J hereof .
AA. Completion of Project ; Estimated Life of Project . The
City, with the proceeds derived from the sale of the Bonds , and
any other legally available moneys, including the proceeds
derived from the issuance of Additional Parity Bonds , shall
proceed to cause the Project to be completed without delay to
the best of the City' s ability and with due diligence, as herein
provided.
The City Council hereby determines that the estimated life
of the Project to be financed with the Bond proceeds is not less
than twenty-five (25) years and one ( 1) month.
Section 9 . Defeasance.
When all Debt Service Requirements of the Bonds have been
duly paid, the pledge and lien and all obligations hereunder
shall thereby be discharged and the Bonds shall no longer be
deemed to be Outstanding within the meaning of this Ordinance .
There shall be deemed to be such due payment when the City has
placed in escrow or in trust with a Trust Bank located within or
without the State, moneys or Federal Securities in an amount
sufficient ( including the known minimum yield available for such
purpose from Federal Securities in which such amount wholly or
in part may be initially invested) to meet all Debt Service
Requirements of the Bonds , as the same become due to the final
maturities of the Bonds or upon any Redemption Date as of which
the City shall have exercised or shall have obligated itself to
exercise its option to call Bonds for prior redemption. The
Federal Securities shall become due prior to the respective
times at which the proceeds thereof shall be needed, in
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accordance with a schedule established and agreed upon between
the City and such bank at the time of the creation of the escrow
or trust , or the Federal Securities shall be subject to
redemption at the option of the Owner thereof to assure such
availability as so needed to meet such schedule. Nothing herein
shall be construed to prohibit a partial defeasance of the
Outstanding Bonds in accordance with the provisions of this
Section 9 .
Section 10 . Default Provisions and Remedies of Bond
Owners .
A. Events of Default . Each of the following events is
hereby declared to be and to constitute an Event of Default :
( 1 ) Nonpayment of Principal . Payment of the principal
of any of the Bonds is not made when the same becomes due
and payable, either at maturity or by proceedings for prior
redemption, or otherwise;
(2) Nonpayment of Interest . Payment of any
installment of interest is not made when the same becomes
due and payable;
(3) Incapable to Perform. The City for any reason is ,
or is rendered, incapable of fulfilling its obligations
hereunder ;
( 4 ) Nonperformance of Duties . The City shall have
failed to carry out and to perform (or in good faith to
begin the performance of) all acts and things lawfully
required to be carried out or to be performed by it under
any contract relating to the Pledged Revenues , to the
Project , to the Sewerage Facilities or to all or any
combination thereof , or otherwise, including, without
limitation, this Ordinance, and such failure shall continue
for sixty (60) days after receipt of notice from the Owners
of twenty-five percent (25% ) in aggregate principal amount
of the Bonds then Outstanding; provided that if such failure
cannot be cured within such sixty ( 60 ) days and if during
that period corrective action has commenced to remedy such
failure and subsequently is diligently pursued by the City
to the completion of such performance, an Event of Default
shall not be deemed to have occurred;
(5) Failure to Reconstruct . The City discontinues or
unreasonably delays or fails to carry out with reasonable
dispatch the reconstruction of any revenue-producing part of
the Sewerage Facilities which is condemned, destroyed or
damaged and is not promptly repaired or replaced (whether
such failure to repair the same is due to impracticality of
such repair or replacement , or is due to a lack of moneys
therefor, or for other reason) ;
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(6) Appointment of Receiver . An order or decree is
entered by a court of competent jurisdiction, with the
consent or acquiescence of the City, appointing a receiver
or receivers for the Sewerage Facilities or for the Pledged
Revenues and any other moneys subject to the lien to secure
the payment of the Bonds , or both the Sewerage Facilities
and such moneys , or if any order or decree, having been
entered without the consent or acquiescence of the City, is
not vacated or discharged or stayed on appeal within sixty
( 60) days after entry;
( 7) Default of Any Provision. The City makes any
default in the due and punctual performance of any other of
the representations , covenants, conditions, agreements and
other provisions contained in the Bonds or in this Ordinance
on its part to be performed, and if such default continues
for sixty (60) days after written notice, specifying such
default and requiring the same to be remedied, is given to
the City by the Owners of twenty-five percent (250) in
aggregate principal amount of the Bonds then Outstanding;
provided that if such default cannot be cured within such
sixty (60) days and if during that period corrective action
has commenced to remedy such default and subsequently is
diligently pursued to the completion of such performance, an
Event of Default shall not be deemed to have occurred.
B . Remedies for Defaults . Upon the happening and
continuance of any of the Events of Default , as provided in
Section 10A hereof, then and in every case the Owner or Owners
of not less than twenty-five percent (250) in aggregate
principal amount of the Bonds then Outstanding, including,
without limitation, a trustee or trustees therefor , may proceed
against the City and its agents , officers and employees to
protect and to enforce the rights of any Owner of Bonds under
this Ordinance by mandatory injunction or by other suit , action,
or special proceedings in equity or at law, in any court of
competent jurisdiction, either for the appointment of a receiver
or an operating trustee or for the specific performance of any
covenant or agreement contained herein or for any proper legal
or equitable remedy as such Owner or Owners may deem most
effectual to protect and to enforce the rights aforesaid, or
thereby to enjoin any act or thing which may be unlawful or in
violation of any right of any Owner of any Bond, or to require
the City to act as if it were the trustee of an expressed trust,
or any combination of such remedies , or as otherwise may be
authorized by any statute or other provision of law. All such
proceedings at law or in equity shall be instituted, had and
maintained for the equal benefit of all Owners of the Bonds, and
any Additional Parity Bonds or additional Parity Securities then
Outstanding. Any receiver or operating trustee appointed in any
proceedings to protect the rights of such Owners hereunder may
collect , receive and apply all Pledged Revenues arising after
the appointment of such receiver or operating trustee in the
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same manner as the City itself might do . The consent to any
such appointment is hereby expressly granted by the City.
C. Rights and Privileges Cumulative . The failure of any
Owner of any Outstanding Bond to proceed in any manner herein
provided shall not relieve the City or any of its officers ,
agents or employees of any liability for failure to perform to
carry out any duty, obligation or other commitment . Each right
or privilege of any such Owner or trustee therefor is in
addition and is cumulative to any other right or privilege, and
the exercise of any right or privilege by or on behalf of any
Owner shall not be deemed a waiver of any other right or
privilege thereof . Each Owner of any Bond shall be entitled to
all of the privileges , rights and remedies provided or permitted
in this Ordinance and as otherwise provided or permitted by law
or in equity or by statute, except as provided in Sections 12A
and 12B hereof, and subject to the appicable provisions
concerning the Pledged Revenues and the proceeds of the Bonds .
Nothing herein affects or impairs the right of any Owner of any
Bond to enforce the payment of the Debt Service Requirements due
in connection with this Bond or the obligation of the City to
pay the Debt Service Requirements of each Bond to the Owner
thereof at the time and the place expressed in such Bond.
D. Duties Upon Default . Upon the happening of any of the
Events of Default as provided in Section 10A hereof , the City,
in addition, will do and perform all proper acts on behalf of
and for the Owners of the Outstanding Bonds to protect and to
preserve the security created for the payment of their Bonds and
to insure the payment of the Debt Service Requirements promptly
as the same become due. During any period of default , so long
as any of the Bonds , as to any Debt Service Requirements , are
Outstanding, except to the extent it may be unlawful to do so,
all Pledged Revenues shall be paid into the Principal and
Interest Fund, or , in the event of securities hereafter issued
and Outstanding during such period of time on a parity with the
Bonds , shall be paid into the Principal and Interest Fund for
all Parity Securities , including the Bonds , on an equitable and
prorated basis , and used for the purposes therein provided . If
the City fails or refuses to proceed as in this Section 10D
provided, the Owner or Owners of not less than twenty-five
percent (25%) in aggregate principal amount of the Bonds then
Outstanding, after demand in writing, may proceed to protect and
to enforce the rights of the Owners of the Bonds as hereinabcve
provided; and to that end any such Owners of Outstanding Bonds
shall be subrogated to all rights of the City under any
agreement or contract involving the Pledged Revenues entered
into prior to the effective date of this Ordinance or thereafter
while any of the Bonds are Outstanding . Nothing herein requires
the City to proceed as provided herein if it determines in good
faith and without any abuse of its discretion that if it so
proceeds it is more likely than not t, incur a net loss rather
than a net gain or such action is likely to affect materialli
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the City Clerk, or by any notary public or other officer
authorized to take acknowledgments of deeds to be recorded
in the state in which he purports to act, showing at the
date therein mentioned that such Person exhibited to such
member , officer , notary public or other officer so
authorized to take acknowledgments of deeds or had on
deposit with such depository the securities described in
such certificate or , if in registered form shall be
determined from the related registration books; but the City
Clerk may nevertheless in his or her discretion require
further or other proof in cases where he or she deems the
same advisable .
F. Warranty Upon Issuance of Bonds . Any of the Bonds as
herein provided, when duly executed and registered for the
purposes provided for in this Ordinance, shall constitute a
warranty by and on behalf of the City for the benefit of each
and every future Owner of any of the Bonds that the Bonds have
been issued for a valuable consideration in full conformity with
law.
G. Immunities of Purchaser . The Purchaser and any
associate thereof are under no obligation to any Owner of the
Bonds for any action that they may not take or in respect of
anything that they may or may not do by reason of any
information contained in any reports or other documents received
by them under the provisions of this Ordinance. The immunities
and exemption from liability of the Purchaser and any associate
thereof hereunder extend to their partners , directors ,
successors, assigns, employees and agents .
Section 11 . Amendment of Ordinance.
A. Amendment of Ordinance Not Requiring Consent of Bond
Owners . The City may, without the consent of , or notice to , the
Owersn of the Bonds , adopt such ordinances supplemental hereto
(which amendments shall thereafter form a part hereof) for any
one or more or all of the following purposes ;
( 1) To cure any ambiguity, or to cure, correct or
supplement any defect or inconsistent provision contained in
this Ordinance, or to make any provision with respect to
matters arising under this Ordinance or for any other
purpose if such provisions are necessary or desirable and do
not adversely affect the interests of the Owners of the
Bonds; or
(2) To subject to this Ordinance additional revenues ,
properties or collateral .
B . Amendment of Ordinance Requiring Consent of Bond
Owners . Exclusive of the amendatory ordinances covered by
Section 11A hereof, this Ordinance may be amended or modified by
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ordinances or other instruments duly adopted by the City
Council , without receipt by it or any additional consideration,
but with the written consent of the Owners of sixty-six percent
( 66%) in aggregate principal amount of the Bonds and Outstanding
at the time of the adoption of such amendatory ordinance,
including any Outstanding refunding securities as may be issued
for the purpose of refunding any of the Bonds , provided that no
such amendatory resolution shall permit :
( 1) Changing Payment . A change in the maturity or in
the terms of redemption of the principal of any Outstanding
Bond or any installment of interest thereon; or
(2) Reducing Return. A reduction in the principal
amount of any Bond or the rate of interest thereon without
the consent of the Owner of the Bond; or
(3) Prior Lien. The creation of a lien upon or a
pledge of revenues ranking prior to the lien or to the
pledge created by this Ordinance; or
(4) Modifying Amendment Terms . A reduction of the
principal amount or percentages of Bonds , or any
modification otherwise affecting the description of Bonds,
otherwise changing the consent of the Owners of Bonds, which
may be required herein for any amendment hereto; or
(5) Priorities Between Bonds . The establishment of
priorities as between Bonds issued and Outstanding under the
provisions of this Ordinance; or
( 6) Partial Modification. Any modifications otherwise
materially and prejudicially affecting the rights or
privileges of the Owners of less than all of the Bonds then
Outstanding.
Whenever the City Council proposes to amend or modify this
Ordinance under the provisions of this Section 11B it shall give
notice of the proposed amendment by mailing such notice to the
Purchaser of the Bonds, or to any successor thereof known to the
City Clerk and to all registered Owners of Bonds on the
registration books of the City. Such notice shall briefly set
forth the the nature of the proposed amendment and shall state
that a copy of the proposed amendatory ordinance or other
instrument is on file in the office of the City Clerk for public
inspection.
C. Time for and Consent to Amendment . Whenever at any
time within one ( 1) year from the date of the completion of the
notice required to be given by Section 11B hereof there shall be
filed in the office of the City Clerk an instrument or
instruments executed by the Owners of at least sixty-six percent
(660) in aggregate principal amount of the Bonds then
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Outstanding, which instrument or instruments shall refer to the
proposed amendatory ordinance or other instrument described in
such notice and shall specifically consent to and approve the
adoption of such ordinance or other instrument, thereupon, but
not otherwise, the City Council may adopt such amendatory
ordinance or instrument and such ordinance or instrument shall
become effective . If the Owners of at least sixty-six percent
(66%) in aggregate principal amount of the Bonds then
Outstanding, at the time of the adoption of such amendatory
ordinance or instrument , or the predecessors in title of such
Owners , shall have consented to and approved the adoption
thereof as herein provided, no Owner of any Bond whether or not
such Owner shall have consented to or shall have revoked any
consent as herein provided shall have any right or interest to
object to the adoption of such amendatory ordinance or other
instrument or to object to any of the terms or provisions
therein contained or to the operation thereof or to enjoin or
restrain the City from taking any action pursuant to the
provisions thereof . Any consent given by the Owner of a Bond
pursuant to the provisions thereof shall be irrevocable for a
period of six ( 6) months from the date of the completion of the
notice above provided for and shall be conclusive and binding
upon all future Owners of the same Bond during such period.
Such consent may be revoked at any time after six ( 6) months
from the completion of such notice, by the Owner who gave such
consent or by a successor in title, by filing notice of such
revocation with the City Clerk, but such revocation shall not be
effective if the Owners of sixty-six percent (66%) in aggregate
principal amount of the Bonds Outstanding as herein provided,
prior to the attempted revocation, shall have consented to and
approved the amendatory instrument referred to in such
revocation.
D . Unanimous Consent . Notwithstanding anything in the
foregoing provisions contained, the terms and the provisions of
this Ordinance, or of any ordinance or instrument amendatory
thereof, and the rights and the obligations of the City and of
the Owners of the Bonds may be modified or amended in any
respect upon the adoption by the City and upon the filing with
the City Clerk of an instrument to that effect and with the
consent of the Owners of all the then Outstanding Bonds , such
consent to be given in the manner provided in Section 11C
hereof; and no notice to Owners of Bonds shall be required as
provided in Section 11B hereof, nor shall the time of consent be
limited except as may be provided in such consent .
E. Exclusion of Bonds . At the time of any consent or of
other action taken hereunder the City shall furnish to the Clerk
a certificate, upon which the Clerk may rely, describing all
Bonds to be excluded for the purpose of consent or of other
action or or any calculation of Outstanding Bonds provided for
hereunder , and, with respect to such excluded Bonds , the City
shall not be entitled or required with respect to such Bonds to
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give or obtain any consent or to take any other action provided
for hereunder .
F. Notation on Bonds . Any of the Bonds delivered after
the effective date of any action taken as provided in Section
11B, or Bonds Outstanding at the effective date of such action,
may bear a notation thereon by endorsement or otherwise in form
approved by the City Council as to such action; and if any such
Bonds so executed and delivered after such date does not bear
such notation, then upon demand of the - Owner of any Bond
Outstanding at such effective date and upon presentation of his
Bond for such purpose at the principal office of the City,
suitable notation shall be made on such Bond by the City Clerk
as to any such action. If the City Council so determines , new
Bonds so modified as in the opinion of the City Council to
conform to such action shall be prepared, executed and
delivered; and upon demand of the Owner of any Bond then
Outstanding, shall be exchanged without cost to such Owner for
Bonds then Outstanding upon surrender of such Outstanding Bonds .
G. Proof of Instruments and Bonds . The fact and date of
execution of any instrument under the provisions of this Section
11 , the amount and number of the Bonds owned by any Person
executing such instrument, and the date of his registering the
same may be proved as provided by Section 10E hereof .
Section 12 , Miscellaneous .
A. Character of Agreement . None of the covenants ,
agreements, representations , or warranties contained herein or
in the Bonds shall ever impose or shall be construed as imposing
any liability, obligation, or charge against the City (except
for the special funds pledged therefor) or against the general
credit of the City payable out of general funds or out of any
funds derived from general property taxes .
B. No Pledge of Property. The payment of the Bonds is not
secured by an encumbrance, mortgage or other pledge of property
of the City except for the Pledged Revenues of the City. No
property of the City, subject to such exception with respect to
the Pledged Revenues, pledged for the payment of the Bonds,
shall be liable to be forfeited to taken in payment of the Bonds .
C. Statute of Limitations . No action or suit based upon
any Bond or other obligation of the City shall be commenced
after it is barred by any statute of limitations pertaining
thereto . Any trust or fiduciary relationship between the City
and the Owner of any Bond or the obligee regarding any such
obligation shall be conclusively presumed to have been
repudiated on the maturity date or other due date thereof unless
the Bond is presented for payment or demand for payment of such
other obligation is otherwise made before the expiration of the
applicable limitation period. Any moneys from whatever source
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derived remaining in any fund or account reserved, pledged or
otherwise held for the payment of any such obligation, action or
suit, the collection of which has been barred, shall revert to
the Sewer Fund, unless the City Council shall otherwise provide
by ordinance. Nothing herein prevents the payment of any such
Bond or other obligation after an action or suit for its
collection has been barred if the City Council deems it in the
best interests of the City or the public so to do and orders
such payment to be made .
D. Delegated Duties . The officers of the City are hereby
authorized and directed to enter into such agreements and take
all action necessary or appropriate to effectuate the provisions
of this Ordinance and to comply with the requirements of law,
including, without limitation:
( 1) Printing of Bonds . The printing of the Bonds ,
including the printing upon each such Bond of a copy of the
approving legal opinion of Ballard, Spahr , Andrews &
Ingersoll , bond counsel , duly certified by the City Clerk,
and, if necessary or desirable pending delivery of printed
Bonds, the preparation of one or more temporary typewritten
Bonds in an aggregate principal amount equal to that of the
Bonds, otherwise in substantially the same form and bearing
the same terms , to be delivered to the Purchaser and
thereafter to be exchanged by the Purchaser for printed
Bonds when the same are received by the City;
(2) Execution, Registration and Delivery of Bonds .
The execution and registration of the Bonds and the delivery
of the Bonds to the Purchaser pursuant to the provisions of
this Ordinance;
(3) Information . The assembly and dissemination of
financial and other information concerning the City and the
Bonds;
(4) Official Statement . The preparation of a final
official statement for the use of prospective buyers of the
Bonds , including, without limitation, the Purchaser and its
associates, if any; and
( 5) _Closing Certificates . The execution of the Escrow
Agreement and such certificates as may be reasonably
required by the Purchaser , relating, inter alia, to :
(a) The signing of the Bonds;
(b) The tenure and identity of the officials of
the City;
(c) If in accordance with fact, the absence of
litigation, pending or threatened, affecting the
validity of the Bonds;
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(2) Bonds . Toward the sale and delivery of the Bonds
for that purpose, be, and the same hereby is, ratified,
approved and confirmed .
H. Facsimile Signatures . Pursuant to the Uniform
Facsimile Signature of Public Officials Act, part 1 of
article 55 of title 11 , Colorado Revised Statutes , as amended,
the Mayor and the City Clerk shall forthwith, and in any event
prior to the time the Bonds are delivered to the Purchaser , file
with the Colorado Secretary of State their manual signatures
certified by them under oath.
I . Ordinance Irrepealable . This Ordinance is , and shall
constitute, a legislative measure of the City and after any of
the Bonds are issued, this Ordinance shall constitute an
irrevocable contract between the City and the Owner or Owners of
the Bonds; and this Ordinance, subject to the provisions of
Sections 9 and 11 hereof , if any Bonds are in fact issued, shall
be and shall remain irrepealable until the Bonds , as to all Debt
Service Requirements, shall be fully paid, cancelled and
discharged, as herein provided.
J. Repealer . All ordinances, resolutions , bylaws, orders ,
and other instruments , or parts thereof, inconsistent herewith
are hereby repealed to the extent only of such inconsistency.
This repealer shall not be construed to revive any ordinance,
resolution, bylaw, order , or other instrument , or part thereof,
heretofore repealed.
K. Severability. If any section, subsection, paragraph,
clause or other provision of this Ordinance shall for any reason
be held to be invalid or unenforceable, the invalidity or
unenforceability thereof shall not affect any of the remaining
sections, subsections , paragraphs , clauses or provisions of this
Ordinance.
INTRODUCED, READ, APPROVED ON FIRST READING, AND ORDERED
PUBLISHED BY NUMBER AND TITLE ONLY this 5th day of November ,
1985 .
CITY OF FORT COLLINS, COLORADO
(CITY) By:
Mcl or
(SEAL) y
ATTEST:
)amlk�� �� -".
City Clerk
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READ, FINALLY PASSED ON SECOND READING, AND ORDERED
PUBLISHED ONCE BY NUMBER AND TITLE ONLY this 19th day of
November , 1985 .
CITY OF FORT COLLINS , COLORADO
(CITY) By: 1 -4� 4�
(SEAL) MMTTayo rr
ATTEST :
City Clerk
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Council Member Clarke moved that the foregoing
Ordinance heretofore introduced and read by title be approved on
first reading. Council Member Estrada
seconded the motion .
The question being upon the approval on first reading of the
Ordinance, the roll was called with the following results :
Council Members voting "AYE" : Barbara S . Rutstein
Kelly Ohlson
E. John Clarke
Larry Estrada
Gerald C. Horak
John B . Knezovich
Ed Stoner
Council Members voting "NAY" : None
The Mayor thereupon declared that, a majority of the Council
Members present having voted in favor thereof, the motion was
carried and the Ordinance duly approved on first reading.
Thereupon the Mayor ordered the Ordinance published by
number and title only together with a statement that the text
thereof is available for public inspection and acquisition in
the office of the City Clerk and a notice giving the date when
the Ordinance will be presented for final passage in The
Coloradoan, a newspaper of general circulation published in the
City, at least seven ( 7) days before presentation for final
passage.
After consideration of other business to come before the
Council , the meeting was adjourned.
(CITY) mlayul
(SEAL) City of Fort Collins, Colorado
ATTEST:
City Clerk
City of Fort Collins , Colorado
-67-
STATE OF COLORADO )
COUNTY OF LARIMER ) ss .
CITY OF FORT COLLINS )
The Council of the City of Fort Collins , Colorado, held a
regular meeting at Council Chambers , City Hall , 300 West LaPorte
Avenue, Fort Collins , Colorado, on Tuesday, the 19th day o
November , 1985 , at the hour of 6 : 30 p.m.
The following persons were present :
Council Members : Barbara S . Rutstein, Mayor
Kelly Ohlson, Assistant Mayor
E. John Clarke
Larry Estrada
Gerald C. Horak
John B. Knezovich
Ed Stoner
Interim City Manager : Richard H. Shannon
Finance Director : James H. Harmon
City Clerk: Wanda M. Krajicek
City Attorney: John H. Huisjen
The following persons were absent :
done
The Mayor informed the Council that Ordinance No . 143 1985 ,
which was introduced, approved on first reading, and ordered
published by number and title only at the regular and
of the
Council held on November 5, 1985 , was duly published in The
Coloradoan, a newspaper of general circulation published in the
City, in its issue of November 10, 1985 .
Council Member Clarke then read the Ordinance by its
title.
Thereupon, Council Member Clarke moved the final
passage of Ordinance No . 143 1985 . Council Member Estrada
seconded the motion, and the question being upon the final
passage of the Ordinance, the roll was called with the following
result :
-68-
Council Members voting "AYE" : Barbara S . Rutstein
Kelly Ohlson
E. John Clarke
Larry Estrada
Gerald C. Horak
John B. Knezovich
Ed Stoner
`Council Members voting "NAY" : None
The Mayor thereupon declared that a majority of the Council
Members present having voted in favor thereof, the motion was
carried and the Ordinance finally passed.
Thereupon the Mayor ordered the Ordinance published by
number and title only together with a notice of the final
passage of the Ordinance in The Coloradoan, a newspaper of
general circulation published in the City, within five (5) days
after final passage.
After consideration of other business to come before the
Council the meeting was adjourned.
Mayor
(CITY) City of Fort Collins, Colorado
(SEAL)
ATTEST:
"�6N
City Clerk
City of Fort Collins , Colorado
-69-
STATE OF COLORADO )
COUNTY OF LARIMER ) ss .
CITY OF FORT COLLINS )
I , Wanda M. Krajicek, City Clerk of the City of Fort
Collins, Colorado, do hereby certify that the attached copy of
Ordinance No . 143 , 1985 , is a true and correct copy; that the
Ordinance was introduced and approved on first reading by the
Council of the City of Fort Collins, Colorado, at a regular
meeting thereof held at Council Chambers , City Hall , 300 West
LaPorte Avenue, Fort Collins , Colorado, the regular meeting
place thereof, on Tuesday, the 5th day of November , 1985; that
the Ordinance was finally passed on second reading by the
Council at a regular meeting thereof held at Council Chambers ,
City Hall , 300 West LaPorte Avenue, Fort Collins , Colorado, the
regular meeting place thereof, on Tuesday, the 19th day of
November , 1985; that a true copy of the Ordinance has been
authenticated by the signatures of the Mayor of the City and
myself as City Clerk thereof , sealed with the seal of the City,
and numbered and recorded in a book marked "Ordinance Record"
kept for that purpose in my office; that the Ordinance was duly
published by number and title only together with a statement
that the text thereof was available for public inspection and
acquisition in the office of the City Clerk and a notice giving
the date when the Ordinance would be presented for final passage
and again by number and title only together with a notice of the
final passage thereof in The Coloradoan, a newspaper of general
circulation published in the City, in its issues of November 10 ,
1985, and November 24 , 1985 , as evidenced by the certificates of
the publisher attached hereto at pages 72 and 73 ; and that the
notices of refunding and redemption appearing herein at pages 31
and 33-34 were duly published in The Coloradoan, a newspaper
having general circulation in the City, in its issue of
November 24 , 1985, as evidenced by the certificates of the
publisher attached hereto at page 74 ; and that the notices of
refunding and redemption appearing herein at pages 31 , 33-34 ,
and 36-37 were duly mailed as required in the Ordinance. I
further certify that the foregoing pages 1 through 69 ,
inclusive, constitute a true and correct copy of the record of
the proceedings of the Council at its aforesaid regular
meetings , insofar as the proceedings relate to the Ordinance;
that the proceedings were duly had and taken, that the meetings
were duly held; and that the persons were present at the
meetings as therein shown.
-70-
IN WITNESS WHEREOF, I have hereunto set my hand and the seal
of the City of Fort Collins, Colorado, this 25th day of November ,
1985 .
(CITY) City Clerk '`
(SEAL) City of Fort Collins , Colorado
-71-
STATE OF COLORADO )
COUNTY OF LARIMER ) ss .
CITY OF FORT COLLINS )
(Attach certificate of publication of Ordinance by number
and title only and statement that text available for public
inspection and acquisition in office of City Clerk and
notice giving date when Ordinance to be presented for final
passage. )
-72-
The Coloradoan
STATE OF COLORADO
COUNTY OF LARIMER )ss. AFFIDAVIT OF PUBLICATION
Suzanne K. Bielke
being first duly sworn upon oath, deposes
and says: That said is the Legal Clerk _ of The Coloradoan;
that said has personal knowledge of all facts set forth in this affidavit; that The Coloradoan
is a public daily newspaper of general circulation, having its principal office and place of
business situated in said County of Larimer; that said Coloradoan is printed and published
daily; that said Coloradoan is a daily newspaper, duly qualified for the purpose set forth
within the meaning of Chapter 109, Article 1, Sections 1-1 to 1-8 inclusive of Colorado
Revised Statutes 1963, and any amendment thereof passed prior to the date hereof; that
said newspaper had, prior to January 1, 1936, and has ever since said date been admitted to
the United States Mails as second class matter under the provisions of the Act of March 3,
1879, and any amendments thereof, that said newspaper is printed in whole in said County
of Larimer and has a general circulation therein; that said newspaper has been so printed
and published as a public daily newspaper of general circulation in said County of Lar-
imer, uninterruptedly and continuously, during the period of more than fifty-two consecu-
tive weeks next prior to the first issue thereof containing the annexed legal notice of
advertisement; that said annexed legal notice or advertisement was published in the
regular and entire editions of said newspaper for
1 successive weeks on Sunday of each successive week; that the
first publication of said legal notice or advertisement was in the regular and entire edition
of said newspaper on the loth day of November , A.D. 19_85; that the last
publication of said legal notice or advertisement was in the regular and entire edition of
said newspaper on the 1 nth day of NnvPmhar , A.D. 1985, and that
copies of each number of said paper in which said notice or advertisement was published
were delivered by carriers or transmitted by mail to each of the subscribers of said paper,
according to the accustomed mode of business in this office. P.-15
Subscribed and sworn to before me, at and within the County of Larimer, State of Colorado
this loth day of November A.D. 19 85
L 15. 1987
1212 Riverside, —r�,i �,:Jas, CG 80524
My commission expires
City Clerk i Notary Public
Delivered to
IL
NVIICE IS IIERFBY GIVEN
that the For Collins City Council,
on Tuesday, November 6, 1985
Passed antl adopted the following
ordinance(s)on first reading and
ordered their publication by title
only,with said ordinance($) to be
presented for final passage on
November 19,1985.The full text of
said ordinance(s) is available for
Public inspection and acquisition
In the office of the city clerk.
ORIONANCE NO. 136, 1985
AN ORDINANCE RELATING TO
iTHE ISSUANCE OF INDUS
TRIAL DEVELOPMENT REVE
NUE BONDS UNDER THE PRO
VISIONS OF THE COLORADO
COUNTY AND MUNICIPALITY
DEVELOPMENT REVENUE
BOND ACT; PROVIDING FOR
THE ISSUANCE AND SALE OF
CITY OF FORT COLLINS,COLO
RADO, INDUSTRIAL DEVEL
OPMENT REVENUE BONDS,
SERIES 1985 (THE MOUNTAIN
AVENUE PLAZA ASSOCIATES
PROJECT) IN THE PRINCIPAL
AMOUNT OF 1600,D00 FOR THE I
PURPOSE OF LOANING FUNDS
TO MOUNTAIN AVENUE
PLAZA ASSOCIATES TO
FINANCE IMPROVEMENTS
RELATING TO ACQUIRING,
CONSTRUCTING, EQUIPPING
AND RENOVATING COMMER-
CIAL BUILDINGS IN FORT COL
LINS,LARIMER COUNTY,COL
ORADO; APPROVING AND
AUTHORIZING THE EXECU-
TION AND ASSIGNMENT OF A
LOAN AGREEMENT AND
NOTE BETWEEN MOUNTAIN
AVENUE PLAZA ASSOCIATES
AND THE CITY;AND AUTHOR-
IZING THE PREPARATION
AND EXECUTION OF CERTAIN
RELATED DOCUMENTS AND
INSTRUMENTS
ORDINANCE NO. 137, 1985
AN ORDINANCE RELATING TO
THE ISSUANCE OF INDUS
TRIAL DEVELOPMENT REVE-
NUE BONDS UNDER THE PRO
VISIONS OF THE COLORADO
COUNTY AND MUNICIPALITY
DEVELOPMENT REVENUE
BOND ACT; PROVIDING FOR
THE ISSUANCE AND SALE OF
CITY OF FORT COLLINS,COLO-
RADO, INDUSTRIAL DEVEL
OPMENT REVENUE BONDS,
SERIES 1965 (THE TULAKES
ASSOCIATES PROJECT) IN
THE PRINCIPAL AMOUNT OF
$920,000 FOR THE PURPOSE OF
LOANING FUNDS TO TULAKES
ASSOCIATES TO FINANCE
IMPROVEMENTS RELATING
TO CONSTRUCTING AN ADDI-
TION TO AN EXISTING OFFICE
AND MANUFACTURING
FACILITY IN FORT COLLINS,.
LARIMER COUNTY, COLO.
RADO; APPROVING AND
AUTHORIZING THE EXECU-
TION AND ASSIGNMENT OF A
LOAN AGREEMENT AND
NOTE BETWEEN TULAKES,
ASSOCIATES AND THE CITY;'
AND AUTHORIZING THE;
'PREPARATION AND EXECU
TION OF CERTAIN RELATED
DOCUMENTS AND INSTRU-
MENTS.
ORDINANCE NO. 140, 1985
AN ORDINANCE AUTHORIZ-
ING THE ISSUANCE OF A CITY
OF FORT COLLINS, COLO-
RADO,GREENBRtAR SPECIAL
IMPROVEMENT DISTRICT NO.
07, SPECIAL ASSESSMENT
BOND, DATED DECEMBER 15,
1985, IN THE PRINCIPAL
AMOUNT OF $1,640,000; PRES-
CRIBING THE FORM OF THE
BOND; AND PROVIDING FOR
THE PAYMENT OF THE BOND
AND THE INTEREST
THEREON,
ORDINANCE NO, 142, 1985
AN ORDINANCE AUTHORIZ-
ING THE ISSUANCE OF CITY
OF FOR T COLLINS,COLORADO
DOWNTOWN DEVELOPMENT
AUTHORITY TAX INCREMENT
REFUNDING BONDS. SERIES
1985A, DATED DECEMBER 1,
1995, IN THE AGGREGATE
PRINCIPAL AMOUNT OF
$8,885,0W, FOR THE PURPOSE
OF REFUNDING THE CITY OF
FORT COLLINS, COLORADO
DOWNTOWN DEVELOPMENT
AUTHORITY TAX INCREMENT
,BONDS, SERIES 1984A.
ORDINANCE NO. 143, 1985
AN ORDINANCE AUTHORIZ-
ING THE ISSUANCE OF CITY
OF FORT COLLINS, COLO-
RADO, SEWER REVENUE
REFUNDING AND IMPROVE
MENT.BONDS, SERIES 1985,
DATED NOVEMBER 1, 1985, IN
THE AGGREGATE PRINCIPAL
AMOUNT OF$30,715,000,
Wanda M. Kraiicek
The Calorad City Clerkoan,R1S, November
10, 1985
k
STATE OF COLORADO )
COUNTY OF LARIMER ) ss .
CITY OF FORT COLLINS )
(Attach certificate of publication of Ordinance by number
and title only and notice of final passage thereof . )
-73-
NOTICE IS HEREBY GIVEN
that the Fort Collins City Council,
on Tuesday, November 19, 7985,
passed and adopted the following ORDINANCE NO. 138, 7985
ordinances on second reading: j a OF THE COUNCIL OF THE CITY
ORDINANCE NO. 134, 1985 OF FORT COLLINS BEING AN
OF THE COUNCIL OF THE CITY) ORDINANCE AMENDING THE
OF FORT COLLINS APPROPRI- ZONING ORDINANCE OF THE
ATING UNANTICIPATED REV CITY OF FORT COLLINS BV
ENUE IN THE CULTURAL SER CHANGING THE ZONING CLAS
VICES FUND SIFICATION FOR CERTAIN
ORDINACE NO. 135, PROPERTY KNOWN AS THE
OF
OF THE COUNCIL THE7985 CITY CENTER FOR ADVANCED
OF FORT COLLINS VACATING TECHNOLOGY REZONING.
ALL EASEMENTS ON THE ORDINANCE NO. 139, 1905
REPLAT OF LOTS I AND 2 OFTHECOUNCILOF THECITY
TIMBERLINE APARTMENTS I OF FORT COLLINS RELATING
PLO TO CREATION AND ORGAN IZA
ORDINANCE NO 136, 1985 TION OF THE GREENBRIAR
AN ORDINANCE RELATING IO SPECIAL IMPROVEMENT DIS
THE ISSUANCE OF INDUS TRICT NO.87 AND PROVIDING
TRIAL DEVELOPMENT REVE FOR THE CONSTRUCTION OF
NUE BONDS UNDER THE PRO IMPROVEMENTS THEREOF
VISIONS OF THE COLORADO ORDINANCE NO. 140. 1985
COUNTY AND MUNICIPALITY AN ORDINANCE AUTHORIZ-
DEVELOPMENT REVENUE ING THE ISSUANCE OF A CITY
BOND ACT; PROVIDING FOR OF FORT COLLINS, COLO
THE ISSUANCE AND SALE OF I RADO,GREENBRIAR SPECIAL
CITY OF FORT COLLINS,COLO IMPROVEMENT DISTRICT NO.
RADO, INDUSTRIAL DEVEL. 87, SPECIAL ASSESSMENT
OPMENT REVENUE BONDS, BOND, DATED DECEMBER is,
SERIES 1985 (THE MOUNTAIN 1985, IN THE PRINCIPAL
AVENUE PLAZA ASSOCIATES AMOUNT OF 91,640,000; PRIESPROJECT) IN THE PRINCIPAL CRIBING THE FORM OF THE
AMOUNT OF L600,000 FOR THE BOND; AND PROVIDING FOR
PURPOSEOF LOANING FUNDS THE PAYMENT OF THE BOND
TO MOUNTAIN AVENUE AND THE INTEREST
PLAZA ASSOCIATES TO THEREON.
FINANCE IMPROVEMENTS ORDINANCE NO. 141, 1985
RELATING TO ACQUIRING, OF THE COUNCILOF THE CITY
CONSTRUCTING, EQUIPPING OF FORT COLLINS APPROPRI
AND RENOVATING COMMER ATING UNANTICIPATED REV
CIAL BUILDINGS IN FORT COL- ENUE IN THE STREET OVER
LINS,LARIMER COUNTY,COL- SIZING FUND FOR TRANSFER
ORADO; APPROVING AND TO THE CAPITAL PROJECTS
AUTHORIZING THE EXECU- FUND AND APPROPRIATING
TION AND ASSIGNMENT OF A UNANTICIPATED REVENUE
LOAN AGREEMENT AND IN THE CAPITAL PROJECTS
NOTE BETWEEN MOUNTAIN FUND
AVENUE PLAZA ASSOCIATES ORDINANCE NO. 142, 1985 1
AND THE CITY:AND AUTORIZ. AN ORDINANCE AUTHORIZ
ING THE PREPARATION AND ING THE ISSUANCE OF CITY
EXECUTION OF CERTAIN OF FORT COLLINS,COLORADOI
RELATED DOCUMENTS AND DOWNTOWN DEVELOPMENT
1 INSTRUMENTS, AUTHORITY TAX INCREMENT
ORDINANCE NO. 137, 1985 REFUNDING BONDS, SERIES
ANORDINANCE RELATING TO 1985A, DATED DECEMBER 1,
THE ISSUANCE OF INDUS 1985, IN THE AGGREGATE
TRIAL DEVELOPMENT REVE PRINCIPAL AMOUNT OF
NUE BONDS UNDER THE PRO 58,885.000. FOR THE PURPOSE
VISIONS OF THE COLORADO OF REFUNDING THE CITY OF
COUNTY AND MUNICIPALITY FORT COLLINS, COLORADO
DEVELOPMENT REVENUE DOWNTOWN DEVELOPMENT
BOND ACT; PROVIDING FOR AUTHORITY TAX INCREMENT
THE ISSUANCE AND SALE OF BONDS, SERIES 1984A
CITYOF FORT COLLINS,COLO ORDINANCE NO. 143, 1985
RADO, INDUSTRIAL DEVEL AN ORDINANCE AVTHORLZ
OPMENT REVENUE BONDS, ING THE ISSUANCE OF CITY
SERIES 1985 (THE TULAKES OF FORT COLLINS, COLO
ASSOCIATES PROJECT) IN RADO, SEWER REVENUE
THE PRINCIPAL AMOUNT OF REFUNDING AND IMPROVE I
$920.000FOR THE PURPOSE OF MENT, BONDS, SERIES 19,15,
LOANING FUNDS TO TULAKES DATED NOVEMBER 1. 7985, IN
ASSOCIATES TO FINANCE THE AGGREGATE PRINCIPAL
IMPROVEMENTS RELATING AMOUNT OF$30,715.pK
TO CONSTRUCTING AN ADDI Wanda M. Krajicck'
TION TO AN EXISTING OFFICE City Clerk;
AND MANUFACTURING The Coloradoan, R A, November)
FACILITY IN FORT CO LLI NS, 24, 1985
LARIMER COUNTY, COI_O.
RADO; APPROVING ANp
AUTHORIZING THE EXECU
TION AND A551GNME NT OF A
LOAN AGREEMENT AND --
NOTE BETWEEN TULAKESI
ASSOICATES AND THE CITY; .
AND AUTHORIZING THE
PREPARATION AND EXECU
TION OF CERTAIN RELATED
DOCUMENTS AND INSTRU
MENTS,
STATE OF COLORADO )
COUNTY OF LARIMER ) ss .
CITY OF FORT COLLINS )
(Attach certificate of publication of notices of refunding
and redemption of prior bonds . )
-74-
ORDINANCE NO. 143 , 1985
AN ORDINANCE AUTHORIZING THE ISSUANCE OF CITY
OF FORT COLLINS, COLORADO, SEWER REVENUE
REFUNDING AND IMPROVEMENT BONDS , SERIES 1985 ,
DATED NOVEMBER 1 , 1985 , IN THE AGGREGATE
PRINCIPAL AMOUNT OF $30 , 715 , 000 .
INTRODUCED, READ, APPROVED ON FIRST READING, AND ORDERED
PUBLISHED BY NUMBER AND TITLE ONLY this 5th day of November ,
1985 .
CITY OF FORT COLLINS, COLORADO
(CITY) M or
(SEAL)
ATTEST:
City Clerk
The text of the foregoing Ordinance is available for public
inspection and acquisition in the office of the City Clerk . The
Ordinance will be presented for final passage at the regular
meeting of the Council to be held at Council Chambers , City
Hall , 300 West LaPorte Avenue, Fort Collins , Colorado, on
Tuesday, the 19th day of November , 1985 , at 6 : 30 p.m.
ORDINANCE NO . 1985
AN ORDINANCE AUTHORIZING THE ISSUANCE OF CITY OF
FORT COLLINS, COLORADO, SEWER REVENUE REFUNDING
AND IMPROVEMENT BONDS , SERIES 1985 , DATED
NOVEMBER 1 , 1985 , IN THE AGGREGATE PRINCIPAL
AMOUNT OF $30 , 715 , 000 .
READ, ADOPTED ON SECOND READING, AND ORDERED PUBLISHED BY
NUMBER AND TITLE ONLY this 19th day of November , 1985 .
CITY OF FORT COLLINS, COLORADO
(CITY) ML2%'` /
(SEAL)
ATTEST:
City Clerk
The Coloradoan
STATE OF COLORADO )
COUNTY OF LARIMER )ss. AFFIDAVIT OF PUBLICATION
Suzanne K. Bielke
being first duly sworn upon oath, deposes
and says: That said is the Legal Clerk of The Coloradoan;
that said has personal knowledge of all facts set forth in this affidavit; that The Coloradoan
is a public daily newspaper of general circulation, having its principal office and place of
business situated in said County of Larimer; that said Coloradoan is printed and published
daily; that said Coloradoan is a daily newspaper, duly qualified for the purpose set forth
within the meaning of Chapter 109, Article 1, Sections 1-1 to 1-8 inclusive of Colorado
Revised Statutes 1963, and any amendment thereof passed prior to the date hereof; that
said newspaper had, prior to January 1, 1936, and has ever since said date been admitted to
the United States Mails as second class matter under the provisions of the Act of March 3,
1879, and any amendments thereof, that said newspaper is printed in whole in said County
of Larimer and has a general circulation therein; that said newspaper has been so printed
and published as a public daily newspaper of general circulation in said County of Lar-
imer, uninterruptedly and continuously, during the period of more than fifty-two consecu-
tive weeks next prior to the first issue thereof containing the annexed legal notice of
advertisement; that said annexed legal notice or advertisement was published in the
regular and entire editions of said newspaper for
1 successive weeks on Sunday of each successive week; that the
first publication of said legal notice or advertisement was in the regular and entire edition
of said newspaper on the 24th day of November , A.D. 19L5_—; that the last
publication of said legal notice or advertisement was in the regular and entire edition of
said newspaper on the 24th day of "?ovPmher , A.D. 19-Ba, and that
copies of each number of said paper in which said notice or advertisement was published
were delivered by carriers or transmitted by mail to each of the subscribers of said paper,
according to the accustomed mode of business in this office. R-57
a 99
Subscribed and sworn to before me, at and within the County of Larimer, State of Colorado
this 24th day of November A.D. 19 85
My commission expires
City Clerk I / Notary Public
Delivered to