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HomeMy WebLinkAbout017 - 02/28/1989 - CREATING 1989 CONSOLIDATED SPECIAL IMPROVEMENT DISTRICT AND AUTHORIZING THE ISSUANCE OF 1989 CONSOLI ORDINANCE NO. 17, 1989 AN ORDINANCE CREATING 1989 CONSOLIDATED SPECIAL IMPROVEMENT DISTRICT AND AUTHORIZING THE ISSUANCE OF CITY OF FORT COLLINS, COLORADO, 1989 CONSOLIDATED SPECIAL IMPROVEMENT DISTRICT, SPECIAL ASSESSMENT REFUNDING AND IMPROVEMENT BONDS, DATED MARCH 1, 1989, IN THE AGGREGATE PRINCIPAL AMOUNT OF $13, 140,000 FOR THE PURPOSE OF REFUNDING, PAYING AND DISCHARGING CERTAIN VALID OUTSTANDING SPECIAL ASSESSMENT BONDS OF THE CITY AND REIMBURSING THE CITY FOR THE COSTS OF CERTAIN IMPROVEMENTS CONSTRUCTED AND INSTALLED WITHIN SAID DISTRICT. WHEREAS, the Council (the "Council" ) of the City of Fort Collins, Colorado (the "City" ) , has heretofore created the following special improvement districts (the "Districts" ) and authorized the construction and installation of certain improvements (the "Improvements" ) therein, all in accordance with the Charter of the City (the "Charter" ) and the Code of the City (the "Code" ) : (a) Harmony Trunk Sewer Special Improvement District No. 60 ( "District No. 60" ) ; (b) South Mason Street and Utility Improvement District No. 75 ( "District No. 75" ) (consolidated into 1982 Consolidated Special Improvement District) ; (c) Street Improvement District No. 76 ( "District No. 76" ) (consolidated into 1982 Consolidated Special Improvement District) ; (d) Boardwalk Special Improvement District No. 77 ( "District No. 77" ) (consolidated into 1982 Consolidated Special Improvement District) ; (e) Lemay/Harmony Special Improvement District No. 78 ( "District No. 78" ) ; (f) Fairbrooke Special Improvement District No. 79 ( "District No. 79" ) ; (g) Landmark Special Improvement District No. 80 ( "District No. 80" ) ; (h) Provincetowne/Portner Estates South Special Improvement District No. 81 ( "District No. 81" ) ; BD2078 72 02/27/89 t (i ) Cunningham Corner Special Improvement District No. 82 ( "District No. 82" ) ; (j ) Horsetooth Road Special Improvement District No. 83 ( "District No. 83" ) ; (k) Heart Special Improvement District No. 84 ( "District No. 84" ) ; and ( 1) South Lemay Special Improvement District No. 86 ( "District No. 86" ) ; and WHEREAS, for the purpose of reducing administrative and financing costs and enabling the City to issue and sell special assessment refunding and improvement bonds for the Districts at one time, the Council has determined, and does hereby determine, that it is in the best interest of the City and the owners of property in the Districts that the Districts (except the properties within District No. 77, the assessments against which are pledged for the payment of the City" s Boardwalk Special Improvement District No. 77, Special Assessment Refunding Bonds, dated December 1, 1988, in the aggregate principal amount of $588, 678. 91) be consolidated into a consolidated special improvement district to be known as the City of Fort Collins, Colorado, 1989 Consolidated Special Improvement District (the "Consolidated District" ) ; and WHEREAS, for the purpose of constructing and installing Improvements within the Districts the City has heretofore issued and sold the following special assessment bonds (the "District Bonds" ) , which are outstanding and subject to redemption as follows: District No. 60 Bonds There is outstanding of the City of Fort Collins, Colorado, Harmony Trunk Sew4r Special Improvement District No. 60, Special Assessment Bonds, Series 1986, dated May 1, 1986, in the original aggregate principal amount of $995,000 (the "District No. 60 Bonds" ) , the aggregate principal amount of $980,000, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on May 1, 1998, and bearing interest at the following per annum interest rates: BD2078 73 02/20/89 Per Annum Bond Numbers Principal Amounts Interest Rates R-1 $ 70, 000 7. 757. R-2 85, 000 8. 00 R-3 85, 000 8.25 R-4 85, 000 8. 50 R-5 85, 000 8. 75 R-6 85, 000 8. 85 R-7 85, 000 8. 95 R-8 80,000 9. 05 R-9 80, 000 9. 15 R-10 80, 000 9.25 R-11 80, 000 9. 35 R-12 80,000 9 .45 District No. 60 Bonds are subject to prepayment prior to maturity, in whole or in part, in direct numerical order, at any time, subject to the provisions of the following sentence, from available funds in the District No. 60 Bond Fund at the option of the City, without premium or penalty, but with accrued interest to the redemption date. Whenever there are available funds in the District No. 60 Bond Fund (excluding bond proceeds deposited therein to pay interest on the District No. 60 Bonds through May 1, 1989) in excess of the amount needed to make the next interest payment on the District No. 60 Bonds, it is the duty of the Finance Director of the City (the "Finance Director" ) to call in, and the duty of the paying agent for the District No. 60 Bonds to pay, a suitable number of District No. 60 Bonds outstanding, provided that the District No. 60 Bond Fund (except for amounts initially deposited therein from bond proceeds) is to be depleted at least once a year except for a reasonable carryover amount not to exceed the greater of one year' s earnings on the District No. 60 Bond Fund or one-twelfth ( 1/12) of the annual debt service on the District No. 60 Bonds. Upon presentation of a District No. 60 Bond for partial prepayment, the registrar for the District No. 60 Bonds is to record such prepayment in the registration records, and the paying agent for the District No. 60 Bonds is to enter the amount and date of such prepayment in the space provided therefor on the District No. 60 Bond and is to require the District No. 60 Bond owner to receipt for such prepayment on the District No. 60 Bond or in such other manner as such paying agent deems appropriate for the records of the City. 1982 Consolidated District Bonds There is outstanding of the City of Fort Collins, Colorado, 1982 Consolidated Special Improvement District, Special Assessment Bonds, dated December 1, 1982 , in the original aggregate principal amount of $1,265,000 (the "1982 Consolidated BD2078 74 02/20/89 District Bonds" ) ( issued for the purpose of constructing and installing Improvements within District No . 75, District No. 76 and District No. 77) , the aggregate principal amount of $283 , 000, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on December 1, 1992 , and bearing interest at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates 983 to 995 $ 13 ,000 10. 75% 996 to 1, 130 135,000 11 .00 1, 131 to 1,265 135,000 11 . 00 Whenever there are available in the 1982 Consolidated Special Improvement District Bond Fund sufficient funds exceeding six months' interest on the unpaid principal of the 1982 Consolidated District Bonds then outstanding, it is the duty of the Finance Director to call in and pay a suitable number of 1982 Consolidated District Bonds. The 1982 Consolidated District Bonds so called are to be redeemed in regular numerical order at a price equal to the principal amount of each 1982 Consolidated District Bond so redeemed plus accrued interest thereon to the expiration of thirty (30) days from the first publication of notice of redemption. District No. 78 (Phase 1) Bonds There is outstanding of the City of Fort Collins, Colorado, Lemay/Harmony Special Improvement District No. 78 (Phase 1 ) , Special Assessment Bonds, dated October 1, 1983 , in the original aggregate principal amount of $1, 885,000 (the "District No. 78 (Phase 1) Bonds" ) , the aggregate principal amount of $920,000, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on October 1, 1998, and bearing interest at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates R-194 to R-215 $110, 000 10.000% R-216 to R-269 270,000 10.250 R-270 to R-323 270,000 10. 375 R-324 to R-377 270,000 10.500 Whenever there are available in the District No. 78 (Phase 1) Bond Fund sufficient funds derived from special assessments exceeding six months' interest on the unpaid principal of the District No. 78 (Phase 1) Bonds then outstanding, it is the duty BD2078 75 02/20/89 of the Finance Director to call in and pay a suitable number of District No. 78 (Phase 1) Bonds. District No. 78 (Phase 1 ) Bonds so called are to be redeemed in regular numerical order at a price equal to the principal amount of each Bond so redeemed plus accrued interest thereon to the expiration of thirty (30) days from the first publication of notice of redemption. District No. 78 (Phase 2) Bonds There is outstanding of the City of Fort Collins, Colorado, Lemay/Harmony Special Improvement District No. 78 (Phase 2) , Special Assessment Bonds, dated September 15, 1984, in the original aggregate principal amount of $3, 100,000 (the "District No. 78 (Phase 2 ) Bonds" ) , the aggregate principal amount of $3 ,070, 000, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on October 1 , 1999, and bearing interest at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates 7 to 70 $320,000 9 .000% 71 to 120 250,000 9 . 500 121 to 170 250, 000 10. 000 171 to 220 250, 000 10.250 221 to 270 250, 000 10. 500 271 to 320 250, 000 10. 750 321 to 420 500, 000 11 .000 421 to 520 500, 000 11 . 125 521 to 620 500, 000 11 .250 District No. 78 (Phase 2) Bonds are subject to redemption prior to maturity at the option of the City in regular numerical order at any time at a price equal to the principal amount of each District No. 78 (Phase 2 ) Bond so redeemed plus accrued interest thereon to the redemption date, with no premium, as follows: Within thirteen ( 13) months of receipt of moneys initially deposited in the District No. 78 (Phase 2 ) Bond Fund (other than from bond proceeds) , it is the duty of the Finance Director to call in and pay a suitable number of District No. 78 (Phase 2 ) Bonds outstanding, provided that the District No. 78 (Phase 2 ) Bond Fund (except for amounts initially deposited therein from bond proceeds) is to be depleted at least once a year except for a reasonable carryover amount not to exceed the greater of one year' s earnings on the District No. 78 (Phase 2) Bond Fund or one-twelfth ( 1/12) of the annual debt service on the District No. 78 (Phase 2 ) Bonds. BD2078 76 02/20/89 District No. 79 Bonds There is outstanding of the City of Fort Collins, Colorado, Fairbrooke Special Improvement District No. 79, Special Assessment Bonds, Series 1983 , dated December 1, 1983, in the original aggregate principal amount of $1,280, 000 (the "District No. 79 Bonds" ) , the aggregate principal amount of $1, 190,000, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on December 1, 1993 , and bearing interest at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates R-19 to R-34 $ 80, 000 10. 00% R-35 to R-71 185, 000 10. 25 R-72 to R-108 185,000 10. 50 R-109 to R-145 185,000 10. 75 R-146 to R-182 185, 000 10.90 R-183 to R-256 370, 000 11. 00 District No. 79 Bonds are subject to redemption prior to maturity in regular numerical order at any time, subject to the provisions of the following sentence, from available funds in the District No. 79 Bond Fund at the option of the City, at a price equal to the principal amount thereof with accrued interest to the redemption date. Within thirteen (13 ) months of receipt of moneys initially deposited in the District No. 79 Bond Fund (other than from bond proceeds) it is the duty of the Finance Director to call in, and the duty of the paying agent for the District No. 79 Bonds to pay, a suitable number of District No. 79 Bonds outstanding, provided that the District No. 79 Bond Fund (except for amounts initially deposited therein from bond proceeds) is to be depleted at least once a year except for a reasonable carryover amount not to exceed the greater of one year' s earnings on the District No. 79 Bond Fund or one-twelfth (1/12 ) of the annual debt service on the District No. 79 Bonds. District No. 80 Bonds There is outstanding of the City of Fort Collins, Colorado, Landmark Special Improvement District No. 80, Special Assessment Bonds, Series 1984, dated November 1, 1984, in the original aggregate principal amount of $315,000 (the "District No. 80 Bonds" ) , the aggregate principal amount of $140,000, consisting of bonds numbered R-36 through R-63, maturing on November 1, 1991, and bearing interest at the rate of 10. 10% per annum. District No. 80 Bonds are subject to redemption prior to maturity in regular numerical order at any time, subject to the BD2078 77 02/20/89 provisions of the following sentence, from available funds in the District No. 80 Bond Fund at the option of the City, at a price equal to the principal amount thereof with accrued interest to the redemption date. Within thirteen ( 13 ) months of receipt of moneys initially deposited in the District No. 80 Bond Fund (other than from bond proceeds) it is the duty of the Finance Director to call in, and the duty of the paying agent for the District No. 80 Bonds to pay, a suitable number of District No. 60 Bonds outstanding, provided that the District No. 80 Bond Fund (except for amounts initially deposited therein from bond proceeds) is to be depleted at least once a year except for a reasonable carryover amount not to exceed the greater of one year' s earnings on the District No. 80 Bond Fund or one-twelfth ( 1/12 ) of the annual debt service on the District No. 80 Bonds. District No. 81 (Phase 1) Bonds There is outstanding of the City of Fort Collins, Colorado, Provincetowne/Portner Estates South Special Improvement District No. 81 (Phase 1) , Special Assessment Bonds, dated June 15, 1985, in the original aggregate principal amount of $2, 440,000 (the "District No. 81 (Phase 1 ) Bonds" ) , the aggregate principal amount of $2, 020,000, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on July 1, 2000, and bearing interest at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates 85 to 123 $195,000 9. 00% 124 to 164 205,000 9.25 165 to 205 205,000 9 . 50 206 to 246 205, 000 9 . 75 247 to 287 205, 000 10. 00 288 to 328 205, 000 10.25 329 to 369 205,000 10. 50 370 to 410 20�,000 10. 60 411 to 451 205,000 10. 70 452 to 488 185,000 10. 75 District No. 81 (Phase 1) Bonds are subject to redemption prior to maturity at the option of the City in regular numerical order at any time at a price equal to the principal amount of the District No. 81 (Phase 1) Bonds redeemed plus accrued interest to the redemption date, with no premium, as follows: Within thirteen (13) months of receipt of moneys initially deposited in the District No. 81 (Phase 1) Bond Fund (other than from bond proceeds) , it is the duty of the Finance Director to call in and pay a suitable number of District No. 81 (Phase 1) Bonds outstanding, provided that the District No. 81 (Phase 1) Bond BD2078 78 02/20/89 Fund (except for amounts initially deposited therein from bond proceeds) is to be depleted at least once a year except for a reasonable carryover amount as set forth in the ordinance authorizing the issuance of the District No. 81 (Phase 1) Bonds. District No. 82 Bonds There is outstanding of the City of Fort Collins, Colorado, Cunningham Corner Special Improvement District No. 82, Special Assessment Bonds, dated December 1, 1984, in the original aggregate principal amount of $1,265,000 (the "District No. 82 Bonds" ) , the aggregate principal amount of $1, 155,000, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on December 1, 1999, and bearing interest at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates 23 to 43 $105,000 10. 000% 44 to 64 105, 000 10. 100 65 to 85 105, 000 10.200 86 to 106 105, 000 10. 300 107 to 127 105, 000 10. 400 128 to 148 105, 000 10. 500 149 to 169 105, 000 10. 625 170 to 190 105 , 000 10. 750 191 to 253 315, 000 10. 875 District No. 82 Bonds are subject to redemption prior to maturity at the option of the City in regular numerical order at any time at a price equal to the principal amount of the District No. 82 Bonds plus accrued interest to the redemption date, with no premium as follows: Within thirteen ( 13 ) months of receipt of moneys initially deposited in the District No. 82 Bond Fund (other than from bond proceeds) , it is the duty of the Finance Director to call in and pay a suitable number of District No. 82 Bonds outstanding, provided that the District No. 82 Bond Fund (except for amounts initially deposited therein from bond proceeds) is to be depleted at least once a year except for a reasonable carryover amount not to exceed the greater of one year' s earnings on the District No. 82 Bond Fund or one-twelfth ( 1/12 ) of the annual debt service on the District No. 82 Bonds. District No. 83 Bonds There is outstanding of the City of Fort Collins, Colorado, Horsetooth Road Special Improvement District No. 83 , Special Assessment Bonds, dated November 1, 1986, in the original aggregate principal amount of $610,000 (the "District No. 83 Bonds" ) , the aggregate principal amount of $555,000, consisting BD2078 79 02/20/89 of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on November 1, 2001, and bearing interest at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates R-2 $25,000 6. 65% R-3 40,000 7.05 R-4 40,000 7 .35 R-5 40,000 7 . 65 R-6 40,000 7 . 95 R-7 40,000 8. 15 R-8 40,000 8. 35 R-9 40,000 8. 55 R-10 40,000 8. 75 R-11 40,000 8.85 R-12 40,000 8.95 R-13 40,000 9 .05 R-14 45, 000 9 . 15 R-15 45, 000 9 .20 The principal balance of each District No. 83 Bond is subject to redemption or prepayment of principal prior to maturity on each November 1 in principal installments of $5, 000 or any integral multiple thereof at a price equal to the principal portion of each District No. 83 Bond to be so redeemed or prepaid plus accrued interest thereon to the redemption or prepayment date on the outstanding principal balance thereof on such redemption or prepayment date, with no premium, as follows: From the moneys deposited in the District No. 83 Bond Fund, the Finance Director is to call in and pay an aggregate principal amount of principal installments on the District No. 83 Bonds outstanding which is approximately equal to all amounts deposited to the District No. 83 Bond Fund on or before each September 1 less the amount necessary to pay interest on the outstanding District No. 83 Bonds due on the next subsequent interest payment date and which will provide for the payment of principal installments on the District No. 83 Bonds in $5, 000 denominations. District No. 83 Bonds or any portion of such District No. 83 Bonds so called for redemption or prepayment are to be redeemed or prepaid in regular numerical order. District No. 84 Bonds There is outstanding of the City of Fort Collins, Colorado, Heart Special Improvement District No. 84, Special Assessment Bonds, Series 1986, dated February 1, 1986, in the original aggregate principal amount of $1, 300,000 (the "District No. 84 Bonds" ) , the aggregate principal amount of $1, 105,000, BD2078 80 02/20/89 consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on February 1, 1996, and bearing interest at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates R-2 $ 65,000 7 . 75% R-3 130,000 8.05 R-4 130,000 8. 35 R-5 130,000 8. 60 R-6 130,000 8. 80 R-7 130,000 9. 00 R-8 130, 000 9. 20 R-9 130, 000 9. 35 R-10 130, 000 9 . 50 District No. 84 Bonds are subject to prepayment prior to maturity in ascending interest rate order, and at any time, subject to the provisions of the following sentence, from available funds in the District No. 84 Bond Fund at the option of the City, at a price equal to the principal amount thereof with accrued interest to the redemption date. Within thirteen ( 13 ) months of receipt of moneys initially deposited in the District No. 84 Bond Fund (other than from bond proceeds) it is the duty of the Finance Director to call in, and the duty of the paying agent for the District No. 84 Bonds to pay, a suitable number of such bonds outstanding, provided that the District No. 84 Bond Fund (except for amounts initially deposited therein from bond proceeds) is to be depleted at least once a year except for a reasonable carryover amount not to exceed the greater of one year' s earnings on the District No. 84 Bond Fund or one-twelfth ( 1/12) of the annual debt service on the District No. 84 Bonds. District No. 86 Bonds There is outstanding of the City of Fort Collins, Colorado, South Lemay Special Improvement District No. 86, Special Assessment Bonds, dated October 1, 1986, in the original aggregate principal amount of $2 , 530,000 (the "District No. 86 Bonds" ) , the aggregate principal amount of $1, 860,000, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, maturing on October 1, 2001, and bearing interest at the following per annum interest rates: BD2078 81 02/20/89 Per Annum Bond Numbers Principal Amounts Interest Rates 135 to 155 $105, 000 8. 25% 156 to 194 195,000 8. 40 195 to 236 210,000 8. 50 237 to 281 225,000 8. 60 282 to 330 245, 000 8. 70 331 to 384 270,000 8. 80 385 to 442 290,000 8. 90 443 to 506 320, 000 9.00 District No. 86 Bonds are subject to redemption prior to maturity in regular numerical order on each October 1 at a price equal to the principal amount of each District No. 86 Bond so redeemed plus accrued interest thereon to the redemption date, with no premium, as follows: From the moneys deposited on or before each August 1 in the District No. 86 Bond Fund, the Finance Director is to call in and pay as many outstanding District No. 86 Bonds as possible leaving in the District No. 86 Bond Fund the amount necessary to pay interest on the outstanding District No. 86 Bonds due on the next subsequent interest payment date; and WHEREAS, the City wishes to refund, pay and discharge the District Bonds in order to reduce the net effective interest rate; reduce the total interest payable; reduce the total principal and interest payable in any particular year or years or effect other economies; modify or eliminate restrictive contractual limitations; postpone maturities to a later date; or any combination of the foregoing; and WHEREAS, the City wishes to reimburse itself for moneys advanced to pay the costs of Improvements assessed against properties in the Districts which were paid from funds of the City and not from the proceeds of any of the District Bonds; and WHEREAS, pursuant to art. XX, § 6 of the Colorado Constitution, Art. V, Part II , Sections 20. 4 and 20. 5 of the Charter and part 1 of article 56 of title 11, Colorado Revised Statutes, as amended (the "Act" ) , the City is authorized by Council action and without an election to issue special assessment refunding and improvement bonds for the purpose of refunding, paying and discharging the District Bonds and reimbursing the City for the costs of certain Improvements; and WHEREAS, the Council has determined, and does hereby determine, that City of Fort Collins, Colorado, 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13, 140,000 (the "Bonds" ) , should be issued for the purpose of refunding, paying and discharging the BD2078 82 02/27/89 District Bonds and reimbursing the City for the costs certain Improvements; and WHEREAS, a proposal for the purchase of the Bonds on terms favorable to the City, together with the disclosures, comparisons and other information required by the Act, has been received from Kirchner Moore & Company and Boettcher & Company, Inc . , Denver, Colorado (the "Purchasers" ) , which the Council has determined, and does hereby determine, to accept; and WHEREAS, there have been filed with the City Clerk forms of a Bond Purchase Agreement, dated February 28, 1989 (the "Bond Purchase Agreement" ) , between the City and the Purchasers and an Escrow Agreement, dated as of March 1, 1989 (the "Escrow Agreement" ) , between the City and First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado. BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS, COLORADO, AS FOLLOWS: 1 . Consolidation of Districts. For the purpose of reducing administrative and financing costs and enabling the City to issue and sell the Bonds at one time, the Districts (except the properties within District No. 77, the assessments against which are pledged for the payment of the City' s Boardwalk Special Improvement District No. 77, Special Assessment Refunding Bonds, dated December 1, 1988, in the aggregate principal amount of $588, 678.91) are hereby consolidated into the Consolidated District. The property included within the Consolidated District shall consist of the area included within the Districts as described above. Each of the Districts as described above shall be considered subdistricts within the Consolidated District. 2 . Award of Contract; Execution of Bond Purchase Agreement. The contract for the purchase of the Bonds is hereby awarded to the Purchasers at the price specified in the Bond Purchase Agreement and upon the terms set forth in this ordinance (this "Ordinance" ) . The City �Manager is hereby authorized and directed to execute the Bond Purchase Agreement on behalf of the City. 3 . Authorization and Description of Bonds. For the purpose of refunding, paying and discharging the District Bonds and reimbursing the City for the costs of certain Improvements, the City shall issue the Bonds, consisting of 2628 fully registered Bonds in the denomination of $5,000 each, numbered consecutively from R-1 to R-2628, inclusive. The Bonds shall mature on August 1, 2001, and shall bear interest as herein set forth. The following numbered Bonds in the following aggregate principal amounts shall bear interest from March 1, 1989, to BD2078 83 02/28/89 August 1, 2001, except if redeemed prior thereto, at the following per annum interest rates: Per Annum Bond Numbers Principal Amounts Interest Rates R-1 to R-190 $ 950, 000 7.25% R-191 to R-494 1, 520, 000 7. 50 R-495 to R-790 1 ,480, 000 7. 75 R-791 to R-1140 1 , 750, 000 8. 00 R-1141 to R-1510 1,850, 000 8. 00 R-1511 to R-1743 1, 165, 000 8. 10 R-1744 to R-1973 1, 150, 000 8.25 R-1974 to R-2168 975, 000 8. 50 R-2169 to R-2358 950, 000 8. 55 R-2359 to R-2498 700, 000 8. 70 R-2499 to R-2593 475, 000 8. 75 R-2594 to R-2628 175, 000 8. 75 Said interest shall be payable on August 1, 1989, and semiannually thereafter on the first day of February and the first day of August 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 thereof is paid in full . 4. Net Effective Interest Rate. The net effective interest rate on the Bonds, assuming Bonds are redeemed in accordance with the estimated redemption schedule prepared by the Purchasers, is 8. 8698% per annum. 5. Payment of Principal and Interest. The principal of and interest on the Bonds shall be payable in lawful money of the United States of America to the registered owners of the Bonds by Central Bank of Denver, Denver, Colorado, or its successors, as paying agent (the "Paying Agent" ) . The principal of and the final interest on the Bonds 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 fifteenth day of the calendar month next preceding the interest payment date (the "Regular Record 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 Central Bank of Denver, Denver, Colorado, or its successors, as registrar (the "Registrar" ) . 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 BD2078 84 02/28/89 such interest, determined as of the close of business on the date fixed by the Paying Agent for such purpose (the "Special Record Date" ) , irrespective of any transfer of ownership of the Bond subsequent to the 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 shall be given by sending a copy thereof by first-class, postage prepaid mail, at least ten (10) days prior to the Special Record Date, to the Purchasers and to the registered owners of each of the Bonds upon which interest will be paid, determined as of the close of business on the day preceding such mailing, at the addresses appearing on the registration books of the City. If the date for making or giving any payment, determination or notice described herein is a Saturday, Sunday, legal holiday or any other day on which the Paying Agent or Registrar is authorized or required by law to remain closed, such payment, determination or notice shall be made or given on the next succeeding day which is not a Saturday, Sunday, legal holiday or other day on which the Paying Agent or Registrar is authorized or required by law to remain closed. 6. Redemption of Bonds. The Bonds shall be subject to redemption prior to maturity in regular numerical order at any time at a price equal to the principal amount of the Bonds redeemed plus accrued interest thereon to the redemption date, with no premium, as follows: Whenever there are moneys available in the City of Fort Collins, Colorado, 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, Bond Fund (the "Bond Fund" ) exceeding the amount necessary to pay interest on the Bonds then due and interest on the Bonds due on the next succeeding interest payment date, the Finance Director shall direct the Paying Agent to call in and pay Bonds to the extent possible in accordance with the estimated redemption schedule set forth in the final Official Statement pertaining to the Bonds. Moneys remaining in the Bond Fund after the payments described above have been made, to the extent such moneys are attributable to prepayments of assessments, shall be applied to the redemption prior to maturity of such additional Bonds as may be called in and paid as provided above. Moneys remaining in the Bond Fund after the payments described above have been made, to the extent such moneys are attributable to interest on assessments exceeding interest on the Bonds or to income derived from the investment of moneys on deposit in the Bond Fund, except to the extent that certain investment proceeds of the Bonds are subject to rebate to the United States government and deposited in the Excess Investment Earnings Fund hereinafter defined, may be used by the City to reimburse itself for advances made by the City to pay costs of the Improvements, including interest on District Bonds, not paid from the proceeds of the District Bonds and/or to redeem prior to maturity such additional Bonds as may be called in and paid as described above. BD2078 85 02/27/89 The Bonds shall not be redeemed from the proceeds of any other bonds or obligations of the City before August 1, 1994. Notice of redemption of any Bonds 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, not less than thirty (30) nor more than sixty (60) days prior to the redemption date to the Purchasers and to the registered owners 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 addresses appearing on the registration books of the City. Said notice shall specify by number the Bonds so called. If any Bond shall have been duly called for redemption, such Bond shall become due and payable upon such redemption date, and from and after such date interest shall cease to accrue thereon. Failure to mail any notice as aforesaid or any defect in any notice 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 maturity by call for prior redemption or otherwise shall not be reissued and shall be cancelled the same as Bonds paid at or after maturity. 7. Execution and Authentication of Bonds. 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, shall be countersigned with the facsimile signature of the Finance Director and shall be authenticated with the manual signature of a duly authorized signatory of the Registrar. Should any officer whose facsimile signature appears on the Bonds cease to be such officer before delivery of the Bonds to the Purchasers, such facsimile signature shall nevertheless be valid and sufficient for all purposes. No Bond shall be valid or become obligatory for any purpose or be entitled to any security or benefit under this Ordinance unless and until the certificate of authentication on such Bond shall have been duly executed by the Registrar, and such executed certificate upon any such Bond shall be conclusive evidence that such Bond has been authenticated and delivered under this Ordinance. The certificate of authentication on any Bond shall be deemed to have been duly executed by the Registrar if signed by an authorized signatory thereof, but it shall not be necessary that the same signatory sign the certificate of authentication on all of the Bonds. 8. Registration and Transfer of Bonds. Upon their execution and authentication and prior to their delivery the Bonds shall be registered for the purpose of payment of principal and interest by the Registrar. Thereafter, the Bonds shall be transferable only upon the registration books of the City by Central Bank of Denver, Denver, Colorado, or its successors, as BD2078 86 02/20/89 transfer agent (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 accept 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 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 the beneficiaries of the trust. Transfers shall be made at the expense of the transferor, and the Transfer Agent may also require payment of a sum sufficient to defray any tax or other governmental charge that may hereafter be imposed in connection with any transfer of Bonds. No registration or transfer of any Bond shall be effective until entered on the registration books of the City. The Transfer Agent shall not be required to transfer ownership of any Bond during the fifteen ( 15) days immediately preceding any interest payment date nor during the fifteen ( 15) days immediately preceding the mailing of any notice of redemption nor to transfer ownership of any Bond selected for redemption on or after the date of such mailing. In the case of every transfer, the Registrar shall authenticate and the Transfer Agent shall deliver to the new registered owner a new Bond, bearing the same number and bearing interest at the same per annum rate as the Bond surrendered. New Bonds delivered upon any transfer 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, her or its 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. 9. Resignation of Agents. If the Paying Agent, Registrar, or Transfer Agent initially appointed hereunder shall resign, or if the City shall reasonably determine that the Paying Agent, Registrar or Transfer Agent has become incapable of fulfilling its duties hereunder, the City may, upon notice mailed to each registered owner of the Bonds at the address last shown on the registration books of the City, appoint a successor paying BD2078 87 02/20/89 agent, registrar or transfer agent. Every such successor paying agent, registrar or transfer agent shall be a bank or trust company located and in good standing in the State of Colorado and having a capital and surplus of not less than $5,000,000. It shall not be required that the same institution serve as paying agent, registrar and transfer agent hereunder, but the City shall have the right to have the same institution serve as paying agent, registrar and transfer agent hereunder. 10. Replacement of 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 Section 8-41 of the Code. 11 . Recitals in Bonds. Each Bond shall recite that it is issued under the authority of the Colorado Constitution, the Charter, the Act and this Ordinance. The Act provides that such recital conclusively imparts full compliance with all of the provisions of the Act and that the Bonds containing such recital are incontestable for any cause whatsoever after their delivery for value. 12 . Form of Bonds. The Bonds shall be in substantially the following form: t BD2078 88 02/20/89 [ Form of Bond] (Text of Face) UNITED STATES OF AMERICA STATE OF COLORADO COUNTY OF LARIMER CITY OF FORT COLLINS 1989 CONSOLIDATED SPECIAL IMPROVEMENT DISTRICT SPECIAL ASSESSMENT REFUNDING AND IMPROVEMENT BOND No. R- $5,000 Interest Maturity Original Rate Date Date August 1, 2001 March 1, 1989 REGISTERED OWNER: PRINCIPAL SUM: FIVE THOUSAND DOLLARS 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 the Original Date ( specified above) , 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 on August 1, 1989, and semiannually thereafter on the first day of February and the first day of August of each year. If upon presentation at maturity the Principal Sum is not paid as provided herein, interest continues hereon at the Interest Rate until the Principal Sum is paid in full . The Bonds of this issue are subject to redemption prior to the Maturity Date in regular numerical order at any time at a price equal to the principal amount thereof plus accrued interest thereon to the redemption date, with no premium, as follows: Whenever there are moneys available in the 1989 Consolidated Special Improvement District, Special Assessment Refunding and BD2078 89 02/20/89 Improvement Bonds, Bond Fund hereinafter described exceeding the amount necessary to pay interest on the Bonds then due and interest on the Bonds on the next succeeding interest payment date, the Finance Director of the City is to direct Central Bank of Denver, Denver, Colorado, or its successors, as paying agent, to call in and pay Bonds to the extent possible in accordance with the estimated redemption schedule set forth in the final Official Statement pertaining to the Bonds . Moneys remaining in said fund after the payments described above have been made, to the extent such moneys are attributable to prepayments of assessments, are to be applied to the redemption prior to maturity of such additional Bonds as may be called in and paid as provided above. Moneys remaining in said fund after the payments described above have been made, to the extent such moneys are attributable to interest on assessments exceeding interest on the Bonds or to income derived from the investment of moneys on deposit in said fund, except to the extent that certain investment proceeds of the Bonds are subject to rebate to the United States government and deposited in the Excess Investment Earnings Fund, may be used by the City to reimburse itself for advances made by the City to pay costs of certain improvements within 1989 Consolidated Special Improvement District, including interest on bonds issued to finance the same, not paid from the proceeds of such bonds and/or to redeem prior to maturity such additional Bonds as may be called in and paid as described above. The Bonds are not redeemable from the proceeds of any other bonds or obligations of the City before August 1, 1994. Notice of redemption of any Bonds is to 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, no less than thirty (30) nor more than sixty (60) days prior to the redemption date, to Kirchner Moore & Company and Boettcher & Company, Inc. , Denver, Colorado, and to the registered owners of each of the Bonds being redeemed, determined as of the close of business on the day preceding the mailing of such notice, at the addresses appearing on the registration books of the City maintained by Central Bank of Denver, Denver, Colorado, or its successors, as registrar. Said notice is to specify by number the Bonds so called. If any Bond has been duly called for redemption, such Bond is to become due and payable upon such redemption date, and from and after such date interest will cease to accrue thereon. Failure to mail any notice as aforesaid or any defect in any notice mailed with respect to any Bond will not affect the validity of the redemption proceedings with respect to any other Bond. REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF THIS BOND SET FORTH ON THE REVERSE HEREOF. BD2078 90 02/20/89 This Bond is not, and is not to be considered or taken to be, a general obligation or indebtedness of the City within the meaning of any requirement of or limitation imposed by law. This Bond is not to be valid or become obligatory for any purpose or be entitled to any security or benefit under the Ordinance authorizing the issuance of this Bond until the certificate of authentication hereon shall have been duly executed by the registrar. IN WITNESS WHEREOF, the City of Fort Collins, Colorado, has caused this Bond to be executed in the name and on behalf of the City with the facsimile signature of the Mayor of the City, to be sealed with a facsimile of the seal of the City, to be BD2078 91 02/20/89 attested with the facsimile signature of the City Clerk of the City, and to be countersigned with the facsimile 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: (Facsimile Signature) Finance Director CERTIFICATE OF AUTHENTICATION This Bond is issued pursuant to the Ordinance herein described. Printed on the reverse hereof is the complete text of the opinion of bond counsel, Ballard, Spahr, Andrews & Ingersoll, Denver, Colorado, a signed copy of which, dated the date of the first delivery of the Bonds herein described, is on file with the undersigned. CENTRAL BANK OF DENVER a banking corporation as registrar By: (Manual Signature) Authorized Signatory DATED: BD2078 92 02/20/89 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 TRANS MIN ACT - Custodian (Cust) (Minor) under Uniform Transfers to Minors Act (State) Additional abbreviations may also be used though not on the above list. BD2078 93 02/20/89 (Text of Reverse) The principal of and interest on this Bond are payable to the registered owner hereof by the paying agent. The principal of and the final interest on this Bond are payable to the registered owner hereof 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 hereof, determined as of the close of business on the regular record date, which is the fifteenth day of the calendar month next preceding the interest 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 hereof at the address appearing on the registration books of the City maintained by the registrar. Any interest hereon not paid when due and any interest hereon accruing after maturity is payable to the registered owner hereof, 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 first-class postage prepaid mail, at least ten ( 10) days prior to the special record date, to Kirchner Moore & Company and Boettcher & Company, Inc . , Denver, Colorado and to the registered owners of each of the Bonds upon which interest will be paid, determined as of the close of business on the day preceding such mailing, at the addresses appearing on the registration books of the City. If the date for making or giving any payment, determination or notice described herein is a Saturday, Sunday, legal holiday or any other day on which the paying agent or registrar is authorized or required by law to remain closed, such payment, determination or notice is to be made or given on the next succeeding day which is not a Saturday, Sunday, legal holiday or other day on which the paying agent or registrar is authorized or required by law to remain closed. This Bond is authorized and issued for the purpose of refunding, paying and discharging certain valid outstanding special assessment bonds of the City and reimbursing the City for the costs of certain improvements under the authority of and in full conformity with the Constitution of the State of Colorado, the City Charter, part 1 of article 56 of title 11, Colorado Revised Statutes, as amended, and all other laws of the State of Colorado thereto enabling and pursuant to an ordinance duly adopted by the Council of the City prior to the issuance of this Bond. The foregoing recital conclusively imparts full compliance with all of the provisions and limitations of the above-cited BD2078 94 02/20/89 statute, and said statute provides that this Bond is incontestable for any cause whatsoever after its delivery for value. The principal of and interest on this Bond are payable solely from, and as security for such payment there is pledged, subject to the provisions hereof, a special fund designated as the City of Fort Collins, Colorado, 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, Bond Fund, into which there are initially to be deposited accrued interest on the Bonds and certain capitalized interest, if any, for the account of the special assessment bonds refunded hereby, and into which there are thereafter to be deposited all moneys collected on account of assessments previously levied against the property within the 1989 Consolidated Special Improvement District specially benefited by the construction and installation of improvements therein. The Ordinance authorizing the issuance of this Bond provides that the Bonds, together with bonds of certain other special or local improvement districts of the City, are additionally secured by moneys deposited in the special Surplus and Deficiency Fund of the City. The Ordinance additionally provides that whenever there is a deficiency in the Bond Fund for the payment of the principal of or interest on the Bonds, the deficiency is to be paid by transferring moneys from the Surplus and Deficiency Fund to the Bond Fund. The Ordinance further provides that whenever three-fourths (3/4) of the Bonds of this issue have been paid and cancelled and for any reason the remaining assessments are not paid in time to redeem the remaining Bonds and to pay the interest thereon, and there are not sufficient funds in the Surplus and Deficiency Fund to do so, then the City is to pay the remaining Bonds when due, levy additional ad valorem taxes therefor, and reimburse itself by collecting the unpaid assessments due. The City covenants with the Registered Owner that it will levy and collect the assessments against the property specially benefited by the construction and installation of the improvements and deposit the same into the Bond Fund and that it will diligently preserve and enforce the lien of any unpaid assessment against the property charged therewith. The City further covenants with the Registered Owner that it will keep and perform all of the covenants of this Bond and of the Ordinance authorizing the issuance hereof. Reference is hereby made to the Ordinance for a description of the provisions, terms, and conditions upon which this Bond is issued and secured, including, without limitation, the nature and extent of the security for BD2078 95 02/20/89 this Bond, the collection and disposition of the special assessments and moneys charged with and pledged to the payment of the principal of and interest on this Bond, 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 this Bond, and the manner of enforcement of said pledge, as well as the rights, duties and obligations of the City and the members of its Council and also the rights and remedies of the Registered Owner. 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 City Charter and the Ordinance; that this Bond does not contravene any constitutional or statutory provision or limitation of the State of Colorado or any provision or limitation of the City Charter; and that this Bond is issued under the authority of the Ordinance. For the payment of the principal of and interest on this Bond the City pledges the exercise of all of its lawful corporate powers. This Bond is transferable only upon the registration books of the City by Central Bank of Denver, Denver, Colorado, or its successors, 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 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. Transfers are to be made at the expense of the transferor, and the transfer agent may also require payment of a sum sufficient to defray any tax or other governmental charge that may hereafter be imposed in connection with any transfer of Bonds. No registration or transfer of this Bond shall be effective until entered on the registration books of the City. The transfer agent is not required to transfer ownership of any Bond during the fifteen (15) days immediately preceding any interest payment date nor during the fifteen ( 15) days immediately preceding the mailing of any notice of redemption nor to transfer ownership of any Bond selected for redemption on or after the date of such mailing. In the case of every transfer, the registrar is to authenticate and the transfer agent is to BD2078 96 02/20/89 deliver to the new registered owner a new Bond, bearing the same number and bearing interest at the same per annum rate as the Bond surrendered. 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, her or its order will 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 will not be affected by any notice to the contrary. BD2078 97 02/20/89 (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 successors, to transfer the attached 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 this Bond in every particular without alteration or ,enlargement or any change whatever. Transfer Fee Required [End of Form of Bond] BD2078 98 02/20/89 13 . Disposition of Bonds and Proceeds. The Bonds, when executed, authenticated and registered as provided herein, shall be delivered by the Finance Director of the City to the Purchasers upon receipt of full payment therefor in accordance with the Bond Purchase Agreement. The proceeds of the Bonds shall be used for the purposes stated herein and for no other purposes, provided, however, that any portion of the Bond proceeds may be temporarily invested pending such use in securities or obligations which are lawful investments for the City with such temporary investments to be made consistent with the covenant hereinafter made concerning arbitrage bonds. Neither the Purchasers nor any subsequent owner of the Bonds shall be in any way responsible for the application or disposal of the proceeds of the Bonds by the City or any of its officers, agents or employees. 14. Escrow Fund. The City shall deposit in a separate special fund hereby created and designated as the City of Fort Collins, Colorado, 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, Escrow Fund (the "Escrow Fund" ) , forthwith upon receipt of the proceeds of the Bonds, proceeds of the Bonds in the approximate amount of $12, 692,769. 50 and other funds of the City, including amounts collected on account of assessments previously levied against properties within the Consolidated District and investment proceeds thereof, but not including certain investment proceeds which may be required to be rebated to the United States government, in the approximate amount of $1,060, 623 . 42 . The City shall apply said sums to the purchase of bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America ( "Federal Securities" ) in which the moneys in the Escrow Fund are to be invested and to the funding of any required cash balance as provided in the Escrow Agreement and in accordance with the proposal submitted by the Purchasers. 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 and interest on the District Bonds as the same become due upon prior redemption. Moneys shall be withdrawn from the Escrow Fund in sufficient amounts and at times to permit the payment of the principal of and interest on the District Bonds on each payment date. Any moneys remaining in the Escrow Fund after provision has been made for the payment of the District Bonds may be applied to any lawful purpose of the City as the Council may hereafter determine. 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 moneys collected on account of special assessments BD2078 99 02/27/89 levied against properties within the Consolidated District and available therefor deposit therein such additional moneys as shall be necessary to permit the payment in full of the principal of and interest on the District Bonds. 15. Redemption of District Bonds; Notices of Refunding and Redemption of District Bonds. The City hereby exercises its option to redeem the District No. 60 Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 60 Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than April 12 , 1989, notice of refunding and redemption of the District No. 60 Bonds. The notice of refunding and redemption of the District No. 60 Bonds shall be given by sending a copy thereof by registered mail to the registered owners of each of the District No. 60 Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 60 Bonds shall be in substantially the following form: BD2078 100 02/20/89 [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO HARMONY TRUNK SEWER SPECIAL IMPROVEMENT DISTRICT NO. 60 SPECIAL ASSESSMENT BONDS SERIES 1986 DATED MAY 1, 1986 - $995, 000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Harmony Trunk Sewer Special Improvement District No. 60, Special Assessment Bonds, Series 1986, dated May 1, 1986, in the original aggregate principal amount of $995, 000 (the "District No. 60 Bonds" ) , that the City of Fort Collins, Colorado ( "the City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13, 140,000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 60 Bonds as the same become due upon prior redemption. 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 District No. 60 Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 60 Bonds, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 60 Bond so redeemed plus accrued interest thereon to the redemption date: BD2078 101 02/27/89 Bond Numbers Principal Amounts R-1 $70,000 R-2 85, 000 R-3 85,000 R-4 85, 000 R-5 85, 000 R-6 85, 000 R-7 85, 000 R-8 80, 000 R-9 80, 000 R-10 80, 000 R-11 80, 000 R-12 80, 000 On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 60 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 District No. 60 Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of April, 1989. CITY OF FORT COLLINS, COLORADO Finance Director ( End of Form of Notice] BD2078 102 02/20/89 The City hereby exercises its option to redeem the 1982 Consolidated District Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each 1982 Consolidated District Bond so redeemed plus accrued interest thereon to the expiration of thirty (30) days from the first publication of notice of redemption as hereinafter described. The Finance Director is hereby authorized and directed to give notice of refunding and redemption of the 1982 Consolidated District Bonds. The notice of refunding and redemption of the 1982 Consolidated District Bonds shall be given by publication of such notice for five (5) days in The Coloradoan, Fort Collins, Colorado, an official newspaper published in the City, beginning March 29, 1989, and by sending a copy of such notice within ten ( 10) days after publication by first-class, postage prepaid mail to Boettcher & Company, Inc. , Denver, Colorado, and to the holders of each of the 1982 Consolidated District Bonds being redeemed if the names and addresses of such holders and the numbers of their 1982 Consolidated District Bonds are recorded with the City Clerk. The notice of refunding and redemption of the 1982 Consolidated District Bonds shall be in substantially the following form: BD2078 103 02/20/89 [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO 1982 CONSOLIDATED SPECIAL IMPROVEMENT DISTRICT SPECIAL ASSESSMENT BONDS DATED DECEMBER 1, 1982 - $1,265,000 NOTICE IS HEREBY GIVEN to the holders of all outstanding City of Fort Collins, Colorado, 1982 Consolidated Special Improvement District, Special Assessment Bonds, dated December 1, 1982, in the original aggregate principal amount of $1,265,000 (the "1982 Consolidated District Bonds" ) , that the City of Fort Collins, Colorado ( "the City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13, 140, 000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the 1982 Consolidated District Bonds as the same become due upon prior redemption. 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 r !nimum 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 1982 Consolidated District Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the 1982 Consolidated District Bonds numbered 983 through 1,265 prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each 1982 Consolidated District Bond so redeemed plus accrued interest thereon to the expiration of thirty (30) days from the first publication of this notice. On the redemption date there will become due and payable at the principal corporate trust offices of First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, the principal amount of each 1982 Consolidated District Bond so BD2078 104 02/27/89 redeemed plus accrued interest thereon to the expiration of thirty (30) days from the first publication of this notice, and from and after the expiration of thirty (30) days from the first publication of this notice interest will cease to accrue. Each such 1982 Consolidated District Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of March, 1989 . CITY OF FORT COLLINS, COLORADO Finance Director [End of Form of Notice] BD2078 105 02/20/89 The City hereby exercises its option to redeem the District No. 78 (Phase 1) Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 78 (Phase 1) Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give notice of refunding and redemption of the District No. 78 (Phase 1) Bonds. The notice of refunding and redemption of the District No. 78 (Phase 1) Bonds shall be given by publication of such notice for five (5) days in The Coloradoan, Fort Collins, Colorado, an official newspaper published in the City, beginning March 29, 1989, and by sending a copy of such notice within ten (10) days after publication by first-class, postage prepaid mail to Boettcher & Company, Inc. , Denver, Colorado, and to the registered owners of each of the District No. 78 (Phase 1) Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 78 (Phase 1) Bonds shall be in substantially the following form: BD2078 106 02/20/89 [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO LEMAY/HARMONY SPECIAL IMPROVEMENT DISTRICT NO. 78 (PHASE 1) SPECIAL ASSESSMENT BONDS DATED OCTOBER 1, 1983 - $1,885, 000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Lemay/Harmony Special Improvement District No. 78 (Phase 1) , Special Assessment Bonds, dated October 1, 1983 , in the original aggregate principal amount of $1, 885,000 (the "District No. 78 (Phase 1) Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13 , 140,000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 78 (Phase 1) Bonds as the same become due upon prior redemption. 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 District No. 78 (Phase 1) Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 78 (Phase 1) Bonds numbered R-194 through R-377 prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 78 (Phase 1) Bond so redeemed plus accrued interest thereon to the expiration of thirty (30) days from the first publication of this notice. On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 78 (Phase 1) Bond so redeemed plus accrued interest thereon to the BD2078 107 02/27/89 expiration of thirty (30) days from the first publication of this notice, and from and after the expiration of thirty (30) days from the first publication of this notice interest will cease to accrue . Each such District No. 78 (Phase 1) Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of March, 1989 . CITY OF FORT COLLINS, COLORADO Finance Director (End of Form of Notice] BD2078 108 02/20/89 The City hereby exercises its option to redeem the District No. 78 (Phase 2) Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 78 (Phase 2 ) Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than March 13, 1989, notice of refunding and redemption of the District No. 78 (Phase 2 ) Bonds. The notice of refunding and redemption of the District No. 78 (Phase 2 ) Bonds shall be given by sending a copy thereof by first-class, postage prepaid mail to Boettcher & Company, Inc. , Denver, Colorado, and to the registered owners of each of the District No. 78 (Phase 2 ) Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 78 (Phase 2 ) Bonds shall be in substantially the following form: BD2078 109 02/20/89 [ Form of Notice) NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO LEMAY/HARMONY SPECIAL IMPROVEMENT DISTRICT NO. 78 (PHASE 2) SPECIAL ASSESSMENT BONDS DATED SEPTEMBER 15, 1984 - $3, 100,000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Lemay/Harmony Special Improvement District No. 78 (Phase 2) , Special Assessment Bonds, dated September 15, 1984, in the original aggregate principal amount of $3, 100, 000 (the "District No. 78 (Phase 2 ) Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13, 140,000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 78 (Phase 2 ) Bonds as the same become due upon prior redemption. 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 District No. 78 (Phase 2 ) Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 78 (Phase 2 ) Bonds numbered 7 through 620 prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 78 (Phase 2) Bond so redeemed plus accrued interest thereon to the redemption date. On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 78 (Phase 2 ) Bond so redeemed plus accrued interest thereon to the redemption date, and from and after the redemption date interest BD2078 110 02/27/89 will cease to accrue. Each such District No. 78 (Phase 2 ) Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of March, 1989 . CITY OF FORT COLLINS, COLORADO Finance Director (End of Form of Notice] BD2078 ill 02/20/89 The City hereby exercises its option to redeem the District No. 79 Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 79 Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than March 13 , 1989, notice of refunding and redemption of the District No. 79 Bonds . The notice of refunding and redemption of the District No. 79 Bonds shall be given by sending a copy of thereof by registered mail to Coughlin & Company, Denver, Colorado, and to the registered owners of each of the District No. 79 Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 79 Bonds shall be in substantially the following form: BD2078 112 02/20/89 [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO FAIRBROOKE SPECIAL IMPROVEMENT DISTRICT NO. 79 SPECIAL ASSESSMENT BONDS SERIES 1983 DATED DECEMBER 1, 1983 - $1,280, 000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Fairbrooke Special Improvement District No. 79, Special Assessment Bonds, Series 1983 , dated December 1, 1983, in the original aggregate principal amount of $1,280, 000 (the "District No. 79 Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13 , 140, 000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 79 Bonds as the same become due upon prior redemption. 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, ip fully sufficient at the time of the deposit and at all times subsequently to pay the principal of and interest on the District No. 79 Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 79 Bonds numbered R-19 through R-256 prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 79 Bond so redeemed plus accrued interest thereon to the redemption date. On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 79 Bond so redeemed plus accrued interest thereon to the redemption BD2078 113 02/27/89 date, and from and after the redemption date interest will cease to accrue. Each such District No. 79 Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of March, 1989 . CITY OF FORT COLLINS, COLORADO Finance Director [ End of Form of Notice] BD2078 114 02/20/89 The City hereby exercises its option to redeem the District No. 80 Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 80 Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than March 13 , 1989, notice of refunding and redemption of the District No. 80 Bonds. The notice of refunding and redemption of the District No. 80 Bonds shall be given by sending a copy by registered mail to First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, and to the registered owners of each of the District No. 80 Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 80 Bonds shall be in substantially the following form: BD2078 115 02/20/89 [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO LANDMARK SPECIAL IMPROVEMENT DISTRICT NO. 80 SPECIAL ASSESSMENT BONDS SERIES 1984 DATED NOVEMBER 1, 1984 - $315, 000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Landmark Special Improvement District No. 80, Special Assessment Bonds, Series 1984, dated November 1, 1984, in the original aggregate principal amount of $315,000 (the "District No. 80 Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13, 140,000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 80 Bonds as the same become due upon prior redemption. 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 District No. 80 Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 80 Bonds numbered R-36 through R-63 prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 80 Bond so redeemed plus accrued interest thereon to the redemption date. On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 80 Bond so redeemed plus accrued interest thereon to the redemption BD2078 116 02/27/89 date, and from and after the redemption date interest will cease to accrue . Each such District No. 80 Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of March, 1989. CITY OF FORT COLLINS, COLORADO Finance Director [End of Form of Notice] BD2078 117 02/20/89 The City hereby exercises its option to redeem the District No. 81 (Phase 1) Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 81 (Phase 1 ) Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than March 13 , 1989, notice of refunding and redemption of the District No. 81 (Phase 1) Bonds. The notice of refunding and redemption of the District No. 81 (Phase 1) Bonds shall be given by sending a copy by first-class, postage prepaid mail to Boettcher & Company, Inc. , Denver, Colorado, and to the registered owners of each of the District No. 81 (Phase 1) Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 81 (Phase 1 ) Bonds shall be in substantially the following form: BD2078 118 02/20/89 [Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO PROVINCETOWNE/PORTNER ESTATES SOUTH SPECIAL IMPROVEMENT DISTRICT NO. 81 (PHASE 1) SPECIAL ASSESSMENT BONDS DATED JUNE 15, 1985 - $2, 440, 000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Provincetowne/Portner Estates South Special Improvement District No. 81 (Phase 1) , Special Assessment Bonds, dated June 15, 1985, in the original aggregate principal amount of $2,440, 000 (the "District No. 81 (Phase 1) Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13 , 140,000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 81 (Phase 1) Bonds as the same become due upon prior redemption. 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 District No. 81 (Phase 1) Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 81 (Phase 1) Bonds numbered 85 through 488 prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 81 (Phase 1) Bond so redeemed plus accrued interest thereon to the redemption date. On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 81 BD2078 119 02/27/89 (Phase 1) 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 District No. 81 (Phase 1) Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of March, 1989. CITY OF FORT COLLINS, COLORADO Finance Director [End of Form of Notice] BD2078 120 02/20/89 The City hereby exercises its option to redeem the District No. 82 Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 82 Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than March 13 , 1989, notice of refunding and redemption of the District No. 82 Bonds. The notice of refunding and redemption of the District No. 82 Bonds shall be given by sending a copy by first-class, postage prepaid mail to Boettcher & Company, Inc. , Denver, Colorado, and to the registered owners of each of the District No. 82 Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 82 Bonds shall be in substantially the following form: BD2078 121 02/20/89 [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO CUNNINGHAM CORNER SPECIAL IMPROVEMENT DISTRICT NO. 82 SPECIAL ASSESSMENT BONDS DATED DECEMBER 1, 1984 - $1,265,000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Cunningham Corner Special Improvement District No. 82 , Special Assessment Bonds, dated December 1, 1984, in the original aggregate principal amount of $1,265, 000 (the "District No. 82 Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13 , 140,000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 82 Bonds as the same become due upon prior redemption. 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 District No. 82 Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 82 Bonds numbered 23 through 253 prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 82 Bond so redeemed plus accrued interest thereon to the redemption date. On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 82 Bond so redeemed plus accrued interest thereon to the redemption date, and from and after the redemption date interest will cease BD2078 122 02/27/89 to accrue . Each such District No. 82 Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of March, 1989 . CITY OF FORT COLLINS, COLORADO Finance Director [End of Form of Notice] BD2078 123 02/20/89 The City hereby exercises its option to redeem the District No. 83 Bonds prior to their maturity date, on November 1, 1989, at a price equal to the principal amount of each District No. 83 Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than October 2 , 1989, notice of refunding and redemption of the District No. 83 Bonds. The notice of refunding and redemption of the District No. 83 Bonds shall be given by sending a copy by first-class, postage prepaid mail to the registered owners of each of the District No. 83 Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 83 Bonds shall be in substantially the following form: BD2078 124 02/20/89 [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO HORSETOOTH ROAD SPECIAL IMPROVEMENT DISTRICT NO. 83 SPECIAL ASSESSMENT BONDS DATED NOVEMBER 1, 1986 - $610,000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Horsetooth Road Special Improvement District No. 83, Special Assessment Bonds, dated November 1, 1986, in the original aggregate principal amount of $610,000 (the "District No. 83 Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1 , 1989, in the aggregate principal amount of $13, 140,000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 83 Bonds as the same become due upon prior redemption. 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 District No. 83 Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 83 Bonds, consisting of bonds bearing the following numbers, in the following aggregate principal amounts, prior to their maturity date, on November 1, 1989, at a price equal to the principal amount of each District No. 83 Bond so redeemed plus accrued interest thereon to the redemption date: BD2078 125 02/27/89 Bond Numbers Principal Amounts R-2 $25, 000 R-3 40, 000 R-4 40, 000 R-5 40, 000 R-6 40, 000 R-7 40, 000 R-8 40,000 R-9 40,000 R-10 40,000 R-11 40,000 R-12 40,000 R-13 40, 000 R-14 45, 000 R-15 45, 000 On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 83 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 District No. 83 Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of 1989. CITY OF FORT COLLINS, COLORADO Finance Director [End of Form of Notice] BD2078 126 02/20/89 The City hereby exercises its option to redeem the District No. 84 Bonds prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 84 Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than March 13 , 1989, notice of refunding and redemption of the District No. 84 Bonds. The notice of refunding and redemption of the District No. 84 Bonds shall be given by sending a copy by registered mail to First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, and to the registered owners of each of the District No. 84 Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 84 Bonds shall be in substantially the following form: BD2078 127 02/20/89 [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO HEART SPECIAL IMPROVEMENT DISTRICT NO. 84 SPECIAL ASSESSMENT BONDS SERIES 1986 DATED FEBRUARY 1, 1986 - $1, 300,000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, Heart Special Improvement District No. 84, Special Assessment Bonds, Series 1986, dated February 1, 1986, in the original aggregate principal amount of $1, 300,000 (the "District No. 84 Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13, 140, 000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 84 Bonds as the same become due upon prior redemption. 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 District No. 84 Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 84 Bonds numbered R-2 through R-10 prior to their maturity date, on April 28, 1989, at a price equal to the principal amount of each District No. 84 Bond so redeemed plus accrued interest thereon to the redemption date. On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 84 Bond so redeemed plus accrued interest thereon to the redemption BD2078 128 02/27/89 date, and from and after the redemption date interest will cease to accrue. Each such District No. 84 Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of March, 1989. CITY OF FORT COLLINS, COLORADO Finance Director [End of Form of Notice] BD2078 129 02/20/89 The City hereby exercises its option to redeem the District No. 86 Bonds prior to their maturity date, on October 1, 1989, at a price equal to the principal amount of each District No. 86 Bond so redeemed plus accrued interest thereon to the redemption date. The Finance Director is hereby authorized and directed to give no later than August 17, 1989, notice of refunding and redemption of the District No. 86 Bonds. The notice of refunding and redemption of the District No. 86 Bonds shall be given by sending a copy by first-class, postage prepaid mail to First Interstate Bank of Denver, N.A. , Denver, Colorado, and to the registered owners of each of the District No. 86 Bonds being redeemed at the addresses appearing on the registration books of the City. The notice of refunding and redemption of the District No. 86 Bonds shall be in substantially the following form: BD2078 130 02/20/89 a [ Form of Notice] NOTICE OF REFUNDING AND REDEMPTION OF CITY OF FORT COLLINS, COLORADO SOUTH LEMAY SPECIAL IMPROVEMENT DISTRICT NO. 86 SPECIAL ASSESSMENT BONDS DATED OCTOBER 1, 1986 - $2, 530,000 NOTICE IS HEREBY GIVEN to the registered owners of all outstanding City of Fort Collins, Colorado, South Lemay Special Improvement District No. 86, Special Assessment Bonds, dated October 1, 1986, in the original aggregate principal amount of $2 , 530,000 (the "District No. 86 Bonds" ) , that the City of Fort Collins, Colorado (the "City" ) , has issued its 1989 Consolidated Special Improvement District, Special Assessment Refunding and Improvement Bonds, dated March 1, 1989, in the aggregate principal amount of $13 , 140,000, and deposited a portion of the proceeds thereof and other funds of the City in escrow with First Interstate Bank of Fort Collins, N.A. , Fort Collins, Colorado, which proceeds and other funds have been invested in bills, certificates of indebtedness, notes or bonds which are direct _ obligations of, or the principal of and interest on which obligations are unconditionally guaranteed by, the United States of America for the payment of the principal of and interest on the District No. 86 Bonds as the same become due upon prior redemption. 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 District No. 86 Bonds as such payments become due upon prior redemption. NOTICE IS FURTHER HEREBY GIVEN that the City has exercised its option to redeem the District No. 86 Bonds numbered 135 through 506 prior to their maturity date, on October 1, 1989, at a price equal to the principal amount of each District No. 86 Bond so redeemed plus accrued interest thereon to the redemption date. On the redemption date there will become due and payable at the office of the Finance Director of the City of Fort Collins, Colorado, the principal amount of each District No. 86 Bond so redeemed plus accrued interest thereon to the redemption date, and from and after the redemption date interest will cease BD2078 131 02/27/89 to accrue. Each such District No. 86 Bond will be redeemed on or after the redemption date upon presentation and surrender thereof. GIVEN BY ORDER OF THE CITY COUNCIL this day of August, 1989. CITY OF FORT COLLINS, COLORADO Finance Director [End of Form of Notice) BD2078 132 02/20/89 16. Other Funds. The City shall deposit in such other funds of the City as it may deem appropriate, forthwith upon receipt of the proceeds of the Bonds, proceeds of the Bonds in the approximate amount of $103 , 800. The City shall apply said sum to the payment of the costs of issuing the Bonds and to the reimbursement of the General Fund of the City or any other fund of the City from which moneys were withdrawn to pay costs of any of the Improvements, including interest on the District Bonds, not paid from the proceeds of the District Bonds. 17. Bond Fund. The principal of and interest on the Bonds shall be payable solely from, and there is hereby created, the Bond Fund, into which there shall initially be deposited accrued interest on the Bonds and into which there shall thereafter be deposited all moneys collected on account of assessments previously levied against the property within the Consolidated District specially benefited by the construction and installation of the Improvements therein. The moneys in the Bond Fund shall be used for the purpose of paying the principal of and interest on the Bonds and for purposes specified in Section 6 hereof, and as security for such payment the Bond Fund is hereby pledged. The City may account separately within the Bond Fund for money collected on account of assessments levied on property within each of the Districts as described above without altering the security of this pledge. Any moneys remaining in the Bond Fund after the principal of and interest on the Bonds have been paid in full shall be deposited in the Surplus and Deficiency Fund hereinafter described or disbursed in such other manner as may be determined by the Council . 18 . Surplus and Deficiency Fund. The Bonds, together with bonds of certain other special or local improvement districts of the City, shall be additionally secured by moneys deposited in the special Surplus and Deficiency Fund of the City (the "Surplus and Deficiency Fund") . Whenever there is a deficiency in the Bond Fund for the payment of principal of or interest on the Bonds , the deficiency shall be paid by transferring moneys from the Surplus and Deficiency Fund to the Bond Fund. 19. Contingent Obligation. Whenever three-fourths (3/4) of the Bonds have been paid and cancelled and for any reason the remaining assessments are not paid in time to redeem the remaining Bonds and to pay the interest thereon, and there are not sufficient moneys in the Surplus and Deficiency Fund to do so, then the City shall pay the remaining Bonds when due, levy additional ad valorem taxes therefor, and reimburse itself by collecting the unpaid assessments due. 20. Excess Investment Earnings Fund. There is hereby created the City of Fort Collins, Colorado, 1989 Consolidated BD2078 133 02/27/89 Special Improvement District, Special Assessment Refunding and Improvement Bonds, Excess Investment Earnings Fund (the "Excess Investment Earnings Fund" ) , into which the Finance Director shall transfer, and from which the Finance Director shall pay, the amount of required arbitrage rebate, if any, due to the United States government under Sections 103 and 148(f) (2 ) of the Internal Revenue Code of 1986, as amended (the "Tax Code" ) , and regulations promulgated thereunder. The Finance Director shall determine such amounts in the manner required by the Tax Code and related regulations. Transfer of the required arbitrage rebate amounts shall be made from the Escrow Fund ( subject to the provisions of the Escrow Agreement) , the Bond Fund and the Surplus and Deficiency Fund, provided, however, that required arbitrage rebate payments shall be made to the United States government from legally available funds regardless of whether there are any funds described herein which are available for such purpose. All amounts in the Excess Investment Earnings Fund, including income earned from the investment of moneys therein, shall be held by the Finance Director free and clear of any lien created by this Ordinance, and the Finance Director shall pay required arbitrage rebate amounts over to the United States government from time to time as the Finance Director shall determine, provided that the Finance Director shall so pay over to the United States of America (a) not less frequently than once each five years after the date of issuance of the Bonds, an amount equal to 90% of the required arbitrage rebate amount earned during such period (and not theretofore paid to the United States government) and (b) not later than sixty (60) days after the redemption of the last Bond, 100% of the required arbitrage rebate amount. 21. Tax Matters. The City shall make no investment or other use of the proceeds of the Bonds at any time during the term thereof which will cause the interest on the Bonds to be includible in gross income under the Tax Code and the regulations promulgated thereunder and shall comply with all other covenants and certifications relating to the Tax Code made by it in connection with the issuance of the Bonds. The foregoing covenant shall remain in effect notwithstanding the payment in full or defeasance of the Bonds until the date on which all obligations of the City in fulfilling the above covenant under the Tax Code have been met. 22 . Collection of Assessments. The Council shall cause the assessments previously levied against the properties in the Consolidated District specially benefited by the construction and installation of the Improvements therein to be collected as provided by law for the benefit of the registered owners of the Bonds. All assessments made, together with all interest thereon BD2078 134 02/20/89 and penalties for default in payment thereof, shall be a lien in the several amounts assessed against each property from the date of the publication of the assessing ordinance and shall be a first and prior lien over all other liens excepting general tax liens. The Council shall further cause the lien of any unpaid assessment to be diligently preserved and enforced against the property charged therewith. 23 . Bookkeeping and Records. So long as any of the Bonds remain outstanding, the City shall keep or cause to be kept by Larimer County, Colorado, true and accurate books of records and accounts showing full and true entries covering the collection and disposition of the assessments and any delinquencies in the collection thereof, covering deposits and disbursements in each of the special funds herein described, and covering the payment of the Bonds. The City shall permit inspection and examination of all such books and notices maintained or received by the City at any reasonable time by the Purchasers or the registered owners of any of the Bonds. 24. Defeasance. When all of the principal of and interest on the Bonds have been duly paid, all obligations hereunder shall thereby be discharged, and the Bonds shall no longer be deemed to be outstanding. 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 of Colorado Federal Securities in an amount sufficient (including the known minimum yield available for such purpose from Federal Securities in which such amount may wholly or in part be initially invested) to pay all principal of and interest on the Bonds. The Federal Securities shall become due prior to the respective times at which the proceeds thereof shall be needed in 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 Bonds in accordance with the provisions hereof. 25. Rights and Remedies. The registered owners of any Bonds or any trustee therefor shall have the right and power for the equal benefit and protection of all registered owners of Bonds similarly situated: a. by mandatory injunction or other suit, action, or proceeding at law or in equity to enforce his, her or its rights against the City and to require and compel the City to perform and carry out its duties, obligations, or other commitments under this Ordinance and under its BD2078 135 02/20/89 covenants and agreements with the registered owners of the Bonds; b. by action or by suit in equity to require the City to account as if it were the trustee of an express trust; C. by action or by suit in equity to have appointed a receiver, which receiver may take possession of any accounts and may collect, receive and apply all revenues or other moneys pledged for the payment of the Bonds in the same manner as the City itself might do; d. by action or by suit in equity to enjoin any acts or things which might be unlawful or might be in violation of the rights of the registered owners of the Bonds; and e. to bring suit upon the Bonds. No right or remedy conferred by this Ordinance upon the registered owners of any of the Bonds or any trustee therefor is intended to be exclusive of any other right or remedy, but each such right or remedy is cumulative and is in addition to every other right or remedy and may be exercised without exhausting and without regard to any other remedy conferred by this Ordinance or by any other law. The failure of the registered owners of any of the Bonds so to proceed as provided herein shall not relieve the City of any obligation to perform or to carry out any duty, obligation or other commitment. 26. 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, the City Clerk and the Finance Director of the City shall forthwith, but in any event prior to the delivery of the Bonds to the Purchasers, file with the Colorado Secretary of State their manual signatures and an impression of the seal of the City, certified by them under oath. 27 . Authorized Acts. 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 limiting the generality of the foregoing: a. the printing of the Bonds, including the printing upon each of the Bonds of a copy of the approving legal opinion of Ballard, Spahr, Andrews & Ingersoll, bond counsel, duly certified by the Registrar and, if necessary BD2078 136 02/20/89 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 Purchasers and thereafter to be exchanged by the Purchasers for printed Bonds when the same are received by the City; b. the execution of the Escrow Agreement and such certificates as may be required by the Purchasers relating to the signing of the Bonds, the tenure and identity of the City officials, if in accordance with the facts, the absence of litigation, pending or threatened, affecting the validity of the Bonds, the tax treatment of the interest on the Bonds under federal income tax laws, receipt of the Bond purchase price and of the Bonds, and the accuracy and adequacy of information provided in the final Official Statement pertaining to the Bonds; C . the preparation of a Preliminary Official Statement and a final Official Statement pertaining to the Bonds; d. the making of various statements, recitals, certificates and warranties provided in the form of Bond set forth in this Ordinance; and e. the payment of the interest on the Bonds as the same shall become due and the principal of the Bonds at maturity or upon prior redemption without further warrant or order. 28. Ordinance Irrepealable . This Ordinance is, and shall constitute, a legislative measure of the City, and after the Bonds are issued, sold and outstanding, this Ordinance shall constitute a contract between the City and the registered owners of the Bonds, and shall be and remain irrepealable until the Bonds shall have been fully paid, satisfied and discharged. 29. Statutory Limitations Met. The Council hereby determines that the provisions and limitations of the Act and any other applicable law imposed on the issuance of the Bonds have been met. 30. Inconsistent Provisions Superseded. Any inconsistency between the provisions of this Ordinance and those of the Act or any other applicable statutes is intended by the Council. To the extent of any such inconsistency the provisions of this Ordinance shall be deemed made pursuant to the Charter and shall supersede to the extent permitted by law the BD2078 137 02/20/89 conflicting provisions of the Act or any other applicable statutes. 31. Ratification of Actions. All action heretofore taken by the City and by the officers thereof not inconsistent herewith directed toward the authorization and sale of the Bonds is hereby ratified, approved and confirmed. 32 . Repealer of Measures. All resolutions, ordinances, or parts thereof, taken by the City and in conflict with this Ordinance are hereby repealed, except that this repealer shall not be construed so as to revive any resolution, ordinance, or part thereof, heretofore repealed. 33 . Severability. If any paragraph, clause or provision of this Ordinance is judicially adjudged invalid or unenforceable, such judgment shall not affect, impair or invalidate the remaining paragraphs, clauses or provisions hereof, the intention being that the various paragraphs, clauses or provisions hereof are severable. 34. Recording: Effective Date. This Ordinance, after its final passage, shall be recorded in a book for that purpose, shall be authenticated by the signatures of the Mayor and the City Clerk, shall be published as provided in the Charter and shall take effect on the tenth day following final passage. READ, AMENDED, FINALLY PASSED AS AMENDED ON SECOND READING, AND ORDERED PUBLISHED ONCE BY NUMBER AND TITLE ONLY this 28th day of February, 1989. CITY OF FORT C LLINS LORADO By: Mayor (CITY) (SEAL) ATTEST: 1 l♦ City Clerk BD2078 138 02/20/89