HomeMy WebLinkAbout015 - 05/16/1965 - AUTHORIZING THE ISSUANCE THE CITY'S NEGOTIABLE SEWER REFUNDING AND IMPROVEMENT REVENUE BONDS, SERIES j
ORDINANCE NO I5,, 1965
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AN ORDINANCE AUTHORIZING THE ISSUANCE BY THE CITY
OF FORT COLLINS, COLORADO, OF THE CITY' S NEGOTIABLE,
COUPON "CITY OF FORT COLLINS, COLORAD09 SEWER REFUND-
ING AND IMPROVEMENT REVENUE BONDS, SERIES JUNE 1,
1965" IN THE AGGREGATE PRINCIPAL AMOUNT OF
$22492 000 00 , PROVIDING FOR THE REFUNDING, PAYMENT
AND DISCHARGE AT THEIR RESPECTIVE MATURITIES OF THE
CITY' S OUTSTANDING REVENUE BONDS PAYABLE OUT OF AND
SECURED BY A PLEDGE OF REVENUES TO BE DERIVED FROM
THE OPERATION OF THE CITY'S MUNICIPALLY OWNED AND
OPERATED SEWER SYSTEM, AUTHORIZING THE DEPOSIT OF
FUNDS SO TO REDEEM SUCH OUTSTANDING BONDS, AUTHOR-
IZING THE IMPROVEMENT AND EXTENSION OF SAID SEWER
SYSTEM BY THE CONSTRUCTION AND OTHER ACQUISITION OF
ADDITIONAL SEWAGE COLLECTION AND TREATMENT FACILI-
TIES AND EVERYTHING NECESSARY OR INCIDENTAL THERE-
TO, AUTHORIZING THE ISSUANCE OF SUCH BONDS IN ANTI-
CIPATION OF THE COLLECTION OF REVENUES OF SUCH SYSTEM
FOR SUCH IMPROVEMENTS AND EXTENSIONS, PROVIDING THE
FORM, TERMS AND CONDITIONS OF THE SEWER REFUNDING
AND IMPROVEMENT BONDS, THE MANNER OF THEIR EXECUTION,
THE METHOD OF PAYING THEM, AND THE SECURITY THEREFOR,
PROVIDING FOR THE COLLECTION AND DISPOSITION OF
REVENUES DERIVED AND TO BE DERIVED FROM SAID SEWER
SYSTEM, PROVIDING OTHER DETAILS CONCERNING THE REFUND-
ING AND IMPROVEMENT BONDS, SAID SEWER SYSTEM, THE
BONDS TO BE REFUNDED, AND FUNDS APPERTAINING THERETO,
INCLUDING BUT NOT LIMITED TO COVENANTS AND AGREEMENTS
IN CONNECTION THEREWITH, RATIFYING ACTION PREVIOUSLY
TAKEN AND PROVIDING THE EFFECTIVE DATE HEREOF
WHEREAS, the City of Fort Collins (herein sometimes
designated as the "City") , in the County of Larimer and
State of Colorado, is a political subdivision of the State,
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a body corporate and politic and a home rule city with a
"Council-Manager government" pursuant to Article XX of the
Constitution of the State of Colorado and the Charter of the
City (herein sometimes designated as the "Charter") , and
WHEREAS, the City now owns , operates and maintains
a municipal sanitary sewer system (herein sometimes desig-
nated as the "sewerage facilities," as the "sewer system"
or merely as the "system") , and
WHEREAS, the City Council of the City (herein some-
times designated as the "Council") has determined, and does
hereby declare, that the interest of the City and of the in-
habitants thereof, and the public interest and necessity
demand the improvement and extension of the municipally owned
and operated sewer system by the construction and other acqui-
sition of additional sewage collection and treatment facili-
ties and everything necessary and incidental thereto at a coS-t
which is estimated not to exceed $2 ,200,000 00, excluding any
cost to be defrayed from any source other than bond proceeds
(herein sometimes designated as the "Improvement Project") , and
WHEREAS, Section 20 Part II, Article I of the
Charter, as amended, provides in relevant part
"Section 20 Indebtedness and Limitations
Indebtedness and obligations against the City shall
be incurred and limited as provided in Article XI of
the Constitution of the State of Colorado, provided
that in determining the limitation of the City' s power
to incur indebtedness there shall not be included bonds
issued to evidence debts contracted for supplying
water to such City or for the acquisition or extension
of public utilities, enterprises works, or ways from
which the City will derive revenue , and provided fur-
ther, that no general obligation bonds shall be issued
without the vote of the taxpaying electors and no
revenue bonds shall be issued without the vote of the
qualified electors, except as follows
"(c) The Council shall have the power to issue
bonds to finance the improvement or extension of a
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municipally owned and operated utility, if said bonds
shall be payable solely out of revenue to be derived
from the operation of such utility "
and
WHEREAS, Section 6, Article IX of said Charter
provides in relevant part as follows
"The Council shall by ordinance from time to time
fix, establish, maintain, and provide for the collec-
tion of such rates, fees, or charges for water and
electricity, and for water, sewer, and electric ser-
vice furnished by the City as will produce revenues
sufficient to pay the cost of operation and maintenance
of said utilities in good repair and working order, to
pay the principal of and interest on all bonds of the
City payable from the revenues of said utilities , to
provide and maintain an adequate fund for replacement
of depreciated or obsolescent property, to provide a
fund for the extension, improvement, enlargement, and
betterment of said utilities , to pay the interest on
and principal of any general obligation bonds issued
by the City to extend or improve said utilities The
provisions hereof shall be subject at all times to the
performance by the City of all covenants and agreements
made by it in connection with the issuance, sale, or
delivery of any bonds of the City payable out of the
revenues derived from the operation of its water,
electric, and other utilities, whether such revenue
bonds be heretofore or hereafter issued
"Any surplus revenue produced from the operation
of any utilities after meeting all the requirements
set forth above shall be paid into the general fund
of the City in lieu of taxes "
and
WHEREAS, the sole outstanding bonds payable from,
and the payment of which is secured by a pledge of, revenues
derived from the operation of the sewer system, or any part
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thereof, are the bonds validly issued pursuant to proceed-
ings duly had and taken of the following issues (herein
sometimes collectively designated as the `outstanding
bonds")
1 The City of Fort Collins Sewerfand Water P
Revenue Bonds, dated March 1, 1948 (herein sometimes
designated as the "1948 revenue bonds") , issued pur-
suant to Ordinance No 5-1948, finally adopted and
approved on the 24th day of June, 1948 (herein some-
times designated as the "1948 bond ordinance") author-
ized and issued in the original principal amount of
$195 ,000 00, consisting of 195 bonds in the denomina-
tion of $1,000 00 each, numbered consecutively from
1 to 195 , both inclusive, bearing interest at the rate
of two and three-fourths per centum (2-3/47) per annum,
payable semiannually on the first days of March and
September of each year, according to interest coupons
attached to said bonds, and being numbered and matur-
ing serially on March 1, as follows
Bond Numbers Amounts Years
(All Inclusive) Maturing Mat riu—ng
1 - 5 $52000 00 1949
6 - 10 5 ,000 00 1950
11 - 15 5,000 00 1951
16 - 20 52000 00 1952
21 - 25 51000 00 1953
26 - 30 51000 00 1954
31 - 35 59000 00 1955
36 - 40 52000 00 1956
41 - 45 5 ,000 00 1957
46 - 51 6,000 00 1958
52 - 57 69000 00 1959
58 - 63 61000 00 1960
64 - 80 172000 00 1961
81 - 98 18,000 00 1962
99 - 117 192000 00 1963
118 - 136 19 000 00 1964
137 - 155 192000 00 1965
156 - 175 202000 00 1966
176 - 195 201000 00 1967
Both principal of and interest on said bonds are pay-
able in lawful money of the United States of America,
at the office of the City Treasurer in Fort Collins,
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Colorado Bonds maturing from 1954 to 1967, both inclu-
sive, are redeemable at the option of the City on
March 11, 1953, and on any interest payment date there-
after Any redemptions made prior to March 1, 1958,
shall be made at par and a premium of 2-1/27 of prin-
cipal On March 1, 1958, and thereafter, redemptions
before maturity shall be made at par without premium
Redemptions shall be made in inverse numerical order
Said bonds are payable solely and only out of the net
revenue to be derived by the City from and through the
operation of the sewer system, and, if necessary, out
of the net revenue to be derived from the operation of
its water system There are now outstanding and unpaid
bonds of said issue in the principal amount of $35,000 00,
consisting of bonds numbered 156 to 170, both inclusive,
maturing serially on the first day of March in the
year 1966, and bonds numbered 176 to 195 , both inclu-
sive, maturing serially on the first day of March in
the year 1967 , and
2 The "City of Fort Collins Sewer Improvement
Revenue Bonds, Series January 1, 1959" (herein some-
times designated as the "1959 revenue bonds") , issued
pursuant to Ordinance No 36, 1958, finally adopted
and approved on the 26th day of November , 1958 (herein
sometimes designated as the "1959 bond ordinance") ,
authorized and issued in the original principal amount
of $300,000 00, bearing date as of the first day of
January, 1959, consisting of 300 bonds in the denomina-
tion of $1,000 00 each, numbered from 1 to 300, both
inclusive, bearing interest until their respective
maturities at the rate of three and one-quarter per
centum (3-1/47) per annum payable semiannually on
the first days of January and July in each year com-
mencing on the first day of July, 1959 and being
numbered and maturing serially in regular numerical
order on the first day of January in each of the
designated years, as follows
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Bond Numbers Amounts Years
(All Inclusly-e) tl�a uring Maturing
1 - 6 $69000 00 1960
7 - 12 62000 00 1961
13 - 19 7 ,000 00 1962
20 - 26 7,000 00 1963
27 - 34 81000 00 1964
35 - 43 92000 00 1965
44 - 57 142000 00 1966
58 - 68 11,000 00 1967
69 - 99 31,000 00 1968
100 - 131 32,000 00 1969
132 - 164 33,000 00 1970
165 - 197 339000 00 1971
198 - 231 342000 00 1972
232 - 265 342000 00 1973
266 - 300 352000 00 1974
bonds numbered 132 to 300, both inclusive, maturing on
and after the first day of January, 1970, being subject
to prior redemption, at the option of the City of Fort
Collins, in inverse numerical order, on the first day
of January, 1969, or on any interest p.Ayment date
thereafter prior to maturity, upon payment of the prin-
cipal amount thereof, plus accrued interest to the
redemption date, and a premium consisting of three per
centum (37) of such principal amount, the 1959 revenue
bonds being payable both as to principal and interest
solely from the net revenues derived from the operation
of the municipal sewer system, in lawful money of the
United States of America, without deduction for exchange
or collection charges, at the office of the Director
of Finance and ex-officio City Treasurer, Fort Collins,
Colorado, of which issue there are now outstanding and
unpaid bonds in the principal amount of $257,000 00,
consisting of bonds numbered 44 to 300, both inclusive,
maturing serially on the first day of January in each
of the years 1966 to 1974, both inclusive,
and
WHEREAS, except for the 1948 revenue bonds and the
1959 revenue bonds, the City has never pledged nor in any way
hypothecated the revenues derived or to be derived from the
operation of the sewer system to the payment of outstanding
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bonds or for any other purpose, with the result that the
revenues to be derived from the operation of the system may
now be pledged lawfully and irrevocably for the redemption
of the bonds herein authorized (herein sometimes designated
as the "1965 revenue bonds," as the "refunding and improve-
ment bonds," or merely as the 'bonds") , and
WHEREAS, Article 52 of Chapter 139, Colorado
Revised Statutes 1963 (commonly designated as the "Water and
Sewer Revenue Bond Act of Colorado" and herein sometimes
designated merely as the "Bond Act") authorizes any Colorado
municipality, including the City, to issue sewer refunding
revenue bonds to refund, pay or discharge all or any part
of its outstanding sewer revenue bonds, theretofore or
thereafter issued thereunder or under any other law, includ-
ing any interest thereon, in arrears or about to become due,
or for the purpose of reducing interest costs or effecting
other economies or of modifying or eliminating restrictive
contractual limitations appertaining to the issuance of
additional bonds or to any municipal sewerage facilities as
provided in the Bond Act , and
WHEREAS, the Bond Act authorizes the acquisition,
construction, reconstruction, lease, improvement, better-
ment and extension of any sewerage facility by the City and
the issuance of revenue bonds to pay in whole or in part
the cost thereof, and
WHEREAS, Section 139-52-12(5) , Bond Act, provides
in substance that bonds for refunding and bonds for any
other purpose or purposes authorized in Article 52, Chapter
139, C R S , 1963, may be issued separately or issued in
combination in one series or more, and
WHEREAS, Section 139-52-12(4) , Bond Act,
provides that refunding revenue bonds may be made payable
from any revenues derived from the operation of any water
facilities or sewerage facilities or of both water facili-
ties and sewerage facilities comprising a ,joint water and
sewer system, notwithstanding the pledge of any such reve-
nues for the payment of the outstanding bonds issued by the
municipality which are to be refunded is thereby modified,
and
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WHEREAS, the Council has determined and does hereby
declare that it is necessary to pledge only the revenues to
be derived from the operation of the City' s sewer system as
security for the 1965 revenue bonds to be issued and not to
pledge any revenues of the City' s water system and
WHEREAS, such pledge of sewer revenues would have
to be junior in lien to the 1948 revenue bonds and the 1959
revenue bonds by reason of the restrictive contractual limi-
tations of the 1948 bond ordinance and the 1959 bond ordi-
nance, thereby increasing the cost to the City of issuing
bonds to effect improvements and extension to its sewer
system and
WHEREAS, the interest costs on the refunding por-
tion of the 1965 revenue bonds will not be greater than the
interest costs on the 1948 revenue bonds and the 1959 revenue
bonds and
WHEREAS, the Council has considered found, and
determined, and does hereby declare
(1) That the City proposes to pay after the first
day of June, 1965 , the interest on and the principal of
1948 revenue bonds numbered 156 to 170, both inclusive,
and 176 to 195 , both inclusive in the aggregate princi-
pal amount of $35 000 00, and the interest on and the
principal of 1959 revenue bonds numbered 44 to 330,
both inclusive, in the aggregate principal amount of
$257 ,000 00, at their respective maturities , with
$292 ,000 00 of the proceeds of the 1965 revenue bonds
(herein sometimes designated as "Subseries R") ,
together with the revenues derived prior to their
delivery from the operation of the sewer system, and
available for use as herein provided, to the extent
necessary including but not necessarily limited to
moneys accumulated in any bond sinking fund and any
reserve fund for the designated outstanding 1948 reve-
nue bonds and 1959 revenue bonds (excluding operation
and maintenance funds) and interest or other yield
from the investment and any reinvestment of the pro-
ceeds of Subseries R (except as limited by the Bond
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Act as from time to time amended) in bills, certifi-
cates of indebtedness, notes, bonds, or similar obli-
gations of, or the principal and interest of which are
unconditionally guaranteed by, the United States of
America ,
(2) That by issuing Subseries R of the 1965
revenue bonds for the purpose of refunding, paying
and discharging the outstanding bonds as herein pro-
vided, the City will
(a) Reduce substantially the interest costs
of the outstanding bonds, which obligations are
to be re-evidenced by Subseries R of the 1965
revenue bonds, and
(b) Effect economies in the issuance of
that portion of 1965 revenue bonds the proceeds
of which will be used to improve and extend the
sewer system (herein sometimes designated as
"Subseries I") , and
(c) Eliminate or otherwise modify restric-
tive contractual limitations appertaining to the
outstanding bonds and to the sewer system to the
best advantage of the City,
(3) That each 1948 revenue bond and 1959 revenue
bond shall mature within ten years from the date of the
issuance of the 1965 revenue bonds,
(4) That the maturity of no 1948 revenue or 1959
revenue bond to be refunded will be extended over fif-
teen (15) years,
(5) That the interest on no 1948 revenue bond or
1959 revenue bond to be refunded will be increased by
the issuance of the 1965 revenue bonds herein authorized,
(6) That bonds numbered R-1 to R-9, both inclu-
sive, of Subseries R of the 1965 revenue bonds will be
issued on terms at least as favorable to the City as
the outstanding 1948 revenue bonds and bonds numbered
R-9 to R-60, both inclusive, of Subseries R of the
1965 revenue bonds will be issued on terms at least
as favorable to the City as the outstanding 1959
revenue bonds ,
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(7) That the principal amount of Subseries R of
the 1965 revenue bonds representing the portion of the
proceeds applied to refunding shall not exceed the out-
standing principal amount of the 1948 revenue bonds
and 1959 revenue bonds to be refunded,
(8) That the proceeds of Subseries R of the 1965
revenue bonds shall be placed in escrow to be applied
to the payment of the 1948 revenue bonds and the 1959
revenue bonds to be refunded at the dates heretofore
provided upon their presentation therefor,
(9) That , except as limited by the Bond Act , as
from time to time amended, the escrowed proceeds, pend-
ing such use, shall be invested and possibly reinvested
in bills certificates of indebtedness, notes, bonds ,
or similar obligations of, or the principal and inter-
est of which are unconditionally guaranteed by, the
United States of America,
(10) That such escrowed proceeds and investments,
together with interest or other yield to be derived
from such investments, shall be in an amount at all
times sufficient to pay the outstanding 1948 revenue
bonds and 1959 revenue bonds to be refunded as they
become due as aforesaid, as to principal and interest
and any charges of the escrow agent payable therefrom
(11) That the limitations imposed in the Bond Act
and the Charter of the City of Fort Collins upon the
issuance of the 1965 revenue bonds have herein been met ,
and
(12) That it is one of the specific intents and
purposes of this ordinance
(a) To authorize the issuance of the 1965
revenue bonds in such manner as not to affect
adversely the rights or remedies of any owner or
holder of any outstanding 1948 revenue bond or
1959 revenue bond, nor to affect adversely the
security pledged to the payment thereof, and
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(b) To satisfy all liens of the outstanding
1948 revenue bonds and 1959 revenue bonds on any
revenues derived or to be derived from the opera-
tion of the system or any part thereof, and all
pledges of such revenues to secure the payment
thereof
and
WHEREAS, it is desirable to authorize 1965 revenue
bonds in the aggregate principal amount of $2,492,000 00,
the proceeds of Subseries R in the aggregate principal amount
of $292,000 00 to be applied to the refunding of the out-
standing bonds, the balance, being the proceeds of Subseries
I in the aggregate principal amount of $2,200,000 00, to
be used for effecting the improvement and extension of the
City' s sewer system, and to authorize the public sale of
Subseries R and Subseries I to the highest and best bidder
for each subseries, but in no event for less than par, and
in all cases to the best advantage of the City
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF
THE CITY OF FORT COLLINS
Section 1 Short Title That this ordinance may
be designated by the short title "6-1-65 sewer revenue bond
ordinance "
Section 2 Meanings and Construction
A Definitions That the terms in this section
defined for all purposes of this ordinance and of any
ordinance amendatory hereof or supplemental hereto, or
relating hereto, and of any instrument or document
appertaining hereto, except where the context by clear
implication otherwise requires, shall have the meanings
herein specified
(1) "Bond Act" means the act authorizing
the issuance of the bonds herein authorized,
which act is commonly designated as the "Water
and Sewer Revenue Bond Act of Colorado," is
sometimes cited as Article 52, Chapter 139,
Colorado Revised Statutes 1963, and is more
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specifically cited as Sections 139-52-1 to 139-52-17 ,
both inclusive, Colorado Revised Statutes 1963
(2) "Bond Fund" or "1965 Bond Fund" means
the "City of Fort Collins, Colorado, Sewer Refund-
ing and Improvement Revenue Bonds, Series June 1,
1965 , Interest and Bond Retirement Fund," created
in paragraph B of Section 19 hereof
(3) "Bonds," "1965 revenue bonds," or "refund-
ing and improvement bonds" means those issued
hereunder and consists of the Improvement Bonds,
as herein defined (also desigra ted as "Subseries I")
and the Refunding Bonds, as herein defined (also
designated as "Subseries R") The 1965 revenue
bonds (consisting of both designated subseries)
are designated as the "City of Fort Collins, Colo-
rado, Sewer Refunding and Improvement Revenue
Bonds, Series June 1, 1965 "
(4) "Charter" means the Charter of the
City of Fort Collins, Colorado, adopted October 5 ,
1954, as amended
(5) "City" means the City of Fort Collins,
in the County of Larimer and State of Colorado
(6) "City Clerk" means the de facto or
de jure City Clerk of the City
(7) "City Council" or "Council" means the
city council of the City, or any succeeding legis-
lative body of the City
(8) "City Engineer" means the de facto or
de jure head of the Department of Public Works and
ex-officio City Engineer
(9) "City Manager" means the de facto or
de jure city manager of the City
(10) "Council" means City Council
(11) "Construction Fund" or "1965 Construc-
tion Fund" means the City of Fort Collins, Colo-
rado, Sewer Refunding and Improvement Revenue
Bonds, Series June 1, 1965 , Construction and Other
Acquisition Fund," created in Section 16D hereof
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(12) "Consulting Engineer" means the City
Engineer, as herein defined, or any registered or
licensed professional engineer, or firm of such
engineers, having a wide and favorable repute for
skill and experience in the field of designing
preparing plans and specifications for, and
supervising construction of sewer systems and
facilities, entitled to practice and practicing
as such under the laws of the State of Colorado,
retained and compensated by the City, but (except
for the City Engineer) not in the regular employ
of the City
(13) "Coupons" means those issued hereunder
and evidencing the interest on the applicable bond
or bonds
(14) "Director of Finance" means the Director
of Finance who is executive officer of the Depart-
ment of Finance pursuant to Section 22 , Part III,
Article V of the Charter and who is in effect the
City Treasurer
(15) "Escrow Agent" means the commercial
bank and trust company designated as THE FIRST_
NATTnXAr gAXX located in the City of
Fort Collins, County of Larimer and State of
Colorado, as stated in paragraph B of Section 16
hereof
(16) "Event of default" means any of the
events stated in Section 35 hereof
(17) "Federal securities" means (except as
limited by Section 139-52-12(3) , Bond Act, as from
time to time amended) the bills, certificates of
indebtedness notes, bonds, or similar obligations
which are direct obligations of, or the principal
and interest of which obligations are uncondition-
ally guaranteed by, the United States of America,
as provided in paragraph B of Section 20 hereof
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(18) "Fiscal Agent" means Boettcher and
Company, Denver, Colorado, which firm has been
employed by the City as fiscal advisor in con-
nection with the "bonds," as herein defined, and
also means any successor, direct or intermediate,
of that firm
(19) "Fiscal Year" for the purposes of this
ordinance, means the twelve (12) months commencing
on the first day of January of any calendar year
and ending on the last day of December of the
same year, as provided in Section 17 hereof and
Section 1, Part I, Article V, of the Charter
(20) "Gross income" or "gross revenues"
means "revenues," as herein defined
(21) "Hereby," "here in," "hereinabove," "hereinafter,"
"hereinbefore," "hereof," and "hereunder," or any
similar term refer to this ordinance and not solely
to the particular portion thereof in which such
word is used, "heretofore" means before the adop-
tion of this ordinance, and "hereafter" means after
the adoption of this ordinance
(22) "Holder" or any similar term when used
in conjunction with any coupons or bonds, means
the person in possession and the apparent owner of
the designated item
(23) "Improvement Bonds" means that portion
of the 1965 revenue bonds which is designated as
Subseries I as herein defined
(24) "Improvement Project" means the improve-
ment and extension of the municipally owned and
operated sewer system by the construction and other
acquisition of additional sewage collection and
treatment facilities and everything necessary or
incidental thereto, in the manner herein provided,
from the proceeds of Subseries I of the 1965
revenue bonds
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(25) "Income" means "revenues , " as herein
defined
(26) "Independent Accountant" means any regis-
tered accountant, any certified public accountant,
or firm of such registered accountants or such cer-
tified public accountants , or of both, as determined
at the option of the City, duly licensed to practice
and practicing as such under the laws of the State
of Colorado, appointed and paid by the City
(1) Who is, in fact, independent and not
under the domination of the City,
(2) Who does not have any substantial
interest, direct or indirect, with the City,
and
_ (3) Who is not connected with the City as
an officer or employee of the City, but who may
be regularly retained to make annual or similar
audits of the books or records of the City
(27) "Insured Bank" means a bank which is a
member of the Federal Deposit Insurance Corporation
(28) "Mayor" means the de facto or de jure
Mayor of the City
(29) "Minimum Reserve" means the amount to be
deposited, accumulated and maintained in the 1965
Reserve Fund by paragraph C of Section 19 hereof,
which amount is the sum of $180,000 00
(30) "Net revenues" or "net income" means the
revenues after deducting "operation and maintenance
expenses "
(31) "Newspaper" means a newspaper printed in
the English language, published at least once each
calendar week, and of general circulation in the
City
(32) "1959 Bond Fund" means the "City of Fort
Collins Sewer Improvement Revenue Bonds , Series
January 1, 1959, Interest and Bond Retirement Fund"
created in Section 11E of the 1959 bond ordinance
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(33) "1959 bond ordinance" means Ordinance
No 36, 1958 by which the 1959 revenue bonds were
authorized to be issued
(34) "1959 Reserve Fund" means the "City of
Fort Collins Sewer Improvement Revenue Bonds
Series January 1, 1959 , Reserve fund," created in
Section 11F of the 1959 bond ordinance
(35) "1959 revenue bonds" means the "City
of Fort Collins Sewer Improvement Revenue Bonds,
Series January 1, 1959," in the original principal
amount of $300,000 00, dated January 1, 1959 , and
issued pursuant to the 1959 bond ordinance, of
which 1959 revenue bonds in the amount of
$257 ,000 00 are still outstanding
(36) "1948 Bond Fund" means the "Sewer and
Water Bond Fund" created in Section 6 of the 1948
bond ordinance
(37) "1948 bond ordinance" means Ordinance
No 5-1948 , by which the 1948 revenue bonds were
authorized to be issued
(38) "1948 Reserve Fund" means the "Reserve
Fund" created in Section 6(c) of the 1948 bond
ordinance
(39) "1948 revenue bonds" means the City of
Fort Collins Sewer and Water Revenue Bonds, in the
original principal amount of $195 000 00, dated
March 1, 1948, and issued pursuant to the 1948
bond ordinance, of which 1948 revenue bonds in the
amount of $35 ,000 00 are still outstanding
(40) "1965 Bond Fund" means the "Bond Fund,"
as herein defined
(41) "1965 Construction Fund" means the
Construction Fund, as herein defined
(42) "1965 revenue bonds" means "bonds," as
herein defined
(43) 1°1965 Reserve Fund" means the "Reserve
Fund," as herein defined
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(44) "Operation and maintenance expenses"
(or a phrase of similar import) means all reason-
able and necessary current expenses of the City,
paid or accrued, of operating, maintaining and
repairing the system, and the term may include
at the City' s option (except as limited by law) ,
without limiting the generality of the foregoing,
legal and overhead expense of the various city
departments directly related and reasonably allo-
cable to the administration of the system, insur-
ance premiums, the reasonable charges of any
depositary bank or paying agent, contractual ser-
vices, professional services required by this
ordinance, salaries and administrative expenses,
labor, and the cost of materials and supplies used
for current operation, but shall not include any
allowance for depreciation, liabilities incurred
by the City as the result of its negligence in
the operation of the system, or other ground of
legal liability not based on contract, and shall
not include the costs of improvements, extensions,
enlargements or betterments, or any charges for
the accumulation of reserves for capital replace-
ments
(45) "Outstanding" when used with reference
to bonds of the City and as of any particular
date, means all bonds of the City payable from
revenues of the system and theretofore and there-
upon being executed and delivered, except
(a) Any bond cancelled or paid by or
on behalf of the City at or before said
date, and
(b) Any bond for the payment or the
redemption of which money equal to the prin-
cipal amount thereof, any prior redemption
premium due in connection therewith, and
interest thereon to the date of maturity or
-18-
to any redemption date, shall have theretofore
been deposited with the Paying Agent or a
bank as provided in Section 39 hereof
(46) "Parity bonds" or "parity obligations"
means bonds or obligations payable from revenues
of the system on a parity with the 1965 revenue
bonds
(47) "Paving Agent" means the office of the
Director of Finance who serves as the ex-officio
City Treasurer, in the City of Fort Collins,
Colorado
(48) "Person" means not only a natural per-
son, corporation or other legal entity, but also
two or more natural persons, corporations or other
legal entities acting ,jointly as a firm, partner-
ship, unincorporated association, joint adventurers,
or otherwise
(49) "Proiect" means the Refunding Project
and Improvement Project together, as herein defined
(50) "Purchaser" means the investment banking
firm or other person submitting the best bid for
any subseries or other block herein authorized
and separately offered for sale, which bid is
hereafter accepted by the City, or if any sub-
series or other block be purchased by more than
one person, "Purchaser" means the manager of the
purchasing syndicate
(51) "Redemption date" means the date fixed
for the redemption prior to their respective
maturities of bonds in any notice of redemption
(52) "Refunding and Improvement Bonds" means
"bonds," as herein defined
(53) "Refunding bonds" means that portion of
the 1965 revenue bonds which is designated as
Subseries R. as herein defined
(54) "Refunding Fund" means the "City of
Fort Collins, Colorado, Sewer Refunding and
-19-
Improvement Revenue Bonds , Series June 1, 1965,
Refunding Fund," created in paragraph B of Section
16 hereof
(55) "Refunding Project" means the refunding,
payment and discharge, at the times and in the
manner herein provided, of the 1948 bonds and the
1959 bonds in the total amount of $292,000 00
(56) "Reserve Fund" or "1965 Reserve Fund"
means the "City of Fort Collins , Colorado, Sewer
Refunding and Improvement Revenue Bonds , Series
June 1, 1965, Reserve Fund," created in paragraph
C of Section 19 hereof
(57) "Revenues ," "gross revenues," "income,"
or "gross income" from the system means all income
and revenue derived by the City from the operation
of the sewer system, or any part thereof, whether
resulting from improvements , extensions , enlarge-
ments, repairs or betterments thereto, or other-
wise, and includes all revenues received by the
City, or any municipal corporation succeeding to
the rights of the City, from the system and from
the sale and use of sewer service and sewerage
facilities to the inhabitants of what is now the
City (including all territorial annexations which
may be made while the bonds herein authorized or
any part thereof are outstanding) , or from the sale
and use of sewer service and sewerage facilities
by means of the system owned and operated by the
City as the same may at any time exist to serve
customers outside the city limits as well as
customers within the city limits , provided, however,
that the City's existing sewer trunk line assess-
ments , sewer main line assessments, and sewer tap
fees and the plant investment fees which the City
will impose by Ordinance No 17, 19 5to be finally
passed and adopted on the 15t6 day of April,;
1965, may, at the option of the City, not be included
in "gross revenues" but may be credited to the
City's existing Sewer Capital Improvement Fund
-20-
(58) "Sewer Capital Improvement Fund" means
the City' s existing fund for capital improvements
heretofore created
(59) "Sewer Fund" or "Income Fund" means the
"City of Fort Collins, Colorado, Sewer System
Gross Income Fund" created in Section 18 hereof
(60) "Sewer System," "sewerage facilities,"
"sewage facilities," or "system" means the City' s
municipally owned sanitary sewer system, consist-
ing of all properties , real, personal, mixed, or
otherwise now owned or hereafter acquired by the
City, through purchase, construction, or otherwise,
and used in connection with the sanitary sewer
system of the City, and in any way appertaining
thereto, whether situated within or without the
city limits, or both within and without the city
limits
(61) "Subordinate bonds" or "subordinate
obligations" means bonds or obligations payable
from revenues of the system subordinate and junior
to the lien of the 1965 revenue bonds
(62) "Subseries I" of the 1965 revenue bonds
means that portion thereof to be issued for the
purpose of improving and extending the municipally
owned and operated sewer system by the construction
and other acquisition of additional sewage collec-
tion and treatment facilities and everything neces-
sary or incidental thereto, and said bonds are
sometimes designated as the "Improvement Bonds "
(63) "Subseries R" of the 1965 revenue bonds
means that portion thereof to be issued for the
purpose of refunding, paying and discharging those
outstanding 1948 revenue bonds and 1959 revenue
bonds maturing on and after June 1, 1965 , in the
principal amount of $292,000 00 , and said bonds
are sometimes designated as the "Refunding Bonds "
(64) "Superior bonds" or "superior obliga-
tions" means bonds or obligations payable from
-21-
revenues of the system superior to the lien of
the 1965 revenue bonds
(65) "System" means the "sewer system,"
as herein defined
B Construction That this ordinance, except where
the context by clear implication herein otherwise
requires, shall be construed as follows
(1) Definitions imply both singular and
plural
(2) Pronouns include both singular and
plural and cover all genders
(3) Any percentage of bonds is to be figured
on the unpaid principal amount thereof then out-
standing
Section 3 Ratification That all action hereto-
fore taken (not inconsistent with the provisions of this
ordinance) by the Council and the officers of the City
directed toward
(a) The Refunding Project and the Improvement
Project, and
(b) The issuance of the City' s 1965 revenue bonds
for those purposes,
be, and the same hereby is, ratified, approved and confirmed
Section 4 Authorization of Refunding Project
That the City' s outstanding 1948 revenue bonds and 1959
revenue bonds shall be, and the same hereby are ordered to
be, refunded, paid and discharged, at the times and in the
manner herein provided and the Refunding Project is hereby
so authorized
Section 5 Authorization of Improvement Project
That the system shall be so improved and extended by the
expenditure of not to exceed $2,200 000 00 excluding any
cost of the Improvement Project defrayed or to be defrayed
by any source other than revenue bond proceeds, and that
said improvements and extensions have heretofore been and
hereby are authorized and that the Improvement Project is
hereby so authorized
-22-
Section 6 Estina ted Cost of Protects That the
estimated cost of the Refunding Project is estimated not to
exceed $292 ,000 00 and that the estimated cost of the
Improvement Project is estimated not to exceed $2 ,200,000 00,
excluding in each instance, any such cost defrayed or to be
defrayed by any source other than bond proceeds
Section 7 Authorization of Bonds That for the
purpose of protecting the public health, conserving the
property and advancing the general welfare of the citizens
of the City, and for the purpose of defraying the cost of
the Project, it is hereby declared necessary that the City
make and issue, and there are hereby authorized to be
issued, pursuant to the provisions of the Bond Act, the
"City of Fort Collins , Colorado, Sewer Refunding and Improve-
ment Revenue Bonds, Series June 1, 1965 ," in the principal
amount of $2,492,000 00, payable both as to principal and
interest solely out of the net income derived from the
operation of the sewer system, and the City pledges irrevoc-
ably, but not necessarily exclusively, such net income to
the payment of the bonds and the interest thereon, the pro-
ceeds thereof to be used solely for the Project, as herein
provided
Section 8 Bond Details That the 1965 revenue
bonds shall be dated as of the first day of June, 1965 , be
payable to bearer, be payable from the revenues herein desig-
nated and pledged to the payment thereof, and bear interest at
a rate or rates to be hereafter established after the public
sale of the 1965 revenue bonds, interest being evidenced
until their respective maturities by only one set of interest
coupons payable to bearer and attached to the 1965 revenue
bonds, both the principal of and the interest on the 1965
revenue bonds being payable in lawful money of the United
States of America, without deduction for exchange or collec-
tion charges, at the Paying Agent In the event any 1965
revenue bond shall not be paid upon its presentation at
maturity, it shall continue to draw interest at the rate of
six per centum (6/) per annum until the principal thereof is
-23-
paid in full The 1965 revenue bonds also consist of two
subseries designated as Subseries I and as Subseries R, as
follows
A Subseries I The bonds comprising Subseries I
shall consist of 440 bonds in the denomination of
$5 ,000 00 each, issued for the Improvement Project in
the principal amount of $2,200,000 00, numbered con-
secutively in regular numerical order from I-1 to
I-440, both inclusive, bearing interest at a rate or
rates of not exceeding four and one-half per centum
(4-1/27) per annum from their date until their respec-
tive maturities, interest being payable on the first
day of December, 1965 , and semiannually thereafter on
the first days of June and December in each year, and
the Improvement Bonds shall be numbered and mature
serially in regular numerical order on the first day
of December in each of the designated amounts and years,
as follows
Bond Numbers Amounts Years
(All Inclusive) Maturing Maturing
I- 1 to I- 10 $502000 00 1967
I- ll to I- 21 55 ,000 00 1968
I- 22 to I- 33 60,000 00 1969
I- 34 to I- 46 65 ,000 00 1970
I- 47 to I- 59 65 ,000 00 1971
I- 60 to I- 73 70,000 00 1972
I- 74 to I- 88 752000 00 1973
I- 89 to 1-112 120,000 00 1974
1-113 to 1-137 125 ,000 00 1975
1-138 to 1-162 125000 00 1976
I-163 to 1-188 130:000 00 1977
1-189 to 1-216 1401%000 00 1978
I-217 to 1-245 145 ,000 00 1979
1-246 to 1-275 150,000 00 1980
1-276 to 1-306 155 ,000 00 1981
1-307 to 1-338 160,000 00 1982
1-339 to 1-371 165,000 00 1983
1-372 to 1-405 170 000 00 1984
1-406 to 1-440 1752000 00 1985
and
B Subseries R The bonds comprising Subseries R
shall consist of 60 bonds in the denomination of $5 ,000 00
each, except for bonds numbered R-1 and R-2 , which shall
be in the denomination of $1,000 00 each, issued for the
-24-
Refunding Project in the principal amount of $292,000 00,
numbered consecutively in regular numerical order from
R-1 to R-60, both inclusive, refunding bonds numbered
R-1 to R-15 , both inclusive, bearing interest at a
rate or rates not exceeding two and three-fourths per
centum (2-3/47) per annum, and refunding bonds numbered
R-16 to R-60, both inclusive, bearing interest at a
rate or rates of not exceeding three and one-fourth per
centum (3-1/47) per annum, interest being payable on
the first day of December, 1965 , and semiannually there-
after on the first days of June and December in each
year, and the Refunding Bonds shall be numbered and
mature serially in regular numerical order on the first
day of June in each of the designated amounts and years,
as follows
Bond Numbers Amounts Years
(All Inclusive) Maturing Pgtu g
R- 1 to R- 8 $322000 00 1966
R- 9 to R-15 352000 00 1967
R-16 to R-22 352000 00 1968
R-23 to R-29 35 ,000 00 1969
R-30 to R-36 35 ,000 00 1970
R-37 to R-44 40,000 00 1971
R-45 to R-52 402000 00 1972
R-53 to R-60 402000 00 1973
Section 9 Prior Redemption
A Subseries I That Improvement Bonds numbered
I-1 to I-112 , both inclusive, maturing on and before
the first day of December, 1974, shall be subject to
redemption prior to their respective maturities, at
the option of the City, in regular numerical order, on
the first day of June, 19672 or on any interest payment
date thereafter prior to maturity, upon payment of the
principal amount of each bond so redeemed, accrued
interest thereon to the redemption date and a premium
consisting of five per centum (57) of the principal
amount of each Improvement Bond so redeemed The
prior redemption option hereinabove provided in this
paragraph A of Section 9 shall not be exercised for
the purpose of refunding the bonds called for prior
-25-
redemption without the specific written consent to such
call by the holders of those bonds, except as herein-
after provided For all purposes, including refunding,
Improvement Bonds numbered I-113 to I-440, both inclu-
sive, maturing on and after the first day of December,
1975, shall be subject to redemption prior to their
respective maturities, at the option of the City, in
inverse numerical order, on the first day of December,
1974, or on any interest payment date thereafter prior
to maturity, upon payment of the principal amount of
each bond so redeemed, accrued interest thereon to the
redemption date, and a premium consisting of one per
centum (1/) of the principal amount of each bond so
redeemed
B Subseries R That for all purposes, Refunding
Bonds numbered R-1 to R-60, both inclusive, maturing on
or before the first day of June, 1973, shall be subject
to redemption prior to their respective maturities,
at the option of the City, in regular numerical order,
on the first day of December, 1965 or on any interest
payment date thereafter prior to maturity, upon payment
of the principal amount of each Refunding Bond so
redeemed accrued interest thereon to the redemption
date, and a premium consisting of five per centum
(5/) of the principal amount of each bond so redeemed
An option to call the bonds of either subseries may be
exercised independently of any option to call bonds of the
other subseries
Section 10 Notice of Prior Redemption That
notice of any prior redemption of any bonds of any subseries
shall be given by the Director of Finance in the name of
the City
(a) By publication of such notice at least once,
not less than thirty days prior to the redemption date,
in a newspaper, as herein defined and
(b) By sending a copy of such notice by regis-
tered, first-class , postage prepaid mail, at least
thirty days prior to the redemption date
-26-
(1) To the Purchaser of said subseries,
(2) To the Fiscal Agent, and
(3) To any successor of the Paying Agent,
as herein defined
Such notice shall specify the number or numbers of the bond
or bonds to be so redeemed (if less than all are to be
redeemed) and the date fixed for redemption, and shall fur-
ther state that on such redemption date there will become
due and payable upon each bond so to be redeemed, at the
Paying Agent (designated by name) , the principal amount
thereof, accrued interest to the redemption date, and the
stipulated premium, and that from and after such date inter-
est will cease to accrue Notice having been given in the
manner hereinabove provided, the bond or bonds so called for
redemption shall become due and payable on the redemption
date so designated, and upon presentation thereof at the
Paying Agent, together with the appurtenant coupons maturing
subsequent to the redemption date, the City will pay the
bond or bonds so called for redemption
Section 11 Negotiability That, subject to the
provisions expressly stated or necessarily implied herein,
the 1965 revenue bonds hereby authorized shall be fully
negotiable and shall have all the qualities of negotiable
coupon paper, and the holder or holders thereof shall possess
all rights enjoyed by the holders of negotiable instruments
under the provisions of the Negotiable Instruments Law
Section 12 Form and Execution of Bonds and
Coupons
A Method of Execution
(a) That pursuant to Sections 139-52-12(6) and
139-52-4(7) , Bond Act, the Mayor, Director of Finance,
and City Clerk shall each forthwith file with the
Secretary of State his manual signature certified by
him under oath
(b) That thereafter each of the bonds shall be
executed in the name of and on behalf of the City and
authenticated with the manual signature of the Mayor,
-2,7-
shall be countersigned with the facsimile signature of
the Director of Finance, and shall be attested with the
facsimile signature of the City Clerk, with the facsim-
ile of the seal of the City affixed thereto The inter-
est coupons appertaining thereto shall be executed and
authenticated by the facsimile signatures of said
officers Said bonds and coupons bearing the signatures
of the officers in office at the time of the signing
thereof shall be the valid and binding obligations
of the City, notwithstanding that before the delivery
thereof and payment therefor any or all of the persons
whose signatures appear thereon shall have ceased to
fill their respective offices The Mayor by the exe-
cution of the bonds and all of said officers by the exe-
cution of a signature certificate shall adopt as and
for their signatures the facsimiles thereof appearing
upon any of the bonds or coupons In the event that
at the time of executing the bonds or a signature cer-
tificate the manual or tacsimile signature of a
predecessor in office of any officer appears on the
bonds or coupons, said officer may, in like manner,
adopt as and for his own signature the manual or
facsimile signature of his predecessor
B Incontestable Recital in Bonds That pursuant
to Section 139-52-13, Bond Act, each of the 1965 reve-
nue bonds shall recite that it is issued under the
authority of the Bond Act, such recital shall conclus-
ively impart full compliance with all of the provi-
sions thereof, and each bond issued containing such
recital shall be incontestable for any cause whatsoever
after its delivery for value
Section 13 Special Obligations That all of
the bonds, together with the interest accruing thereon, and
any prior redemption premium, shall be payable and collec-
tible solely out of the net income to be derived from the
operation of the system, the income of which is so pledged,
the holder or holders thereof may not look to any general
or other fund for the payment of principal of and interest
-28-
on such obligations, except the designated special funds
pledged therefor, and such bonds shall not constitute an
indebtedness nor a debt within the meaning of any consti-
tutional, charter, or statutory provision or limitation,
nor shall they be considered or held to be general obliga-
tions of the City
Section 14 Form of Bonds and Coupons That
the bonds and the coupons appertaining thereto shall be
in substantially the following form
-29-
(Form of Bond)
UNITED STATES OF AMERICA
STATE OF COLORADO COUNTY OF LARIMER
CITY OF FORT COLLINS
SEWER REFUNDING AND IMPROVEMENT REVENUE BOND
SERIES JUNE 1, 1965
SUBSERIES *R
No
$5 ,000 00
**$12000 00
The City of Fort Collins (herein sometimes desig-
nated as the "City") , in the County of Larimer and State of
Colorado, for value received, hereby promises to pay to the
bearer hereof, solely from the special funds provided there-
for, as hereinafter set forth on the first dayof ***December,
****June,
19_, the principal sum of
FIVE THOUSAND DOLLARS
**ONE THOUSAND DOLLARS
and to pay from said special funds interest hereon from date
until maturity at the rate of
per centum ( 7)
per annum, evidenced until maturity by only one set of
interest coupons, payable on the first day of December, 1965 ,
and semiannually thereafter on the first days of June and
December in each year, upon presentation and surrender of
this bond and the annexed interest coupons as they severally
become due If upon presentation at maturity, payment of
this bond is not made as herein provided, interest shall
continue at the rate of six per centum (67) per annum until
the principal hereof is paid in full Both principal and
interest are payable in lawful money of the United States
of America, without deduction for exchange or collection
charges, at the office of the Director of Finance and
ex-officio City Treasurer, in Fort Collins, Colorado
-30.
This bond is one of a series of bonds which are
subject to redemption prior to maturity Bonds of Subseries
I maturing on and before the first day of December, 1974,
are subject to redemption prior to their respective maturi-
ties, at the option of the City, in regular numerical order,
on the first day of June, 1967 , or on any interest payment
date thereafter prior to maturity, upon payment of the
principal amount of each bond so redeemed, accrued interest
thereon to the redemption date, and a premium consisting of
five per centum (57) of the principal amount of each bond
so redeemed The prior redemption option hereinabove pro-
vided shall not be exercised for the purpose of refunding
the bonds called for prior redemption without the specific
written consent to such call by the holders of those bonds,
except as hereinafter provided For all purposes, including
refunding, bonds of Subseries I maturing on and after the
first day of December, 1975 , are subject to redemption prior
to their respective maturities in inverse numerical order
on the first day of December, 1974, or on any interest pay-
ment date thereafter prior to maturity, for the principal
amount of each bond so redeemed and accrued interest thereon
to the redemption date and a premium of one per centum (17)
of the principal amount of each bond so redeemed For all
purposes, bonds of Subseries R maturing on or before the
first day of June, 1973, are subject to redemption prior to
their respective maturities in regular numerical order on
the first day of December, 1965, or on any interest payment
date thereafter prior to maturity, for the principal amount
thereof, accrued interest to the redemption date and a
premium of five per centum (57) of the principal amount of
each bond so redeemed An option to call bonds of one sub-
series may be exercised independently of any option to call
bonds of the other subseries Redemption shall be made upon
not less than thirty days' prior notice by publication and
by mail in the manner and upon the conditions provided in
the ordinance authorizing the issuance of this bond
-31-
This bond does not constitute a debt nor an
indebtedness of the City within the meaning of any consti-
tutional, charter, or statutory provision or limitation,
shall not be considered or held to be a general obligation
of the City, and is payable and collectible solely out of
the net income derived from the operation of the City's
municipally owned sewer system (herein sometimes designated
as the "system") , the income of which is so pledged , and the
holder hereof may not look to any general or other fund for
the payment of the principal of and interest on this obli-
gation, except the special funds pledged therefor Payment
of the bonds of the series of which this is one and the
interest thereon shall be made solely from, and as security
for such payment there are pledged , pursuant to Ordinance
No , passed and adopted on the day of ,
1965, as supplemented , two special funds identified as the
"City of Fort Collins , Colorado, Sewer Refunding and Improve-
ment Revenue Bonds , Series June 1, 1965, Interest and Bond
Retirement Fund , " and as the "City of Fort Collins, Colorado,
Sewer Refunding and Improvement Revenue Bonds , Series June 1,
1965, Reserve Fund , " into which funds the City covenants
to pay respectively, from the revenues derived from the
operation of the sewer system, as therein defined, after
provision only for all necessary and reasonable expenses of
the operation and maintenance of the system, sums sufficient
to pay when due the principal of and the interest on the bonds
of the series of which this is one and to create and main-
tain a reasonable and specified reserve for such purpose
For a description of said funds and the nature and extent
of the security afforded thereby for the payment of the
principal of and the interest on said bonds , reference is
made to said ordinance The bonds of the series of which
this is one are equitably and ratably secured by a lien on
the net revenues of the system, as therein defined and said
bonds constitute an irrevocable and first lien (but not neces-
sarily an exclusively first lien) upon said net revenues Bonds
in addition to the series of which this is one, subject to
-32-
expressed conditions , may be issued and made payable from
said net revenues of the system and having a lien thereon
subordinate and junior to the lien, or subject to addi-
tional expressed conditions, having a lien thereon on a
parity with the lien, of the bonds of the series of which
this is one, in accordance with the provisions of said
ordinance
This bond and the other bonds of the series of
which it is a part are issued under the authority of
Article 52, Chapter 139, Colorado Revised Statutes 1963,
which act is commonly designated as the "Water and Sewer
Revenue Bond Act of Colorado" , pursuant to Section 139-52-13
thereof such recital conclusively imparts full compliance
with all provisions of said act, and this bond issued con-
taining such recital is incontestable for any cause what-
soever after its delivery for value
The City covenants and agrees with the holder of
this bond and with each and every person who may become the
holder hereof that it will keep and perform all of the
covenants of said ordinance, including, without limiting
the generality of the foregoing, its covenants against the
sale or mortgage of the system or any part thereof unless
provision shall be made for the payment of the principal of
and the interest on the bonds of the series of which this
is one, and including its covenants that it will fix, main-
tain and collect rates for services rendered by the system
sufficient to produce revenues or earnings sufficient to
pay the annual operation and maintenance expenses and an
amount equal to one hundred thirty per centum (1307) of the
combined maximum annual principal and interest requirements
of the bonds and any other obligations payable annually from
any revenues of the system (excluding the reserves therefor)
This bond is one of a series of bonds of like
tenor, amount and date, except as to number, purpose, inter-
est rate, prior redemption option and maturity The bonds
of said series consist of two subseries designated as Sub-
series I and Subseries R, respectively The bonds comprising
-33-
Subseries I are issued for the purpose of the improvement
and extension of the City' s municipally owned and operated
sewer system by the construction and other acquisition of
additional sewage collection and treatment facilities and
everything necessary or incidental thereto The bonds
comprising Subseries R are issued for the purpose of refund-
ing, paying and discharging the City' s valid and outstand-
ing revenue bonds in the principal amount of $292,000 00,
payable out of and secured by a pledge of revenues to be
derived from the operation of the City' s sewer system The
bonds of said series are issued in conformity with the
Constitution and laws of the State of Colorado, the Charter
of the City, and certain ordinances and resolutions of said
City duly passed and adopted prior to the issue hereof
This bond is subject to the condition, and every
holder hereof by accepting the same agrees with the obligor
and every subsequent holder hereof, that (a) the delivery of
this bond to any transferee shall vest title in this bond
and in the interest coupons attached hereto in such trans-
feree to the same extent for all purposes as would the
delivery under like circumstances of any negotiable instru-
ment payable to bearer, (b) the obligor and any agent of
the obligor may treat the bearer of this bond as the absolute
owner hereof for all purposes, and shall not be affected by
any notice to the contrary, (c) the principal of and the
interest on this bond shall be paid, and this bond and each
of the coupons appertaining thereto are transferable, free
from and without regard to any equities between the obligor
and the original or any intermediate holder hereof, or any
set-offs or cross-claims , and (d) the surrender to the
obligor or any agent of the obligor of this bond and of each
of the coupons shall be a good discharge to the obligor for
the same
It is further certified, recited and warranted
that all the requirements of law have been fully complied
with by the proper officers of the City in the issue of
this bond
-34-
r
IN WITNESS WHEREOF, the City of Fort Collins has
caused this bond to be executed and authenticated in its
name with the manual signature of the Mayor of the City of
Fort Collins and countersigned by the facsimile signature
of the City' s Director of Finance and ex-officio City Treas-
urer, and attested with the facsimile signature of the City
Clerk, has caused the facsimile of the seal of the City to
be affixed hereon, and has caused the interest coupons
appertaining hereto to be executed with the facsimile signa-
tures of said officers, all as of the first day of June,
1965
CITY OF FORT COLLINS
By (For Manual Signature)
Mayor
(FACSIMILE SEAL)
Attest
(For Facsimile Signature)
City Clerk
Countersigned
(For Facsimile Signature)
Director ot Finance
*(Indicate in each bond the appropriate letter
"I" or "R" indicating the subseries of which the bond
is a part, and use the same letter "I" or "R" as a
prefix before the bond number, e g , "I-1" or 11R-1 ")
** (Insert in bonds numbered R-1 and R-2, maturing
on June 1, 1966 )
*** (Insert in all bonds of Subseries I )
** (Insert in all bonds of Subseries R )
(End of Form of Bond)
-5�=
(Form of Coupon)
Coupon
No $
On the first day of June 19 unless the
December,
bond to which this coupon is attached is called for prior
redemption, the City of Fort Collins, in the County of
Larimer and State of Colorado, will pay to bearer in law-
ful money of the United States of America at the office of
the Director of Finance and ex-officio City Treasurer, in
Fort Collins, Colorado, the amount herein stated solely
from and secured by a pledge of special funds created from
the net revenues derived from the operation of the sewer
system of the City, and providing for the payment of six
months' interest on its City of Fort Collins, Colorado,
Sewer Refunding and Improvement Revenue Bond, Series June 1,
1965, and bearing
Bond
*No I-
sir R-
(For Facsimile Signature)
Mayor
(For Facsimile Signature)
City Clerk
(For Facsimile Signature)
Director of Finance
* (Insert appropriate prefix )
(End of Form of Coupon)
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Section 15 Bond Preparation, Execution and Deliv-
ery That the Mayor, City Clerk and Director of Finance are
hereby authorized and directed to prepare and execute the bonds
as herein provided When the bonds of each subseries or other
block separately offered for sale have been duly executed and
sold, the Director of Finance shall deliver them to the Pur-
chaser of said subseries or other block on receipt of the
agreed purchase price
Section 16 Disposition of Bond Proceeds
A Accrued Interest and Premium That all moneys
received as accrued interest at the time of delivery of the
bonds or any portion thereof from the sale thereof and any
premium therefor shall be deposited into the Bond Fund, to
apply on the payment of interest next due on the 1965 revenue
bonds payable therefrom
B Refunding Fund That the proceeds received from
the sale of the bonds comprising Subseries R, in the amount of
$2921000 00, together with the revenues derived prior to their
delivery from the operation of the System, and available for
use as herein provided, including but not necessarily limited
to moneys accumulated in the 1948 Bond Fund, the 1948 Reserve
Fund, the 1959 Bond Fand and the 1959 Reserve Fund (except for
moneys sufficient to pay all necessary expenses of maintaining
and operating said sewer system heretofore incurred) shall be
deposited in a separate escrow account hereby created and to
be known as the "City or Fort Collins , Colorado, Sewer Refund-
ing and Improvement Revenue Bonds , Series June 1, 1965 , Refun&
ing Fund" (herein sometimes designated as the "Refunding Fund") ,
with __Ej_11s-r N A T/oAa A L. "jk , in Fort Collins ,
Colorado (herein sometimes designated as the "Escrow Agent") ,
in an amount at all times at least sufficient, together with
any interest or other yield to be derived from the investment
and any temporary reinvestment of the deposits or any part
thereof in Federal becurities as herein defined, to pay the
reasonable charges of the Escrow Agent in connection herewith
and to pay the principal of and the interest on the outstand-
ing 1948 revenue bonds and 1959 revenue bonds hereinabove de-
signated to be refunded, paid and discharged, both accrued and
not accrued as the same become due, to the respective matur-
ities of the designated 1948 revenue bonds and 1959 revenue
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bonds Moneys shall be withdrawn by the Escrow Agent from the
Refunding Fund in sufficient amounts and times to permit the
payment without default of such principal and interest The
Escrow Agent may also withdraw from the Refunding Fund the
amounts of its reasonable service charges in connection there-
with as the same accrue and become due not, however, in a total
amount exceeding the amount deposited in the Refunding Fund
therefor The reasonable charges, if any of any paying agent
for any of the outstanding bonds being refunded shall be prompt-
ly paid by the City as a cost of operating and maintaining the
system Any moneys remaining in the Refunding Fund after the
redemption in full of the outstanding 1948 revenue bonds and
1959 revenue bonds or after adequate provision has been made
therefor, shall be applied to any lawful purpose or purposes,
as the Council may direct
C Insufficiency of Refunding Fund That if for any
reason the amount in the Refunding Fund shall at any time be
insufficient to effect the purposes of the next preceding para-
graph B, the City shall forthwith, from the first available net
revenues derived from the operation of the system, deposit in
the Refunding rund at least such additional moneys as shall be
necessary to pay the designated amounts of principal, interest
and service charges of the Escrow Agent in connection with the
Refunding Fund
D Construction Fund That the proceeds received
from the sale of the bonds comprising Subseries I, in the amount
of $2 ,200,000 00, shall be deposited promptly upon the receipt
thereof in a separate account hereby created and to be known as
the "City of Fort Collins Colorado, Sewer Refunding and Improve-
ment Revenue Bonds, Series June 1, 1965 , Construction and Other
Acquisition Furd" (herein sometimes designated the "Construction
Fund" or as the "1965 Construction Fund") The moneys in the
Construction Fund, eAcept as herein otherwise specifically pro-
vided shall be used and paid out solely for the Improvement
Project Moneys shall be withdrawn from the Construction Fund
for the Improvement Project only upon vouchers or checks drawn
and signed by the Director of Finance and the Assistant Director
of Finance The account hereby created in this paragraph D of
Section 16 hereof may be maintained as an account in the City' s
existing Sewer Capital Improvement Fund, but shall be separately
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J
accounted for The City may, at its option, use proceeds real-
ized from the sale of the bonds comprising Subseries I, but only
to the extent necessary, for the purpose of paying interest
accruing on the 1965 revenue bonds on December 1, 1965 , provided,
however, that any amounts so utilized shall be replaced from the
first revenues of the system thereafter received not herein
required to be otherwise applied
E Completion of Pro]ect That when the Improvement
Project shall have been completed in accordance with such plans
and specifications, and when all amounts due therefor, including
all proper incidental expenses, shall have been paid, the Con-
sulting Engineer shall file with the Director of Finance a cer-
tificate so stating, and thereupon the City Manager shall trans-
fer to the 1965 Reserve Fund all money remaining in such Con-
struction Fund, if any
F Purchaser Not Responsible That any purchaser of
the bonds herein authorized, however, shall in no manner be
responsible for the application or disposal by the City or by
its officers of the funds derived from the sale thereof or of
any other funds herein designated
Section 17 Fiscal Year That for the purpose of
this ordinance, the system shall be operated upon a fiscal year
basis commencing on the first day of January in each calendar
year and ending on the last day of December in the same year
Section 18 Sewer Fund That for the purposes of
this ordinance, a separate account shall be set aside, main-
tained and known as the "City of Fort Collins, Colorado, Sewer
System Gross Income Fund" (herein sometimes designated as the
"Sewer Fund" or as the "Income Fund") So long as any of the
bonds hereby authorized shall be outstanding , either as to prin-
cipal or interest, all income and revenues derived from the
operation of the system except as hereinbefore provided, shall
be deposited into the Sewer Fund
Section 19 Administration of Sewer Fund That so
long as any of the bonds hereby authorized shall be outstanding,
either as to principal or interest, or both, the following pay-
ments shall be made from the Sewer Fund
A 0 & M Expenses Firstly, as a first charge
thereon, there shall be set aside from time to time moneys
sufficient to pay operation and maintenance expenses of the
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system as they become due and payable, and thereupon they
shall be promptly paid Any surplus remaining at the end
of the Fiscal Year and not needed for operation and main-
tenance expenses shall be transferred to the Sewer Fund and
be used for the purposes thereof , as herein provided
B 1965 Bond Fund Payments Secondly, from any
moneys remaining in the Sewer Fund, i e , from the net in-
come of the sewer system, there shall be deposited into a
separate account hereby created and to be known as the "City
of Fort Collins, Colorado, Sewer Refunding and Improvement
Revenue Bonds, Series June 1 1965 , Interest and Bond Re-
tirement Fund" (herein sometimes referred to as the "1965
Bond Fund" or as the "Bond Fund") , the following
(1) Monthly, commencing on the 1st_ day of
une_, 1965 an amount in equal monthly install-
ments necessary, together with any moneys therein and
available therefor, to pay the next maturing install-
ment of interest on the 1965 revenue bonds then out-
standing and monthly thereafter commencing on said
interest payment date one-sixth of the amount neces-
sary to pay the next maturing installment of interest
on the outstanding 1965 revenue bonds
(2) Monthly, commencing on the 1st day of
June —, 1965 , an amount in equal monthly install-
ments necessary, together with any moneys therein and
available therefor to pay the next maturing install-
ment of principal of the outstanding 1965 revenue
bonds , and monthly thereafter commencing on said prin-
cipal payment date one-twelfth of the amount necessary
to pay the next maturing installment of principal on
the 1965 revenue bonds
C 1965 Reserve Fund Payments Thirdly, but concur-
rently with the payments required by the next preceding para-
graph B of this Section 19 hereof, except as provided in
paragraphs D and E of this Section 19 from any moneys re-
maining in the Sewer Fund, there shall be set aside and paid
monthly, commencing on the first day of the month following
the first or only date on which any of the 1965 revenue bonds
are delivered, at least $1,675 00 per month into a separate
account hereby created and to be known as the "City of Fort
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Collins, Colorado, Sewer Refunding and Improvement Bonds ,
Series June 1, 1965 , Reserve Fund" (herein sometimes re-
ferred to as the "1965 Reserve Fund" or as the "Reserve
Fund") , until a reserve has been accumulated in an amount
equal to not less than $180,000 00 (herein sometimes desig-
nated as the "Minimum Reserve") After the Minimum Reserve
has been accumulated such amounts or amount, if any, shall
be deposited monthly from any moneys remaining in the Sewer
Fund, into the Reserve Fund necessary to maintain the Re-
serve Fund as a continuing reserve in an amount not less
than the Minimum Reserve to meet possible deficiencies in
the Bond Fund No payment need be made into the Reserve
Fund so long as the moneys therein shall equal not less than
the Minimum Reserve The moneys in the Reserve Fund shall
be accumulated and maintained as a continuing reserve to be
used, except as hereinafter provided in said paragraphs D
and E of this Section 19, only to prevent deficiencies in
the payment of the principal of and the interest on the
bonds hereby authorized resulting from the failure to depos-
it into the Bond Fund sufficient funds to pay said princi-
pal and interest as the same accrue
D Termination upon Deposits to Maturity No payment
need be made into the Bond Fund, the Reserve Fund, or both,
if the amount in the Bond Fund and the amount in the Reserve
Fund total a sum at least equal to the entire amount of the
1965 revenue bonds outstanding, both as to principal and
interest to their respective maturities, and both accrued
and not accrued, in which case moneys in said two funds in
an amount at least equal to such principal and interest
requirements shall be used solely to pay such as the same
accrue, and any moneys in excess thereof in said two funds
and any other moneys derived from the operation of the sys-
tem may be used in any lawful manner determined by the City
Council
E Defraying Delinquencies in Bond Fund and
Reserve Fund If, in any month, the City shall, for any
reason, fail to pay into the Bond Fund the full amount
above stipulated from the net income of the sewer system
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t
then an amount shall be paid into the Bond Fund in such
month from the Reserve Fund equal to the difference
between that paid from said net income and the full
amount so stipulated The money so used shall be
replaced in the Reserve Fund from the first revenues
thereafter received from the operation of the system
not required to be otherwise applied by paragraphs A,
B, C and F of this Section 19, but excluding any pay-
ments required for any subordinate obligations In
the case other bonds or other obligations are outstand-
ing any lien to secure the payment of which on the net
revenues of the system is on a parity with the lien
thereon of the 1965 revenue bonds , and the proceedings
authorizing the issuance of those obligations require
the replacement of moneys in a reserve fund therefor,
then the money replaced in the 1965 Reserve Fund and
each such other reserve fund shall be replaced on a
pro rata basis as moneys become available therefor
If, in any month, the City shall, for any reason, fail
to pay into the Reserve Fund the full amount above
stipulated from the net income of said sewer system,
the difference between the amount paid and the amount
so stipulated shall in a like manner be paid therein
from the first revenues thereafter received from the
operation of the system not required to be otherwise
applied by paragraphs A. B, C and F of this Section
19, but excluding any payments required for any subor-
dinate obligations The moneys in the Bond Fund and
the Reserve Fund shall be used solely and only for
the purpose of paying the principal of and the interest
on the bonds issued hereunder provided, however, that
any moneys at any time in excess of the Minimum Reserve
in the Reserve Fund may be withdrawn therefrom and used
as herein provided for the redemption of bonds hereby
authorized as they become due or on any redemption
date, and provided that any moneys in the Bond Fund and
the Reserve Fund in excess of accrued and unaccrued
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principal and interest requirements to the respective
maturities of the bonds outstanding may be used as
hereinabove provided in paragraph D of this Section 19
F Payment for Additional Obligations Fourthly,
but either subsequently to or concurrently with the
payments required by paragraphs B and C of this Section
19 hereof and as provided in Sections 23 to 31, both
inclusive, hereof, any balance remaining in the Sewer
Fund, after making the payments hereinabove provided,
shall be used by the City for the payment of interest
on and the principal of additional bonds or other obli-
gations hereafter authorized to be issued and payable
from the revenues of the sewer system, including reas-
onable reserves therefor, as the same accrue, provided
that the lien of such additional bonds or other obliga-
tions on the net income and revenues of the system and
the pledge thereof for the payment of such additional
obligations shall be on a parity with, or subordinate
to, the lien and pledge of the bonds herein authorized,
as hereinafter provided
G Use of Sewer Revenues After making the
payments hereinabove required to be made by paragraphs
A to F, both inclusive, of this Section 19 hereof, any
remaining income and revenues derived from the opera-
tion of the sewer system in the Sewer Fund, shall be
used for any one or any combination of purposes, as
follows
(1) For the payment of the interest on and
principal of general obligation bonds , debt and
other obligations, if any, incurred in the acquire-
ment, construction and improvement of the sewer
system
(2) For the purchase in the open market of
the 1965 revenue bonds or any other outstanding
bonds or other obligations incurred for any such
purpose or purposes and payable from any revenues
of the sewer system, at the best price obtainable,
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not, however, in excess of the call price therefor
then applicable, or if none be then applicable,
not in excess of a reasonable price therefor,
(3) For the prior redemption of the 1965
revenue bonds or any other outstanding bonds or
other obligations incurred for any such purpose or
purposes and payable from the revenues of the sewer
system, in accordance with the provisions of the
bonds or other obligations and the ordinance
authorizing their issuance, including but not
necessarily limited to this ordinance, but not
in excess of a price at which such bonds or other
obligations can be purchased in the open market,
(4) For the improvement and extension of
the sewer system,
(5) For any other lawful purpose or purposes
authorized by the Constitution and laws of the
State of Colorado and the resolutions, ordinances
and Charter of the City, as the same may be
amended from time to time,
as the City Council at its option may from time to time
determine and direct
Section 20 General Administration of Funds
That the funds and accounts designated in Sections 16, 18
and 19 hereof shall be administered as follows
A Places and Times of Deposits Each of the
funds and accounts hereinabove designated in Sections
16, 18 and 19 hereof shall be maintained and accounted
for separately from all other funds and accounts and
shall be deposited in an Insured Bank or Insured Banks
as determined and designated by the City Council (except
as otherwise expressly stated herein) but each fund
and account need not necessarily constitute a separate
bank account Each bank account shall be continuously
secured to the fullest extent required or permitted by
the laws of Colorado for the securing of public funds,
and shall be irrevocable and not withdrawable by anyone
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for any purpose other than the respective designated
purposes Each monthly payment shall be made into
the proper account on the first day of each month,
except that when the first day of any month shall be
a Sunday or a legal holiday, then such payment shall
be made on the next preceding secular day Notwith-
standing any other provision herein to the contrary,
moneys shall be credited with the Paying Agent at
least five days prior to each interest payment date
herein designated sufficient to pay the interest and
any principal then becoming due on the bonds
B Investment of Moneys Any moneys in any
account designated in Sections 16, 18 and 19 hereof,
not needed for immediate use, may be invested or
reinvested by the Director of Finance in Federal
Securities which shall be subject to redemption at
face value by the holder thereof at the option of
such holder, or which shall mature not later than
ten years from the date of such investment, provided,
however, that the maturity of any security which is
not subject to prior redemption at the holder' s option
shall not exceed the estimated date of the probable
expenditure or use of the moneys evidenced by such
security, except that Federal Securities in the
Refunding Fund shall so be subject to redemption at
the holder' s option at face value or shall mature at
least five days prior to the respective interest and
principal payment dates of the outstanding bonds being
refunded so that moneys from the redemption of the
Federal Securities shall be available in sufficient
amounts and at such times to permit the redemption of
the designated outstanding bonds at their designated
maturities as herein provided The Federal Securities
so purchased as an investment of moneys in any such
account shall be deemed at all times to be a part of
said account, and the interest accruing thereon and
any profit realized therefrom shall be credited to
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the account to which the investment appertains , and any
loss resulting from such investment shall be charged to
such account Moneys in any account designated in Sec-
tions 16, 18 and 19 hereof not immediately needed as
hereinabove provided in this paragraph B of this Sec-
tion 20, may also be invested or reinvested in a savings
account in a state or federal savings and loan asso-
ciation in Colorado which is a member of the Federal
Savings and Loan Insurance Corporation, so long as the
payment of such account is fully secured under the
appropriate federal law The Director of Finance shall
present for redemption or sale on the prevailing market
any Federal Securities so purchased as an investment of
moneys in the fund or account whenever it shall be
necessary to do so in order to provide moneys to meet
any payment or transfer from such account
C Character of Funds The moneys in any account
herein authorized shall consist either of lawful money
of the United States of America, or Federal Securities ,
or both such money and such securities Moneys depos-
ited in a demand or time deposit account in, or evi-
denced by a certificate of deposit of , an Insured Bank,
or deposited in a savings account pursuant to the next
preceding paragraph B hereof, shall be deemed lawful
money of the United States of America
Section 21 First Lien Bonds That the 1965 reve-
nue bonds, subject to the payment of all necessary and reas-
onable operation and maintenance expenses of the system,
constitute an irrevocable and first (but not necessarily an
exclusively first) lien upon the revenues derived from the
operation of such system
Section 22 Equality of Bonds That the 1965
revenue bonds authorized to be issued hereunder and from
time to time outstanding shall not be entitled to any
priority one over the other in the application of the reve-
nues of the sewer system, regardless of the time or times of
the issuance of the bonds, it being the intention of the
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Council that there shall be no priority among the bonds
regardless of the fact that they may be actually issued and
delivered at different times
Section 23 Limitations upon Issuance of Parity
Bonds Nothing in this ordinance contained shall be con-
strued in such a manner as to prevent the issuance by the
City of additional bonds or other obligations payable from
the income or any revenues derived from the operation of
the system, as authorized by law, and constituting a lien
upon said revenues on a parity with, but not prior nor
superior to, the lien of the 1965 revenue bonds herein
authorized nor to prevent the issuance of bonds or other
obligations refunding all or a part of the 1965 revenue
bonds herein authorized, provided, however, that before
any such additional parity bonds or other parity obligations
are authorized or actually issued, excluding any parity
refunding bonds or parity refunding obligations (other than
those refunding subordinate bonds, as permitted in Section 30
hereof)
A Absence of Default_ The City shall not have
defaulted in making any payments required by Section 19
hereof during the twelve months immediately preceding
the issuance of such additional bonds or other addi-
tional obligations, or if none of the 1965 revenue
bonds have been issued and outstanding for a period
of at least twelve months , for the longest period any
of the 1965 revenue bonds have been issued and out-
standing , and
B Historic Earnings Test The annual revenues
derived from the operation of the sewer system for the
Fiscal Year immediately preceding the date of the
issuance of such additional parity bonds or obligations
shall have been sufficient to pay the annual operation
and maintenance expenses of the sewer system for said
Fiscal Year, and, in addition sufficient to pay an
amount representing one hundred thirty per centum (1307)
of the combined maximum annual principal and interest
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requirements of the outstanding revenue bonds and other
obligations of the City payable from and constituting a
lien upon revenues of the sewer system (excluding any
reserves therefor) , and
C Projected Earnings Test The estimated annual
revenues to be derived from the operation of the sewer
system for the twelve months immediately succeeding the
completion of the facilities to be acquired with the
proceeds of the additional bonds or obligations reduced
by an amount equal to 257 of estimated revenues to be
derived from the proposed facilities to be acquired
with the proceeds of the additional bonds or obliga-
tions shall be an amount equal to the sum of the follow-
ing (1) the estimated operation and maintenance
expenses of the sewer system for said twelve months ,
(2) an amount representing one hundred thirty per centum
(130/) of the combined maximum annual principal and
interest requirements of the outstanding revenue bonds
and other obligations of the City payable from and con-
stituting a lien upon revenues of the sewer system, and
the bonds or other obligations proposed to be issued
(excluding any reserves therefor)
Section 24 Certification of Revenues That a
written certification by a Consulting Engineer (except the
City Engineer) that the said estimated revenues and that
said annual revenues, when ad3usted as herein provided, are
sufficient to pay said amounts, shall be conclusively pre-
sumed to be accurate in determining the right of the City to
authorize, issue, sell and deliver said additional bonds or
other additional obligations on a parity with the bonds
herein authorized, provided, however, that the written cer-
tification shall be submitted to the Fiscal Agent for review
at least 30 days prior to the authorization of any addi-
tional bonds as permitted by this Section
Section 25 Estimation of Annual Revenues That
the Consulting Engineer in rendering his certification shall
give consideration to any probable increase (but not reduction)
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in operation and maintenance expenses of the sewer system,
that will result from the expenditure of the funds proposed
to be derived from the issuance and sale of the said bonds
or other obligations
Section 26 Subordinate Bonds Permitted That
nothing herein contained, subject to limitations herein
stated, shall be construed so as to prevent the City from
issuing additional bonds payable from the revenues of the
system and having a lien thereon subordinate inferior, and
junior to the lien of the bonds authorized to be issued by
this ordinance
Section 27 Superior Bonds Prohibited That
nothing herein contained shall be construed so as to permit
the City to issue additional bonds or other obligations
payable from the net revenues and having a lien thereon
prior and superior to she bonds herein authorized to be
issued
Section 28 Use of Proceeds That the proceeds
of any additional bonds (other than refunding bonds) payable
from net revenues shall be used only for the purpose of
improving and extending the sewer system
Section 29 Privilege of Issuing Refunding Bonds
That if at any time after the 1965 revenue bonds herein
authorized, or any part thereof shall have been issued and
remain outstanding, them Council shall find it desirable to
refund any outstanding bonds or other obligations payable
from and constituting a lien upon any revenues of the sewer
system, said bonds or other obligations , or any part thereof,
may be refunded (but only with the consent of the holder or
holders thereof, unless the bonds at the time or times of
their required surrender for payment shall then mature or
shall then be callable for prior redemption at the City' s
option upon proper call) , regardless of whether the priority
of the lien for the payment of the refunding bonds on the
revenues of the sewer s} stem is changed (except as provided
in Sections 27 and 30 hereof)
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Section 30 Limitations upon Issuance of Parity
Refunding Bonds That no refunding bonds or other refunding
obligations payable from net revenues shall be issued on a
parity with the bonds herein authorized, unless
A The lien of the outstanding bonds so refunded
on net revenues of the system is on a parity with the
lien thereon of the bonds herein authorized, or
B The refunding bonds are issued in compliance
with subsections A and B of Section 23 hereof
Section 31 Limitations upon Issuance of Any
Refunding Bonds That any refunding bonds or other refund-
ing obligations payable from any revenues of the system
shall be issued with such details as the Council may by
ordinance provide, but without any impairment of any con-
tractual obligations imposed by the City by any proceedings
authorizing the issuance of any unrefunded portion of such
outstanding bonds or obligations of any one or more issues
(including but not necessarily 11-nited to the 1965 revenue
bonds herein authorized) If only a part of the outstanding
bonds of any issue or issues payable from the net revenues
of the system is refunded, then such bonds may not be
refunded without the consent of the holder or holders of
the unrefunded portion of such bonds unless
A The net annual interest cost each year to the
City on such refunding bonds shall be less than the
net annual interest cost for the same years on the
outstanding bonds refunded thereby, or
B The lien on revenues of the sewer system for
the payment of the refunding obligations is subordinate
to each such lien for the payment of any obligations
not refunded
The refunding bonds or other refunding obligations so issued
shall enjoy complete equality of lien with the portion of
any bonds or other obligations of the same issue which is
not refunded if any there be and the holder or holders
of such refunding bonds or such other refunding obligations
shall be subrogated to all of the rights and privileges
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enjoyed by the holder or holders of the bonds or other
obligations of the same issue refunded thereby
Section 32 Protective Covenants That the
City hereby covenants and agrees with each and every holder
from time to time of the bonds issued hereunder
A Use of Bond Proceeds
(1) That the City, with the proceeds derived
from the sale of the refunding bonds in the amount of
$292,000 00 , will proceed without delay to effect the
Refunding Project, investing the moneys available for
the refunding, payment and discharge of the two hundred
and ninety-two outstanding bonds to be refunded to the
best advantage of the City pending the need from time
to time of such moneys for such refunding, payment and
discharge
(2) That the City, with the proceeds derived
from the sale of the improvement bonds in the amount
of $2,200 000 00, will, after the sale, issuance and
delivery of such bonds proceed without delay to effect
the Improvement Project as hereinabove provided
B Payment of 1965 Bonds That the City will
promptly pay the principal of and the interest on every 1965
revenue bond issued hereunder and secured hereby at the
place, on the dates and in the manner specified herein and
in said bonds and in the coupons thereto appertaining accord-
ing to the true intent and meaning hereof Such principal
and interest are payable solely from the net income to be
derived from the operation of, and the resultant rates and
charges for the use of, and the products and services ren-
dered by, the sewer system, and nothing in the bonds or
coupons or in this ordinance shall be construed as obli-
gating the City to redeem any of said bonds principal or
interest, from, and the holder or holders thereof may not
look to, any general or other fund except the income which
is so pledged under the provisions of this ordinance
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C Service Charges and Their Collection That
while the bonds authorized herein or any of them remain out-
standing and unpaid, the rates for all services rendered by
the sewer system to the City and to its inhabitants and to all
consumers within or without the boundaries of the City shall
be reasonable and just, taking into account and consideration
the cost and value of said sewer system and the proper and
necessary allowances for the depreciation thereof and the
amounts necessary for the retirement of all bonds and other
securities or obligations payable from the revenues of the
sewer system the accruing interest thereon, and reserves
therefor , and there shall be charged against all purchasers
of service, including the City, such rates and amounts as
shall be adequate to meet the requirements of this and the
preceding sections hereof, and which rates and amounts from
the sewer system shall be sufficient to produce revenues or
earnings annually to pay the annual operation and maintenance
expenses and an amount equal to one hundred thirty per centum
(130/) of the combined maximum annual principal and interest
requirements on bonds and any other obligations payable annually
from any revenues thereof (excluding the reserves therefor) ,
all of which revenues, including those received from the City,
shall be subject to distribution to the payment of operation
and maintenance expenses of the sewer system and the payment
of principal of and interest on all obligations payable from
the revenues of the sewer system, including reasonable reserves
therefor , that no free service nor facilities shall be fur-
nished by the sewer system, that should the City elect to
use for municipal purposes any sewage disposal facilities, or
in any other manner use the system, or any part thereof, any
such use will be paid for from the City' s general fund or
other available revenues at the reasonable value of the use
so made that all the income so derived from the City shall
be deemed to be income derived from the operation of the
sewer system, to be used and accounted for in the same manner
as any other income derived from the operation of said sewer
system The City shall cause all rates , fees and service
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charges appertaining to said system to be collected as soon
as reasonable, shall prescribe and enforce rules and regula-
tions for the payment thereof and for the connection with and
the disconnection from properties of said sewer system, and
shall provide methods of collection and penalties to the end
that net revenues of the sewer system shall be adequate to
meet the requirements thereof
D Levy of Chars That the City will by an
ordinance finally adopted and approved not later thin the
15th day of April , 1965 , in which rates and charges , as
provided in said ordinance, shall be effective not later than
the 19t day of October. , 1965 , fix, establisn and levy
the rates and charges which are required by paragraph C of
this Section 32 of this ordinance, if such action be necessary
therefor No reduction in any initial or existing rate
schedule for the sewer system may oe made unless
(1) The City has fully complied with the provisions
of Section 19 of this ordinance for at least the full
Fiscal Year immediately preceding such reduction of the
initial rate schedule , or if none of the 1965 revenue
bonds have been issued and outstanding for a period of
at least one year , for the longest period that any of
the 1965 revenue bonds have been issued and outstanding
(2) The audit required by the Independent Account-
ant and by paragraph H of this Section 32 of this ordi-
nance for the full Fiscal Year imrediately preceding such
reduction, or if none of the 1965 revenue bonds have been
issued and outstanding for a period of at least one year,
for the longest period that any of the 1965 revenue bonds
have been issued and outstanding discloses that the esti-
mated revenues resulting from the proposed reduction, for
the sewer system will be sufficient to pay an amount at
least equal to the operation and maintenance expenses of
the sewer system for said period and, in addition one
hundred and thirty per centum (130'1 ) of the combined max-
imum annual principal and interest requirements on bonds
and any other obligations payable annually from any
revenues of the sewer system (excluding reserves therefor)
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F Billing Procedure That all bills for
sewerage dispoaal services or facilities furnished or
served by or through the system shall be rendered to cus-
tomers at regular intervals and shall be delinquent -thirty
days after their date , and in the event said bills are not
paid within thirt3 days after they become delinquent, ser-
vice shall be discortinued and the rates and charges due
shall be collected in a lawful manner
F Rc_cords That so long as any of the bonds
remain outstanding, lioper book., of record and account will
be kept by the City, separate and apart from all other records
and accounts , showing complete and correct entries of all
transactions relating to the system Such books shall include
(but not necessarily be limited to) monthly records showing
a detailed statement of the expenses of the system
G Right to_Inspect that any holder of any of
the bonds or any duly authorized agent or agents of such
holder shall have the right at all reasonable times to
inspect all records, accounts and data relating thereto and
to inspect the systEri and all propei.ties comprising the
system
H Audits That the City shall, within ninety
days following tie close of each Fiscal Year, cause an audit
of such books and accounts to be made by an Independent
Accountant showing the receipts and disbursements for the
account of the system, and that such audit will be available
for inspect on by any holder of any of the bonds Each such
audit, in addition to whaLever matters may be thought proper
b} the accountant to be included thei.ein, shall include the
f o llo,aing
(1) A statement in detail of the income and
expr.nd t,res of the sewer system for the Fiscal Year,
including out not necessarily limited to a classified
statement of gross revenues received from the operation
of the sewer system of the net revenues, and of the
amount of any capital expenditures appertaining to the
sewer system for the Fiscal Year, and a statement of
the profit or loss for the Fiscal Year,
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(2) A balance sheet as of the end of such Fiscal
Year, including the amount on hand, both cash and
investments , in each of the funds created by the various
ordinances and other proceedings authorizing the issu-
ance of outstanding bonds and other obligations payable
from the revenues of the sewer system,
(3) The accountant' s comment regarding the City' s
methods of operation and accounting practice and the
manner in which the City has carried out the require-
ments of this ordinance, and any other ordinance and
other proceedings authorizing the issuance of outstand-
ing bonds or other obligations payable from the revenues
of the system, and the accountant' s recommendation for
any change or improvement in the operation of the system
as the accountant deems appropriate , and
(4) A recapitulation of each fund or account
created by the various ordinances and other proceedings
authorizing the issuance of outstanding bonds and other
obligations payable from the revenues of the system,
into which fund are put moneys derived from the opera-
tion of the system or derived from the sale of Federal
Securities, such analysis to show the balance in such
fund at the beginning of the Fiscal Year, the deposits
and withdrawals during said year, and the balance at
the end of said year
All expenses incurred in the making of the audits and reports
required by this paragraph shall be regarded and paid as a
maintenance and operation expense The City agrees to fur-
nish forthwith (and in any event within sixty days from the
time the audit and report is filed with the City) a copy of
each of such audits and reports to the holder of any of the
bonds at his request, and without request
a To any Purchaser,
b To the Fiscal Agent, and
c To any other person designated in any ordi-
nance or other proceedings appertaining to
any outstanding obligations payable from
revenues of the system other than the 1965
revenue bonds,
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after each audit and re ort has been prepared, and that any
such holder shall have the right to discuss with the account-
ant or person making the audit and report the contents thereof
and to ask fo- such additional information as he may reason-
ably icquirc
I Efficient O, eratzon That the City will oper-
ate the system so long a,, any of tha 19b5 revenue bonds are
outstanding in an efficient and economical manner will main-
tain tre system in efficient operating cond-Ltion, and will
ma6e sucn m,rovcment� , enlergerrents, extensions, repairs and
bettP7ments thereto as ma} be necessary or advisable to insure
their econom Pal and efficient operation at all times
J Use of Bond Fund and Raserve fund That the
Boiid Fund and the Reseric Fund shall be used solely and only,
and those funds are -teYeb,* pledged foe the purpose of paying
t'ie i terest or and the priucipal of the bonds herein author-
ized c -wept for. those moneys ut the Bond Fund and the
Re erve Fund as are in LY( ebs of the interest on and the
prin. ipal of the bonds ba h accrued and not accrued, to
the r fegpectiva maturiLies tnd eAcepfi those moneys of the
Re-er e Fund in e%cess of the Minimum Reserve, as herein-
abovf provided
K Charges ane Liens upon System That from the
revenues of the sewer system, Lhe City will pay all taxes
and asbessment. or other municipal or governmental charges ,
if any, lawfully levied a ses ed upon or in respect to the
system of i-zy part thereo{ when the Qame shall become due,
and it will duly oboerve and comply with all valid require-
ments of any municipal or gcvernmental authority relatLve to
arty part of tEie sybtcm and the City will not create nor
ouffor c oc (--if :tted any lticn or charge upon the system nor
upon the revenues thei irom except ab permitted by this
ordinance or it will ma e -idequate provisions to satisfy
and di cnarge wither ^2) ty days after tre same shall accrue,
all lawful claims and aemands for labor, materials, supplies
01 ot'ier o'ilects wh.ch if urij did m.Lght by la,a becoma
a Lien L.r,on the y.,tem at .upon the rcvc hues th�T efrom
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provided, however that nothing herein shall require the
City to pay or cause to be discharged, or make provision
for any such tax, assessments lien or charge before the
time when payment thereof shall be due or so long as the
validity thereof shall be contested in good faith by approp-
riate legal proceedings
L Insurance That the City in its operation of
the sewer system will carry fire and extended coverage insur-
ance, workmen' s compensation insurance, public liability
insurance, and other types of insurance in such amounts and
to such extent as is normally carried by private corporations
operating public utilities of the same type The cost of
such insurance shall be considered one of the operating costs
of the system In the event of property loss or damage,
insurance proceeds shall be used first for the purpose of
restoring or replacing the property lost or damaged, and any
remainder shall be treated as net income and shall be sub-
ject to distribution in the manner provided hereinabove in
Section 19 hereof, for net income and revenues derived from
the operation of the system
M Competing System That as long as any of the
1965 revenue bonds are outstanding, the City shall not grant
any franchise or license to a competing sewer system, nor
shall it permit during said period (except as it may legally
be required to do so) any person, association, firm, corpora-
tion or organization to sell sewer service or facilities, to
any c3nsumer public or private, within the City Such
limitation shall not apply to any person, association, firm
corporation or organization presently selling sewer service
or facilities within the City or which, by annexation to or
consolidation with the City, hereafter sells sewer service
or facilities within the City provided however, that such
person association, firm, corporation or organization shall
not be permitted to expand its services so as to diminish the
security for the bonds
N Alienation of bystem Prohibited That the
City will not sell, lease mortgage, pledge or otherwise
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encumber, or in any manner dispose of or otherwise alienate ,
the sewer system or any part thereof, including any and all
extensions and additions that may be made thereto, until all
the bonds herein authorized to be issued shall have been
paid in full both principal and interest, or unless provi-
sion has been made therefor, except that the City may sell
any portion of said property which shall have been replaced
by other property of at least equal value or which shall
cease to be necessary for the efficient operation of the
system but in no manner nor to such extent as might pre-
judice the security for the payment of the bonds herein
authorized, provided, however that in the event of any
sale as aforesaid, the proceeds of such sale shall be dis-
tributed as net income of the system, in accordance with
the provisions of Section 19 hereof
0 Extension of Interest Payments That in
order Lo pre-vent any accumulation of coupons or claims for
interest after maturity, the City will not directly or in-
directly extend or assent to the extension of the time for
the payment of any coupon or claim for interest on any of
the bonds issued hereunder , and it will not directly or
indirectly be a party to or approve any arrangement for
any such extension or for the purpose of keeping alive any
of said coupons , and in case the time for payment of any
such coupons shall be extended, such coupon or installment
or installments of interest after such extension or arrange-
ment shall not be entitled in case of default hereunder to
the benefit or security of this ordinance, except subject
to the prior payment in full of the principal of all bonds
issued hereunder and then outstanding , and of matured
interest on such bonds the payment of which has not been
extended
P Surety Bonds Ihat each municipal official or
other person having custody of any funds derived from opera-
tion of the system, or responsible for the handling of such
funds, shall be fully bonded at all times which bond shall
be conditioned upon the proper application of said funds
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The cost of each such bond shall be considered one of the
operating costs of the system to which the bond appertains
Q Additional Bonds The City will not hereafter
issue any bonds or other obligations payable from the reve-
nues of the system and having a lien on a parity with or
bubordinate to the bonds herein authorized until all bonds
herein authorized have been paid in full, unless such addi-
tional bonds or other additional obligations on a parity
with or junior to the bonds herein authorized are issued
in such manner as provided in Sections 23 to 31 both
inclusive hereof
k Competent Management That the City shall
employ experienced and competent management personnel for
the system In the event of default on the part of the City
in paying principal of or interest on the bonds promptly as
each falls due, or in the keeping of any covenants herein
contained and if such default shall continue for a period
of sixty days , or if the net revenues of the system in any
Fiscal Year should fail to equal at least the amount of the
principal of and the interest on the revenue bonds and other
obligations (including all reserves therefor specified in
the authorizing proceedings, including but not limited to
this ordinance) payable from said net revenues in that
Fiscal Year, the City shall retain a firm of competent
management engineers skilled in the operation of sewer
systems to assist the management of the system so long as
such default continues or the net revenues are less than
the amount hereinabove designated
S Performing Duties That the City will faith-
fully and punctually perform all duties with respect to the
system required by the Constitution and laws of the State
of Colorado and the ordinances and resolutions of the City
including but not limited to the making and collecting of
reasonable and sufficient rates and charges for service
rendered or furnished by the system as hereinbefore pro-
vided, and the proper segregation of the revenues of the
system and their application to the respective accounts
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T Other Liens That other than as provided by
this ordinance, there are no liens or encumbrances of any
nature, whatsoever on or against the system or the revenues
derived or to be derived from the operation of the same
U City' s Existence That the City will maintain
its corporate identity and existence so long as the 1965
revenue bonds herein authorized remain outstanding, unless
another political subdivision by operation of law succeeds
to the duties, privileges powers, liabilities , disabilities,
immunities, and rights of the City and is obligated by law
to operate and maintain the sewer system as herein provided
for the City without adversely affecting to any substantial
degree the privilege and rights of any holder of any out-
standing bond
V Payment of Refunded Bonds That the City
shall pay the principal of and interest on the outstanding
1948 revenue bonds and the 1959 revenue bonds as the same
shall become payable at their respective maturities
Section 33 / Disposition of Funds Concerning
Outstanding Bonds That simultaneously with the delivery
of Subseries R of the 1965 revenue bonds, the Director of
Finance sha11 make the following disposition of the 1948
Bond Fund the 1948 Reserve Fund the 1959 Bond Fund and
the 1959 Reserve Fund
A Firstly, there shall be paid into the
Refunding Fund an amount fully sufficient to pay
interest on when due and redeem the principal of
the outstanding bonab to be refunded at their respec-
tive maturities and any service charges appertaining
thereto to be paid from the Refunding Fund including
but not necessarily limited to any charges for the
Escrow Agent to be paid for the operation and main-
tenance of the Refunding Fund and performing services
incidental thereto, parsuant to an agreement to be
hereafter executed between the City and the Escrow
Agent (sometimes designated as the "Escrow Agreement")
a- authorized by paragraph C of Section 38 hereof,
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except to the extent $292,000 00 of the proceeds of the
refunding bonds are deposited in the Refunding Fund,
and
B Secondly, the Director of Finance shall make
provision for the payment of any service charges or
other expenses incidental to refunding the outstanding
bonds to be refunded and not to be paid from the
Refunding Fund, and
C Thirdly, the Director of Finance shall make
provision for the payment of the principal of and
interest on the 1965 revenue bonds becoming due on or
before the first day of June, 1966, except to the
extent provision is otherwise made for such payments ,
and
D Fourthly, and finally any moneys remaining
in the 1948 Bond Fund, the 1948 Reserve Fund, the 1959
Bond Fund and the 1959 Reserve Fund may be applied to
any other lawful purpose or purposes authorized by the
Constitution and laws of the State of Colorado, and the
ordinances of the City of Fort Collins, as the same may
be from time to time amended
Section 34 Exemption from Taxation That pur-
suant to Section 139-52-6, Bond Act, the bonds herein author-
ized and the income therefrom shall be exempt from taxation,
except inheritance, estate and transfer taxes
Section 35 Events of Default That each of the
f olloding events is hereby declared an "event of default,"
that is to say
A Nonpayment of Principal Payment of the
principal of any of the bonds herein authorized to be
issued shall not be made when the same shall become due
and payable either at maturity or by proceedings for
prior redemption, or otherwise
B Nonpayment of Interest Payment of any
installment of interest shall not be made when the same
becomes due and payable or within thirty days thereafter
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C Incapable to Perform The City shall for any
reason be rendered incapable of fulfilling its obliga-
tions hereunder
D Default of any Provision The City shall make
default in the due and punctual performance of its
covenants or conditions, agreements and provisions
contained in the bonds or in the ordinance on its part
to be performed, and if such default shall continue for
sixty days after written notice specifying such default
and requiring the same to be remedied shall have been
given to the City by the holders of twenty-five per
centum (25/) in principal amount of the bonds then
outstanding
Section 36 Remedies for Defaults That upon the
happening and continuance of any of the events of default as
provided in Section 35 hereof, then and in every case the
holder or holders of not less than twenty-five per centum
(25/) in principal amount of the bonds then outstanding,
including but not limited to a trustee or trustees therefor,
may proceed against the City, its governing body, and its
agents, officers and employees to protect and enforce the
rights of any holder of bonds or coupons under this ordi-
nance by mandamus or other suit , action or special proceed-
ings in equity or at law, in any court of competent juris-
diction, either for the appointment of a receiver or for
the specific performance of any covenant or agreement con-
tained herein or in an award of execution of any power
herein granted for the enforcement of any power, legal or
equitable remedy as such holder or holders may deem most
effectual to protect and enforce the rights aforesaid, or
thereby to enjoin any act or thing which may be unlawful or
in violation of any right of any bondholder, or to require
the governing body of the City to act as if it were the
trustee of an expressed trust, or any combination of such
remedies All such proceedings at law or in equity shall
be instituted, had and maintained for the equal benefit of
all holders of the bonds and coupons then outstanding Any
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receiver appointed in any proceedings to protect the rights
of such holders hereunder, the consent to any such appoint-
ment being hereby expressly granted, may enter and take
possession of the system operate and maintain the same,
prescribe rates, fees or charges, and collect, receive and
apply all revenues arising after the appointment of such
receiver in the same manner as the City itself might do
The failure of any such holder so to proceed shall not
relieve the City or any of its officers, agents or employees
of any liability for failure to perform any duty Each
right or privilege of any such holder (or trustee thereof)
is in addition and cumulative to any other right or privi-
lege, and the exercise of any right or privilege by or on
behalf of any holder shall not be deemed a waiver of any
other right or privilege thereof
Section 37 Duties Upon Defaults That upon the
happening of any of the events of default as provided in
Section 35 hereof, the City, in addition, will do and per-
form all proper acts on behalf of and for the holders of
bonds and coupons to protect and preserve the security
created for the payment of their bonds and coupons and to
insure the payment of the principal of and the interest on
said bonds promptly as the same become due All proceeds
derived therefrom, so long as any of the bonds herein
authorized, either as to principal or interest, are out-
standing and unpaid, shall be paid into the Bond Fund, and
in the event of obligations hereunder issued and outstand-
ing during said period of time on a parity with the bonds
herein authorized, into such bond funds for all "parity"
obligations on an equitable and prorated basis, and used for
the purposes therein provided In the event the City fails
or refuses to proceed as in this section provided, the
holder or holders of not less than twenty-five per centum
(257) in principal amount of the bonds then outstanding,
after demand in writing, may proceed to protect and enforce
the rights of the bondholders as hereinabove provided
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Section 38 Delegated Powers That the officers
of the City be, and they hereby are, authorized and directed
to take all action necessary or appropriate to effectuate
the provisions hereof including, without limiting the
generality of the foregoing
A Printing Bonds The printing of the bonds,
including on each a certified true copy of bond
counsel' s approving opinion,
B Final Certificates The execution of such
certificates as may be reasonably required by any Pur-
chaser relating, inter alia, to the signing of the
bonds, the tenure and identity of the municipal offi-
cials, delivery of the bonds, the receipt of the bond
purchase price, the creation of an escrow for the
Refunding Project, and the absence of litigation, pend-
ing or threatened, affecting the validity thereof , and
C Escrow Agreement The execution of an escrow
agreement with the Escrow Agent concerning the deposits
to be made therewith in the Refunding Fund as herein
provided and of any other agreement necessary or
desirable to implement the provisions of this ordinance
Section 39 Defeasance That when all principal,
interest and prior redemption premiums, if any, in connec-
tion with the bonds hereby authorized have been duly paid,
the pledge and lien and all obligations hereunder shall
thereby be discharged and the bonds shall no longer be
deemed to be outstanding within the meaning of this ordi-
nance There shall be deemed to be such due payment when
the Council has placed in escrow and in trust with a commer-
cial bank located within the State of Colorado and exercising
full trust powers, an amount sufficient (including the known
minimum yield from Federal Securities in which such amount
may be initially invested) to meet all requirements of
principal, interest and prior redemption premium, if any,
as the same become due at their final maturities or upon
designated prior redemption dates The Federal Securities
so held shall become due prior to the respective times on
which the proceeds thereof shall be needed, in accordance
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with a schedule established and agreed upon between the
Council and such bank at the time of the creation of the
escrow, or the Federal Securities shall be subject to
redemption at the option of the holders thereof to assure
such availability as so needed to meet such schedule
Section 40 Amendment of Ordinance
A Limitations upon Amendments That this ordi-
nance may be amended or supplemented by ordinances adopted
by the Council in accordance with the laws of the State of
Colorado, without receipt by the City of any additional
consideration, but with the written consent of the holders
of seventy-five per centum (75/) of the bonds authorized
hereby and outstanding at the time of the adoption of such
amendatory or supplemental ordinance (not including in any
case any bonds which may then be held or owned for the
account of the City, but including such refunding bonds as
may be issued for the purpose of refunding any of the bonds
herein authorized if such refunding bonds are not owned by
the City) , provided, however, that no such ordinance shall
have the effect of permitting
(1) An extension of the maturity of any bond
authorized hereby, or
(2) A reduction in the principal amount of any
bond, the rate of interest thereon, or the redemption
premium payable thereon, or
(3) The creation of a lien upon or a pledge of
revenues ranking prior to the lien or pledge created
hereby, or
(4) A reduction of the principal amount of bonds
required for consent to such amendatory or supplemental
ordinance, or
(5) The establishment of priorities as between
bonds issued and outstanding under the provisions
hereof or
(6) The modification of or otherwise affecting
the rights of the holders of less than all of the bonds
then outstanding
-65-
B Notice of Amendment Whenever the City shall
propose to amend or modify this ordinance under the provi-
sions of this Section, it shall cause notice of the proposed
amendment to be
(1) Published one time in a newspaper, as herein
defined and
(2) Published one time in a financial newspaper
or journal published in the City and County of Denver,
Colorado
Such notice shall briefly set forth the nature of the pro-
posed amendment and shall state that a copy of the proposed
amendatory ordinance is on file in the office of the City
Clerk for public inspection
C Time for Amendment Whenever at any time
within one year from the date of the publication of said
notice there shall be filed in the office of the City Clerk
an instrument or instruments executed by the holders of at
least seventy-five per centum (757) in aggregate amount of
the bonds then outstanding as in this section defined, which
instrument or instruments shall refer to the proposed amenda-
tory ordinance described in said notice and shall specific-
ally consent to and approve the adoption thereof, but not
otherwise, the City Council may adopt such amendatory
ordinance and such ordinance shall become effective
D Binding Consent to Amendment If the holders
of at least seventy-five per centum (757) in aggregate
principal amount of the bonds outstanding as in this Section
defined at the time of the adoption of such amendatory
ordinance or the predecessors in title of such holders,
shall have consented to and approved the adoption thereof
as herein provided, no holder of any bond whether or not
such holder shall have consented to or shall have revoked
any consent as in this section provided shall have any
right or interest to object to the adoption of such amenda-
tory ordinance or to object to any of the terms or provi-
sions therein contained or to the operation thereof or to
enjoin or restrain the City from taking any action pursuant
to the provisions thereof
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E Time Consent Binding Any consent given by
the holder of a bond pursuant to the provisions of this Sec-
tion shall be irrevocable for a period of six months from
the date of the publication of the notice above provided for
and shall be conclusive and binding upon all future holders
of the same bond during such period At any time after six
months from the date of the publication of such notice, such
consent may be revoked by the holder who gave such consent
or by a successor in title by filing notice of such revoca-
tion with the City Clerk, but such revocation shall not be
effective if the holders of seventy-five per centum (757) in
aggregate principal amount of the bonds outstanding as in
this Section defined have, prior to the attempted revocation,
consented to and approved the amendatory ordinance referred
to in such revocation
F Proof of Instruments The fact and date of
the execution of any instrument under the provisions of this
Section may be proved by the certificate of any officer in
any ,jurisdiction who by the laws thereof is authorized to
take acknowledgment of deeds within such jurisdiction, that
the person signing such instrument acknowledged before him
the execution thereof, or may be proved by an affidavit of
a witness to such execution sworn to before such officer
G Proof of Bonds The amount and numbers of
the bonds held by any person executing such instrument and
the date of his holding the same may be proved by a certifi-
cate executed by a responsible bank or trust company showing
that on the date therein mentioned such person had on deposit
with such bank or trust company the bonds described in such
certificate
Section 41 Ordinance Irrepealable That after
any of the bonds herein authorized are issued, this ordi-
nance shall constitute a contract between the City and the
holder or holders of the bonds from time to time and this
ordinance shall be and remain irrepealable until the bonds
and the interest on the bonds hereby authorized to be issued
and in fact actually issued, shall be fully paid, cancelled,
and discharged, as herein provided
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Section 42 Severability Clause That if any
section, paragraph, clause or provision of this ordinance
shall for any reason be held to be invalid or unenforce-
able, the invalidity or unenforceability of such section,
paragraph, clause or provision shall not affect any of
the remaining provisions of this ordinance
Section 43 Repealer Clause That all ordinances,
resolutions, by-laws and regulations of the City, in conflict
with this ordinance, are hereby repealed to the extent only
of such inconsistency This repealer shall not be construed
to revive any ordinance, resolution, by-law, or regulation,
or part thereof , heretofore repealed
Section 44 Manner of Publication and Effective
Date That this ordinance shall be published once in full
at least ten days before its final passage in a newspaper,
as herein defined, which publication shall contain a notice
giving the date when said proposed ordinance will be presented
for final passage Within five days after final passage,
the ordinance as passed shall be published once in full as
provided above, whereupon it shall take effect on the tenth
day following its passage
Section 45 Disposition of Ordinance That a
true copy of this ordinance, immediately on its final pas-
sage, shall be numbered and recorded in the book marked
"Ordinance Record," and adoption and publication shall be
authenticated by the signatures of the Mayor and City Clerk
and by the certificate of the publisher, respectively
INTRODUCED, READ IN FULL, PASSED ON FIRST READING
AND ORDERED PUBLISHED this lltli day of Ma hc , 1965
14,E n v C, C,'- Ja T7 sa nl
Mayor
(SEAL)
Attest
City Clerk
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NOTICE IS HEREBY GIVEN that at the regular meeting
of the City Council, to be held or thgrsdgy ik the lst_ day
of April 1965 , at the hour of it 30 o'clock T m ,
---- -
T-at the Council Chambers in the City Hall, in Fort Collins,
Colorado, the City Council will hold a public hearing on the
aforesaid proposed ordinance and thereafter will consider it
for final passage and adoption
yor
(SEAL)
Attest
14d use
City Clerk
/ �
Published in %r � o
First publication 1965
PUBLISH ON
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FINALLY PASSED AND ADOPTED this 1st day of
April , 1965
Mayor
(SEAL)
Attest
City Clerk
Published in The Fort Collins Coloradoan Second
publication (i e publication after final passage April
6 1965
I, Miles F House City Clerk, City of Fort
Collins, County of Larimer, State of Colorado, do hereby
certify that the above and foregoing ordinance is a true
and correct copy of the ordinance introduced and passed on
first reading at the regular meeting held on the llth day
of March , 1965, read in full, published in full in
The Fort Collins Coloradoan on the 16th day of
March , 1965, and after holding a public hearing thereon,
read a second time by title finally passed and adopted on
the 1st day of April _, 1965 , and published in full a
second time in Fort Collins Coloradoan on
the 6th day of April 1965
(SEAL)
Attest
City Clerk
-70-
It was thereupon moved by Councilman Harvey G Johnson
Qua. n
and seconded by Councilkroman Lorraine A t9at 'the foregoing
ordinance entitled
"AN ORDINANCE AUTHORIZING THE ISSUANCE BY THE CITY
OF FORT COLLINS, COLORADO, OF THE CITY' S NEGOTIABLE,
COUPON "CITY OF FORT COLLINS, COLORADO, SEWER REFUND-
ING AND IMPROVEMENT REVENUE BONDS, SERIES JUNE 11
1965" IN THE AGGREGATE PRINCIPAL AMOUNT OF $2,4929000 002
PROVIDING FOR THE REFUNDING, PAYMENT AND DISCHARGE
AT THEIR RESPECTIVE MATURITIES OF THE CITY' S OUTSTAND-
ING REVENUE BONDS PAYABLE OUT OF AND SECURED BY A
PLEDGE OF REVENUES TO BE DERIVED FROM THE OPERATION
OF THE CITY'S MUNICIPALLY OWNED AND OPERATED SEWER
SYSTEM, AUTHORIZING THE DEPOSIT OF FUNDS SO TO REDEEM
SUCH OUTSTANDING BONDS, AUTHORIZING THE IMPROVEMENT
AND EXTENSION OF SAID SEWER SYSTEM BY THE CONSTRUCTION
AND OTHER ACQUISITION OF ADDITIONAL SEWAGE COLLECTION
AND TREATMENT FACILITIES AND EVERYTHING NECESSARY
OR INCIDENTAL THERETO, AUTHORIZING THE ISSUANCE OF
SUCH BONDS IN ANTICIPATION OF THE COLLECTION OF REVE-
NUES OF SUCH SYSTEM FOR SUCH IMPROVEMENTS AND EXTEN-
SIONS , PROVIDING THE FORM, TERMS AND CONDITIONS OF
THE SEWER REFUNDING AND IMPROVEMENT BONDS, THE MANNER
OF THEIR EXECUTION, THE METHOD OF PAYING THEM, AND
THE SECURITY THEREFOR, PROVIDING FOR THE COLLECTION
AND DISPOSITION OF REVENUES DERIVED AND TO BE DERIVED
FROM SAID SEWER SYSTEM, PROVIDING OTHER DETAILS CON-
CERNING THE REFUNDING AND IMPROVEMENT BONDS, SAID
SEWER SYSTEM, THE BONDS TO BE REFUNDED, AND FUNDS
APPERTAINING THERETO, INCLUDING BUT NOT LIMITED TO
COVENANTS AND AGREEMENTS IN CONNECTION THEREWITH,
RATIFYING ACTION PREVIOUSLY TAKEN AND PROVIDING THE
EFFECTIVE DATE HEREOF "
and read in full at this meeting, as aforesaid, be passed on
first reading and published in full in the Fort Collins
Coloradoan, a newspaper of general circulation published in
the City of Fort Collins, in its issue of March 16 ,
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1965 , and that said ordinance, at least ten days after it
is published as aforesaid and after a public hearing is held
thereon at the meeting hereinafter designated, be considered
for final passage at a regular meeting of the City Council
to be held at the Council Chambers in the City Hall, in Fort
Collins , Colorado, on _Thursday, the lst- day of
April , 1965, at the hour of _ o'clock Ip m
The question being upon the adoption of said mo-
ta.on, the roll was called with the following result
Those Voting Aye Harvey G Johnson
R L Colwell
L J McMillan
James W Guyer
Lorraine A Quinn
Those Voting Nay None
Those Absent None
Five members of the City Council having voted
in favor of said motion, the presiding officer thereupon
declared said motion carried and said ordinance ordered
published as aforesaid
Thereupon, Councilman McMillan introduced
the following resolution, which was read in full and is as
follows
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Y
RESOLUTION
A RESOLUTION PROVIDING FOR THE PUBLIC SALE OF THE
CITY OF FORT COLLINS, COLORADO, SEWER REFUNDING ftND
IMPROVEMENT REVENUE BONDS, SERIES JUNE 1 1965
WHEREAS, the City of Fort Collins (herein some-
times designated as the "City") , in the County of Larimer
and State of Colorado , has determined and does hereby
determine , that the City of Fort Collins , Colorado, Sewer
Refunding and Improvement Revenue Bonds , Series June 1,
1965 (herein sometimes designated as the "bonds") , as
authorized by an ordinance entitled
"An ordinance authorizing the issuance by the City
of Fort Collins, Colorado, of the City' s negotiable,
coupon "City of Fort Collins , Colorado, Sewer Refund-
ing and Improvement Revenue Bonds , Series June 1,
1965" in the aggregate principal amount of $2 ,492,000 00 ,
providing for the refunding, payment and discharge
at their respective maturities of the City' s outstand-
ing revenue bonds payable out of and secured by a
pledge of revenues to be derived from the operation
of the City' s municipally owned and operated sewer
system, authorizing the deposit of funds so to redeem
such outstanding bonds , authorizing the improvement and
extension of said sewer system by the construction and
other acquisition of additional sewage collection and
treatment facilities and everything necessary or
incidental thereto, authorizing the issuance of such
bonds in anticipation of the collection of revenues
of such system for such improvements and extensions ,
providing the form, terms and conditions of the sewer
refunding and improvement bonds, the manner of their
execution, the method of paying them, and the security
therefor , providing for the collection and disposition
of revenues derived and to be derived from said sewer
system, providing other details concerning the refunding
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and improvement bonds, said sewer system, the bonds
to be refunded, and funds appertaining thereto, in-
cluding but not limited to covenants and agreements
in connection therewith, ratifying action previously
taken and providing the eEfective date hereof "
introduced and passed on first reading on the llth day of
March t- , 1965 , should be publicly sold after the final
adoption of said ordinance
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF
THE CITY OF FORT COLLINS
Section 1 That Subseries I and Subseries R of
the City of Fort Collins , Colorado, Sewer Refunding and
Improvement Revenue Bonds, Series June 1, 1965 , in the
principal amount of $2,492,000 00 be, and the same hereby
are ordered to be, publicly advertised for sale , and that
the City Council, on , Thursday the 6th day of May, t ,
1965 , at the hour of 1-30 o'clock P m , at City
Hall Council Chambers I e in the City, will
cause sealed bids to be received and to be opened publicly
for the purchase of the bonds of each subseries
Section 2 That the Mayor and the Director of
Finance be, and the same hereby are, authorized and directed
A To have published a notice of sale of the
bonds at least once at least five days prior to the
sale date in each of the following
(1) Fort Collins Coloradoan
L )
a newspaper circulating in the City, and
(2) Daily Journal
a financial newspaper published in Denver ,
Colorado (being published in Denver, Colorado,
San Francisco California Chicago Illinois or
New York, New York) , and
B To cause copies of such notice, the Official
Notice of Bond Sale, or summaries thereof to be published
or furnished to such other financial ,journals and to
such prospective bidders as may be determined by said
officers and the City' s Fiscal Agent
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Section 3 That said notice of bond sale to be so
published shall be in substantially the following form
-75-
(Form of Notice of Bond Sale for Publication)
NOTICE OF BOND SALE
CITY OF FORT COLLINS, COLORADO
SEWER REFUNDING AND IMPROVEMENT REVENUE BONDS
SERIES JUNE 1, 1965 - $2 ,492,000 00
NOTICE IS HEREBY GIVEN that the City Council of
the City of Fort Collins , Colorado, on Thursday _, the 6th
day of May , 1965 , at the hour of 1 30 - o'clock
_p m , M S T , at City Hall Council Chambers
in Fort Collins, Colorado , will cause sealed bids to be
received and opened publicly for the purchdse of the nego-
tiable, coupon improvement bonds in the principal amount of
$2,2002000 00, designated as Subseries I (hereir sometimes
designated as the "improvement bonds") and the negotiable,
coupon refunding bonds in the principal amount of $292 000 00,
designated as Subseries R (herein sometimes designated as
the "refunding bonds") , comprising the City or Fort Collins,
Colorado, Sewer Refunding and Improvement Bonds , Series
June 1, 1965 , in the aggregate principal amount of
$2 ,402,000 00 (herein sometimes designated as the "1965
revenue bonds") The 1965 revenue bonds shall be dated
June 1, 1965 , and shall be payable to bearer Both princi-
pal and interest of the 1965 revenue bonds shall be payable
at the office of the Director o= F nance aid ex-offii-io
City Treasurer, in Fort Collins, Colorado
The improvement bonds sha.Ll consist of 440 bonus
in the denomination of �5 ,000 00 each, numbeLed consecutive-y
in regular numerical order from I-1 to I-440, both inclusive,
bearing interest at a rate or rates of not exceeding four and
one-half per centum (4-1/27) per annum from date until
maturity, interest being payable on December 1, 1965 , and
semiannually thereafter on June 1 ana December 1 in each
year, and shall mature serially in regular numerical order
on December 1 in each of the desigmted amounts and years
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Amounts Years Amounts Years
Maturing Maturing Maturing ing Maturing
$509000 00 1967 $1302000 00 1977
559000 00 1968 1401000 00 1978
609000 00 1969 145 ,000 00 1979
659000 00 1970 1502000 00 1980
65,000 00 1971 155 000 00 1981
70,000 00 1972 1602000 00 1982
75000 00 1973 165 ,000 00 1983
120:000 00 1974 170,000 00 1984
1259000 00 1975 175 ,000 00 1985
1259000 00 1976
In conformity with the City Charter, improvement
' bonds maturing on and before December 1, 1974, shall be
subject to prior redemption in regular numerical order on
June 1, 1967, or on any interest payment date thereafter,
for the principal amount , accrued interest and a premium of
five per centum (57) of principal The prior redemption
option hereinabove provided shall not be exercised for the
purpose of refunding the bonds called for prior redemption
without the specific written consent to such call by the
holders of those bonds, except as hereinafter provided
Improvement bonds maturing on and after December 1, 1975 ,
shall be subject to prior redemption for all purposes in
inverse numerical order on December 1 1974, or on any inter-
est payment date thereafter, for the principal amount
accrued interest and a premium of one per centum (1/) of
principal
The refunding bonds shall consist of 60 bonds in
the denomination of $5 ,000 00 each, except bonds numbered
R-1 and R-2, which shall be in the denomination of $1,000 00
each, numbered consecutively in regular numerical order from
R-1 to R-60, both inclusive, refunding bonds numbered R-1
to R-15, both inclusive, bearing interest at a rate or rates
of not exceeding two and three-fourths per centum (2-3/47)
per annum, refunding bonds numbered R-16 to R-60, both inclu-
sive, bearing interest at a rate or sates of not exceeding
three and one-fourth per centum (3-1/4/) per annum, interest
being payable on December 1, 1965 , and semiannually there-
after on June 1 and December 1 in each year, and shall
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mature serially in regular numerical order on June 1 in each
of the designated amounts and years
Amounts Years Amounts Years
Maturing Maturing Maturing Maturing
$329000 00 1966 $359000 00 1970
35,000 00 1967 40,000 00 1971
35,000 00 1968 40,000 00 1972
35,000 00 1969 40,000 00 1973
In conformity with the City Charter, refunding
bonds maturing on or before June 1, 1973, shall be subject
to prior redemption for all purposes on December 1, 1965 ,
or on any interest payment date thereafter, for the princi-
pal amount, accrued interest and a premium of five per
centum (57) of principal
The interest on all 1965 revenue bonds shall be
evidenced by only one set of coupons (supplemental interest
coupons, i e "B" coupons are not permitted) Not more than
one interest rate shall be stated for the bonds of any
maturity of a subseries The maximum interest spread per-
mitted for the improvement bonds is 27 per annum Subject ,
to designated reservations, the bonds of each subseries shall
be sold to the highest and best bidder for such subseries
The 1965 revenue bonds are payable both as to
principal and interest solely from, and their payment is
additionally secured by a pledge of the net revenues derived
from the operation of the sewer system, pursuant to an
ordinance known as the 6-1-65 sewer revenue bond ordinance,
introduced on . Marr_.b 11 1965 , reference to which
is made for further details
The legality of the 1965 revenue bonds will
be approved by Messrs Dawson, Nagel, Sherman & Howard,
Attorneys at Law Denver, Colorado, whose opinion, together
with the printed bonds (including that opinion printed
thereon) , and a certified transcript of legal proceedings,
will be furnished to the purchaser of each subseries without
charge The Official Notice of Bond Sale, of which this
publication is a condensation said ordinance, a prospectus
and financial and other information concerning said bonds
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and the City may be obtained from its Fiscal Agent, Boettcher
and Company, 828 Seventeenth Street, Denver Colorado 80202,
and from Miles F House , City Clem P 0 Box 580 ,
Fort Collins, Colorado 80522
By order of the City Council dated s March
11 1965
/sjFor Manual Signature )
Mayor
City of Fort Collins
(SEAL)
Attest
/s/(For Manual Signature)
City Clerk
(End of Form of Notice for Publication)
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Section 4 That the official notice of bond sale
shall be in substantially the following form
-80-
y
(Form of Official Notice of Bond Sale)
OFFICIAL NOTICE OF BOND SALE
CITY OF FORT COLLINS COLORADO
SEWER REFUNDING AND IMPROVEMENT REVENUE BONDS
SERIES JUNE 1 1965 - $21492,000 00
PUBLIC NOTICF IS HEREBY GIVEN that the City Council
of the City of Fort Collins (herein sometimes designated as
the "City Council" and as the "City," respectively) in the
County of Larimer and State of Colorado, on Thursday , the
116th day of May 1965, at the hour of 1 30 o°clock
p m , Mountain Standard Time, at City HallCouncil
Chambers ' , in Fort Collins , Colorado, will
cause sealed bids to be received and to be opened publicly
for the purchase of two subseries of the negotiable, coupon,
sewer refunding and improvement revenue bonds of the City,
particularly described below
BOND PROVISIONS
SERIES "City of Fort Collins, Colorado, Sewer
Refunding and Improvement Revenue Bonds , Series June 1,
1965 ," in the aggregate principal amount of 82,492,000 00
(herein sometimes designated as the "1965 revenue bonds") ,
payable to bearer, and consisting of two subseries designated
as Subseries I and Subseries R. as follows
A Subseries I_ The bonds comprising Subseries I
(herein sometimes designated as the "Improvement Bonds")
shall consist of 440 bonds in the denomination of $5 ,000 00
each, issued for the purpose hereinafter stated, in the
principal amount of $2 ,200,000 00, numbered consecutively
in regular numerical order from 1-1 to I-440 both inclusive
and berg numbered and maturing serially in regular numerical
order on the first day of December in each of the designated
amounts and years as follows
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Bond Numbers Amounts Years
(7011 I-iclusive) Maturing Maturing
I- 1 to I- 10 $50 000 00 1967
I- 1I to I- 21 j5 ,000 00 1968
I- 22 to I- 33 601000 00 1969
I- 34 to I- 46 65 000 00 1970
I- 47 to I- 59 65 ,000 00 1971
I- 60 to T- 73 70 000 00 1972
I- 71 to I 88 75 ,000 00 1973
I- 89 to 1-112 120,000 00 1974
1-113 to 1-131 1253000 00 1975
I-138 to 1-162 125 000 00 1976
I-163 to 1-188 130,000 00 1977
1-189 to I-216 1405000 00 1978
1-217 to 1-245 145 000 00 1979
1-246 to I-275 1.)0,000 00 1980
T 276 to 1-306 155 000 00 1981
I-307 to I-333 160 000 00 1982
I-339 to 1-371 165 000 00 1983
1-372 to I-405 170 000 00 1984
1-406 to I-440 175 000 00 1985
and
B Subseries R The bonds comprising Subseries R
(herein sometimes designated as the "Refunding Bonds") shall
consist of 60 bonds in the denomination of $5 ,000 00 each
except for bonds rumbered F,,-1 and R 2 which shall be in the
denomination of $1 000 00 each, issued for the purpose here-
inafter stated in the principal amount of $292 000 00
numbered consecutively in regular numerical order from
R-1 to R-60, both inclusive and being numbered and maturing
seiiaLly in regular numerical order on the first day of
June _n each of the designated amounts and years, as follows
Bond Numbers Amounts Years
(All Tnclusive) 1aturing Maturing
R- 1 to R- 8 $32 000 00 1966
R- 9 to R-15 35 ,000 00 1967
R-16 to R-22 35 ,000 00 1968
R-23 to R-29 35 000 00 1969
R-30 to R-36 35 000 00 1970
R-37 to R-44 40 000 00 1971
R-45 to R-52 40 000 00 1972
R-53 to R-60 40,000 00 1973
PRIOR REDEMPTION
A Subseries I Improvement Bonds numbered I-1
to I-112 , both inclusive , maturing on and before the first
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7
day of December, 1974, shall be subject to redemption prior
to their respective maturities , at the option of the City,
in regular numerical order, on the first day of June, 1967
or on any interest payment date thereafter prior to maturity,
upon payment of the principal amount of each bond so redeemed,
accrued interest thereon to the redemption date, and a pre-
mium consisting of five per centum (5/) of the principal
amount of each Improvement Bond so redeemed The prior
redemption option hereinabove provided shall not be exer-
cised for the purpose of refunding the Improvement Bonds
called for prior redemption without the specific written
consent to such call by the holders of those bonds , except
as hereinafter provided For all purposes, including refund-
ing Improvement Bonds numbered I-113 to I-440, both inclu-
sive, maturing on and after the first day of December 1975 ,
shall be subject to redemption prior to their respective
maturities, at the option of the City, in inverse numerical
order on the first day of December, 1974, or on any inter-
est payment date thereafter prior to maturity, upon payment
of the principal amount of each bond so redeemed, accrued
interest thereon to the redemption date, and a premium con-
sisting of one per centum (1/) of the principal amount of
each bond so redeemed
B Subseries R For all purposes, Refunding
Bonds numbered R-1 to R-60, both inclusive, maturing on or
before the first day of June , 1973, shall be subject to
redemption prior to their respective maturities, at the
option of the City, in regular numerical order on the
first day of December, 1965 , or on any interest payment
date thereafter prior to maturity, upon payment of the
principal amount of each Refunding Bond so redeemed, accrued
interest thereon to the redemption date, and a premium con-
sisting of five per centum (57) of the principal amount of
each bond so redeemed
An option to call the bonds of either subseries
may be exercised independently of any option to call bonds
of the other subseries In each instance thirty (30) days'
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prior notice shall be given by publication and by mail
addressed (among others) to any original purchaser of the
bonds of a subseries or the manager of any purchasing
syndicate The Charter of the City of Fort Collins requires
that all bonds be sub3ect to prior redemption
INTEREST RATES AND LIMITATIONS
A The maximum interest rates are as follows
1 Four and one-half per centum (4-1/27) per
annum for Improvement Bonds numbered I-1 to I-440,
both inclusive, and
2 Two and three-fourths per centum (2-3/47)
per annum for Refunding Bonds numbered R-1 to
R-15 , both inclusive and
3 Three and one-fourth per centum (3-1/47)
per annum for Refunding Bonds numbered R-16 to
R-60, both inclusive
B The maximum interest spread permitted for the
Improvement Bonds is two per centum (2/) per annum,
i e , the maximum rate of interest accruing on any
Improvement Bond prior to its maturity cannot exceed
the minimum rate of interest accruing on any other
Improvement Bond prior to its maturity by more than
two per centum (27) per annum There is no maximum
interest spread for the Refunding Bonds
Interest on all of the 1965 revenue bonds shall be evidenced
until maturity by only one (1) set of coupons (supplemental
interest coupons , i e , "B" coupons, are not permitted)
payable to bearer and payable on the first day of December,
1965 , and semiannually thereafter on the first days of June
and December in each year It is permissible to bid dif-
ferent or "split" interest rates for said bonds , without
limitation as to the number of rates specified, as stated
only in the bid, provided, however, one interest rate only
shall be stated for any maturity of any subseries Each
rate stated must be in a multiple of one-eighth (1/8) or
one-twentieth (1/20) of one per centum (17) per annum If
any 1965 revenue bond shall not be paid upon presentation
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at its maturity, it shall draw interest at the rate of six
per centum (67) per annum until the principal thereof is
paid in full
PAYMENT Both the principal of and the interest
on the 1965 revenue bonds will be payable to bearer in law-
ful money of the United States of America, without deduction
for exchange or collection charges , at the office of the
Director of Finance and ex-officio City Treasurer, in Fort
Collins , Colorado
BOND ORDINANCE The ordinance authorizing the
issuance of the 1965 revenue bonds is known as the 6-1-65
sewer revenue bond ordinance and was introduced and passed
on first reading on the llth day of March , 1965
NO REGISTRATION FOR PAYMENT The 6-1-65 sewer
revenue bond ordinance contains , and the bonds shall contain,
no provision for the registration of the bonds for payment
as to principal, or interest , or as to both principal and
interest
SECURITY All 1965 revenue bonds will, in the
opinion of bond counsel, be payable, both as to principal and
interest , solely from, and the payment of the bonds is se-
cured by a pledge of, and they constitute an irrevocable and
first lien (but not necessarily an exclusively first lien)
upon, the revenues derived from the operation of the City°s
municipal sewer system (herein sometimes designated as the
"system") , except for revenues derived from the City° s exist-
ing sewer trunk line assessments, sewer main line assessments ,
and sewer tap fees , and except for the plant investment fees
which the City will impose by Ordinance No 17, 196J to be
finally passed and adopted on the 15 th day of April
1965, subject only to the payment of all necessary and
reasonable expenses of the operation and maintenance of
the system, and as security for such payment there are
exclusively pledged, pursuant to the 6-1-65 sewer revenue
bond ordinance, two special funds identified as the "City
of Fort Collins , Colorado, Sewer Refunding and Improvement
Revenue Bonds , Series June 1, 1965, Interest and Bond
Retirement Fund," and the "City of Fort Collins , Colorado,
Sewer Refunding and Improvement Revenue Bonds , Series June 1,
1965, Reserve Fund," into which the City covenants to pay
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v
from the net revenues derived from the sewer system, sums
sufficient to pay when due the principal of and the interest
on the bonds and to accumulate in about nine (9) years and
to maintain thereafter a continuing debt service reserve
for such purpose in the sum of $180,000 00
OUTSTANDING BONDS The City has issued no bonds
which are now outstanding and to which any revenues derived
by the City from the operation of the system are pledged
for their payment, excepting, however, the City of Fort
Collins Sewer and W-gte.r Revenue Bonds , dated March 1, 1948
(hereafter sometimes designated as the "1948 revenue bonds") ,
issued in the original principal amount of $195 ,000 00, con-
sisting of 195 bonds in the denomination of $1,000 00 each,
and maturing serially on March 1 in varying amounts of prin-
cipal in each of the years 1949 to 1967 , both inclusive, of
which bonds in the principal amount of $35 ,000 00 are pres-
ently outstanding , consisting of bonds numbered 156 to 170,
both inclusive, and 176 to 195 , both inclusive, and the
City of Fort Collins Sewer Improvement Revenue Bonds, Series
January 1, 1959 (herein sometimes designated as the "1959
revenue bonds") , issued in the original principal amount
of $300,000 00, consisting of 300 bonds in the denomination
of $1,000 00 each, and maturing serially on the first day
of January in varying amounts of principal in each of the
years 1960 to 1974, both inclusive, of which bonds in the
principal amount of $257 ,000 00 are presently outstanding,
consisting of bonds numbered 44 to 300, both inclusive
The principal of the Refunding Bonds (with other moneys)
will be used to refund, pay and discharge the interest on
and the principal of the 1948 revenue bonds and the 1959
revenue bonds at their respective maturities
ADDITIONAL OBLIGATIONS Bonds or other obligations
subject to expressed conditions may be issued and made pay-
able from the net revenues of the sewer system and having a
lien thereon subordinate and ,junior to the lien, or, subject
to additional expressed conditions, having a lien thereon on
a parity with the lien of the 1965 revenue bonds herein
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designated for sale, in accordance with the provisions of
the bond ordinance
AUTHORIZATION OF BONDS The 1965 revenue bonds
herein offered for sale are to be issued pursuant to the
6-1-65 sewer revenue bond ordinance, therein prescribing,
among other matters , the form, terms and conditions of the
bonds, the manner and terms of their issuance, the manner
of their execution, the method of paying them, the security
therefor, the disposition of revenues derived from the sewer
system, and other details concerning the bonds and the sewer
system, including but not limited to covenants and agreements
in connection therewith, reference to which ordinance is
made for further details
PURPOSE OF SERIES The Improvement Bonds are
issued for the purpose of the improvement and extension of
the City' s municipally owned and operated sewer system by
the construction and other acquisition of additional sewage
collection and treatment facilities and everything necessary
or incidental thereto The Refunding Bonds were authorized
to be issued for the purpose of refunding, paying and dis-
charging a like principal amount of outstanding sewer revenue
bonds (see "Outstanding Bonds" above)
CORPORATE ORGANIZATION The City is a municipal
corporation duly organized and existing as a home-rule city
with a "Council-Manager government" under Article XX of the
Constitution of the State of Colorado and a Charter framed
and proposed by a charter convention elected on the 22nd day
of June , 1954, and adopted by the qualified electors of the
City at an election held therein on the 5th day of October,
1954
POPULATION The City' s population, as shown by
the 1960 Federal Census, was 25 ,027, and the City' s popula-
tion is currently estimated to be 33,000
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v
TERMS OF SALE
BID PROPOSALS No specified form of bid is
required Any bidder is required to submit an unconditional
and written bid for either or both subseries therein desig-
nated specifying
(1) The lowest rate or rates of interest and
premium, if any, at or above par at which the bidder
will purchase the bonds of each subseries bid upon
It is also requested for informational purposes only but is
not required that each bid disclose for each subseries bid
upon (as computed from the date of the bonds)
(2) The total net interest cost in dollars and
cents to the City, and
(3) The average net interest rate in a stated
per centum
Each bid must also be enclosed in a sealed envelope marked
on the outside
"Proposal for Bonds"
and addressed to
Mr Miles F House
City Clerk
P 0 Box 580
Fort Collins, Colorado 80522
Bids may be submitted by any bidder for either or both of
the subseries herein designated for sale, but any bid must
be for all the bonds of each subseries therein designated
Any bid containing a provision requiring the acceptance of
bids for both subseries will be rejected, unless each bid
for each subseries so designated is the best bid therefor
BID CHECK Each bid shall be accompanied by a
separate cashier' s check of or a certified check drawn on
a solvent bank or trust company for each subseries bid upon,
made payable to the City of Fort Collins, in an amount of
at least $75 ,000 00 for the Improvement Bonds and $10,000 00
for the Refunding Bonds Such checks will be held as evidence
of good faith pending the delivery of the bonds , and such
checksshall be promptly returned to any such bidder if his
bid or bids be not accepted
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V
BIDDER' S OPTIONS It is permissible, subject to
expressed limitations, for any bidder
(1) To bid different or split interest rates
for the bonds (see "Interest Rate" above) , and
(2) To be relieved of the bidder' s obligation
to purchase the bonds herein offered due to the repeal
of the exemption for federal income taxes (see "Tax
Status" below)
TAX STATUS In the opinion of bond counsel, the
interest on the bonds is exempt
(1) From state income taxes of the State of
Colorado under its present laws, and
(2) From taxation by the United States under
present federal income tax laws
In the event that prior to the delivery of the bonds to the
successful bidder for the bonds herein offered for sale,
the income received by private holders from obligations of
the same type and character shall be taxable by the terms of
any federal income tax law hereafter enacted, the successful
bidder at its election made prior to the delivery of the
bonds , may be relieved of its obligations under the contract
to purchase the bonds In such case the contract to pur-
chase the bonds will terminate, and the deposit accompany-
ing the purchaser' s bid will be returned upon written
request therefor being made to and received by bond counsel
prior to the delivery of the bonds
SALE RESERVATIONS The City Council reserves the
privilege
(1) Of waiving any irregularity or informality
in any bid
(2) Of rejecting any and all bids for the bonds,
and
(3) Of reoffering the bonds for sale as provided
by law
BASIS OF AWARD The bonds of each subseries,
subject to such reservations, will be sold to the highest
and best responsible bidder making the bid for such subseries
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v
to the best advantage of the City, which bid will be deter-
mined by deducting the amount of the premium bid, if any,
from the total amount of interest which the City would be
required to pay from the date of the bonds of such subseries
to their respective maturity dates at the coupon rate or
rates specified in the bid, without reference to the possible
redemption of any of the bonds prior to maturity, and the
award will be made on the basis of the lowest net interest
cost to the City If there are two (2) or more equal bids
for any subseries, and if such equal bids are the best bids
received and are for not less than the principal amount of
the bonds of said subseries and accrued interest, the City
Council will determine which bid will be accepted
SALE BELOW PAR, COMMISSION AND DISCOUNT PROHIBITED
None of the 1965 revenue bonds will be sold at less than
their principal amount and accrued interest to the date of
delivery, nor will any discount or commission be allowed or
paid on the sale of the bonds
TIME OF AWARD The City Council will cause bids to
be opened at the time hereinabove specified It intends to
take action, upon determining the best bid or bids, awarding
the bonds or rejecting all bids for the bonds of any subseries,
at a regular meeting at City rlall Council Chambers ,
in Fort Collins, Colorado, convening at the hour of 1 30
o'clock ip m , Mountain Standard Time, of the day herein spe-
cified for opening bids In any event the City Council will
take action awarding the bonds or rejecting bids not later
than twenty-four (24) hours after the expiration of the time
herein specified for opening bids
MANNER AND TIME OF DELIVERY The deposit of the
best bidder for each subseries will be credited to the pur-
chaser thereof at the time of delivery of the bonds (without
accruing interest) If the successful bidder for any sub-
series fails or neglects to complete the purchase of the
bonds of said subseries within ten (10) days after the bonds
of said subseries are made ready and are tendered by the
City for delivery, the amount of this deposit will be
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J
forfeited (as liquidated damages for non-compliance with the
bid) to the City, except as hereinafter provided In that
event the City Council may reoffer the bonds of said subseries
for sale as provided by law The purchaser of a subseries
will not be required to accept delivery of any of the bonds
thereof if all the bonds of said subseries are not tendered
for delivery within seventy (70) days from the date herein
stated for opening bids, and if the bonds are not so tendered
within said period of time, the good faith deposit will be
returned to the purchaser upon its request The City contem-
plates however, effecting the delivery of the bonds of both
subseries to the purchasers thereof in about forty-five (45)
days from the date herein designated for opening bids and as
soon as reasonably possible thereafter
PAYMENT AT AND PLACE OF DELIVERY The successful
bidder or bidders will be required to accept delivery of,
and to make payment of the balance due for, the bonds of each
subseries
(1) At some bank or trust company in the City and
County of Denver, Colorado, or
(2) At the successful bidder' s request and expense ,
at some other bank or trust company in the United States
of America, as requested
Payment of the balance of the purchase price due for the bonds
of a subseries at delivery must be made in funds acceptable
to the City and to the bank or trust company designated as
the place of delivery for immediate and unconditional credit
to the City, or as directed by the City The place of deliv-
ery of one subseries, however, shall not be so removed from
the place of delivery of the other subseries as to make unnec-
cessarily difficult their more or less simultaneous issuance
The City reserves the right to limit the place of delivery as
provided in this paragraph to the extent the City deems it
desirable so to do to issue the Improvement Bonds and Refund-
ing Bonds more or less simultaneously
LEGAL OPINION, BONDS AND TRANSCRIPT The legality
of the 1965 revenue bonds will be approved by Messrs Dawson,
Nagel, Sherman & Howard, Attorneys at Law, 1900 First National
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1
Bank Building , Denver 2, Colorado whose unqualified, final,
approving opinion, together with the printed bonds and a
certified transcript of the legal proceedings , including a
certificate stating that there is no litigation pending
affecting the validity of the bonds as of the date of their
delivery and other closing documents will be furnished the
purchaser without charge by the City A certified true copy
of the approving opinion of bond counsel shall be printed on
each bond thereof at the City' s expense
INFORMATION This Official Notice of Bond Sale (a
condensation of which was ordered published) and financial
and other information concerning the City and the 1965
revenue bonds may be obtained from the City' s City
Clerk —�_ and its Fiscal Agent, respectively, as
follows
Mile-s F_s House _ _—_
_ 20ity'_Clerk� — _-- -- —
_Z.=0�_Bcx_._580— —
Ec t C o 111 as_,_.0 o.�_ado-- 8,9522
and
Boettcher and Company
828 Seventeenth Street
Denver, Colorado 80202
FORM OF OPINION The final and unqualified approv-
ing opinion appertaining to the 1965 revenue bonds will
recite, in conventional form, that the designated bond counsel
has examined the Constitution and laws of the State of Colo-
rado, the Charter of the City, and a certified copy of the
record of the proceedings of the City Council taken prelim-
inary to and in the issue of the bonds of the issue, describ-
ing them in some detail and that bond counsel has examined
bonds numbered I-1 and R-1 of said issue and has found the
same properly executed and in due legal form The last
paragraph of the opinion will read (subject to the provisions
hereinabove entitled "Tax Status") substantially as follows
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_& q
"It is our opinion that
"(1) Such proceedings show lawful authority for
the 1965 revenue bonds under the laws of the State of
Colorado and the City of Fort Collins now in force ,
"(2) The 1965 revenue bonds are valid and legal
obligations of said City, payable, and payment shall be
made, solely from the net revenues derived from the
operation of the municipal sewer system (except for
sewer trunk line assessments, sewer main line assess-
ments, and sewer tap fees) , the net income of which
is pledged therefor, and as security for such payment
there are irrevocably and exclusively pledged two spe-
cial funds identified as the 'City of Fort Collins,
Colorado, Sewer Refunding and Improvement Revenue
Bonds, Series June 1, 1965 , Interest and Bond Retire-
ment Fund, ' and as the 'City of Fort Collins, Colorado,
Refunding and Improvement Revenue Bonds, Series June 1,
1965 , Reserve Fund, ' into which funds the City has
covenanted to pay from the revenues derived from the
operation of the sewer system, after provision only
for all necessary and reasonable expenses of the opera-
tion and maintenance of the sewer system, sums suffi-
cient to pay when due the principal of and the interest
on the bonds , and to create and maintain a reasonable
reserve for such purpose
"(3) Said 1965 revenue bonds constitute an irre-
vocable and first lien (but not necessarily an exclu-
sively first lien) upon the revenues of said sewer
system, subject to designated exceptions, after provi-
sion only for the aforesaid payments of operation and
maintenance expenses,
"(4) The bonds comprising Subseries R have been
issued to refund, pay and discharge, on and before the
first day of January, 1974, the City' s revenue bonds
outstanding in the aggregate principal amount of
$292 000 00 and designated 'City of Fort Collins sewer
anc water Revenue Bonds , ' dated March 1, 1948, and
'City of Fort Collins Sewer Improvement Revenue Bonds,
Series January 1, 1959, ' the payment of the designated
issues being refunded having been secured by a pledge
of the net income of the municipal sewer system, but
for the payment of which there have been deposited in
escrow with THE FIRST NATIONAL s Bank in Fort
Collins , Colorado, refunding bond proceeds, and other
moneys , except to the extent of their investment in
direct obligations of the United States of America,
and, according to a report of Peat, Marwick, Mitchell
& Co , certified public accountants, the escrow,
together with the interest on and any other yield from
said federal securities, is fully sufficient, at the
time of the deposit and at all times subsequently, to
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pay the principal of and the interest on the outstand-
ing bonds so refunded as the same become due, and
"(5) Interest on the 1965 revenue bonds is exempt
from taxation by the United States of America under
present federal income tax laws and such interest is
also exempt from the state income taxes of the State
of Colorado under its present laws "
By order of the City Council of the City of Fort
Collins , Colorado, dated this llth day of March , 1965
/s/(For Manual Signature)
Mayor
City of Fort Collins
(SEAL)
Attest
Is/(For Manual Signature)
City Clerk
(End of Form of Official Notice of Bond Sale)
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i
Section 5 That bids for said bonds shall be
opened at the time, place and manner provided in the Official
Notice of Bond Sale as herein prescribed
Section 6 That the officers of the City be, and
they hereby are, authorized and directed to take all action
necessary or appropriate to effectuate the provisions of
this resolution
Section 7 That all orders, by-laws and resolu-
tions, or parts thereof, in conflict with this resolution,
are hereby repealed
Section 8 That if any one or more sections,
sentences , clauses or parts of this resolution shall for
any reason be questioned or held invalid, such judgment
shall not affect impair or invalidate the remaining pro-
visions hereof, but shall be confined in its operation to
the specific sections, sentences, clauses or parts of this
resolution so held invalid
Section 9 That this resolution shall be in full
force and effect after passage and approval
PASSED AND APPROVED this llth day of March
1965
I$Vy
(SEAL)
Attest
City Clerk
-95- s '
s
It was thereupon moved by Councilman L J. McMillan
and seconded by Councilman R L Colwell that any rule of
the City Council which would prevent the passage of said
resolution at this meeting be suspended, and said resolution
be placed upon its final passage The roll was called upon
said motion with the following results
Those Voting Aye Harvey G Johnson
R L Colwell
L J McMillan
James W Guyer
Lorraine A Q-uinn
The presiding officer declared the motion carried
and the rules suspended, and said resolution placed upon its
final passage Quinn
Counci*oman Lorraine A then moved that said
resolution be passed as read Councilman James W Guyer
seconded the motion The motion being upon the final
passage of the resolution, the roll was called with the
following results
Those Voting Aye Harvey G Johnson
R L Colwell
L J McMillan
James W Guyer
Lorraine A Quinn
The presiding officer thereupon declared that, at
least a majority of the members present having voted in
favor of said resolution, the said motion was carried and
the resolution duly passed
Thereupon, other business not appertaining to the
City' s sewer system was considered
Thereafter there being no further business to come
before the meeting on motion duly made, seconded and unani-
mously carried, the meeting was adjourned
(gam,) U m6yor
Attest
City Clerk
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STATE OF COLORADO )
COUNTY OF LARIMER ) SS
CITY OF FORT COLLINS )
I Miles F House , City Clerk of the City of
Fort Collins, in the County of Larimer and State of Colorado,
do hereby certify
1 That the foregoing pages numbered from 1 to
96, both inclusive, constitute a full and correct copy of
the record of the proceedings taken by the City Council of
said City at a regular meeting thereof held on the llth
day of March , 1965 , so fares said minutes relate to
the City' s sewer bonds
2 That said copy of said ordinance contained in
said minutes is a full, true and correct copy of the original
of said ordinance as introduced and passed on first reading
by the City Council at said meeting , that the original of
said ordinance has been duly authenticated by the signatures
of the Mayor of said City and myself as Clerk of said City
3 That said ordinance was on the 16th day of
March , 1965 , published in full in the Fort Collins
Coloradoan, a newspaper published, printed and of general
circulation in the City of Fort Collins and being its offi-
cial newspaper
4 That said copy of said resolution contained
in said minutes is a full, true and correct copy of the
original of said resolution as finally passed by the City
Council at said meeting , that the original of said resolu-
tion has been duly authenticated by the signatures of the
Mayor of said City and myself as Clerk of said City
5 That the Mayor and five other members of
the City Council were present at said meeting, and that
five members of said Council voted as in said minutes
set forth
IN WITNESS WHEREOF, I have hereunto set my hand
and the seal of the City of Fort Collins this 16th day of
March , 1965
(SEAL) City Clerk
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The Clerk announced that an ordinance entitled
"AN ORDINANCE AUTHORIZING THE ISSUANCE BY THE CITY OF
FORT COLLINS, COLORADO, OF THE CITY' S NEGOTIABLE,
COUPON "CITY OF FORT COLLINS, COLORADO, SEWER REFUNDING
AND IMPROVEMENT BONDS, SERIES JUNE 12 1965" IN THE
AGGREGATE PRINCIPAL AMOUNT OF $2,4922000 00, PROVIDING
FOR THE REFUNDING, PAYMENT AND DISCHARGE AT THEIR
RESPECTIVE MATURITIES OF THE CITY' S OUTSTANDING REVENUE
BONDS PAYABLE OUT OF AND SECURED BY A PLEDGE OF REVE-
NUES TO BE DERIVED FROM THE OPERATION OF THE CITY'S
MUNICIPALLY OWNED AND OPERATED SEWER SYSTEM, AUTHORIZING
THE DEPOSIT OF FUNDS SO TO REDEEM SUCH OUTSTANDING
BONDS, AUTHORIZING THE IMPROVEMENT AND EXTENSION OF
SAID SEWER SYSTEM BY THE CONSTRUCTION AND OTHER ACQUI-
SITION OF ADDITIONAL SEWAGE COLLECTION AND TREATMENT
FACILITIES AND EVERYTHING NECESSARY OR INCIDENTAL
THERETO, AUTHORIZING THE ISSUANCE OF SUCH BONDS IN
ANTICIPATION OF THE COLLECTION OF REVENUES OF SUCH
SYSTEM FOR SUCH IMPROVEMENTS AND EXTENSIONS, PROVIDING
THE FORM, TERMS AND CONDITIONS OF THE SEWER REFUNDING
AND IMPROVEMENT BONDS, THE MANNER OF THEIR EXECUTION,
THE METHOD OF PAYING THEM, AND THE SECURITY THEREFOR,
PROVIDING FOR THE COLLECTION AND DISPOSITION OF REVE-
NUES DERIVED AND TO BE DERIVED FROM SAID SEWER SYSTEM,
PROVIDING OTHER DETAILS CONCERNING THE REFUNDING AND
IMPROVEMENT BONDS, SAID SEWER SYSTEM, THE BONDS TO BE
REFUNDED, AND FUNDS APPERTAINING THERETO, INCLUDING
BUT NOT LIMITED TO COVENANTS AND AGREEMENTS IN CONNEC-
TION THEREWITH, RATIFYING ACTION PREVIOUSLY TAKEN AND
PROVIDING THE EFFECTIVE DATE HEREOF "
which ordinance was introduced, read in full for the first
time and passed on first reading on the 11th day of
March f 1965 , had, as ordered by the City Council, been
published in full in the Fort Collins Coloradoan, a newspaper
published and of general circulation in the City of Fort
Collins, in its issue of arch 16 1965 , being at
least ten days prior to this meeting, and that the publisher' s
-100-
affidavit of publication of said ordinance is now on file
in the office of the City Clerk
On motion duly made, seconded and unanimously
carried, it was ordered that said affidavit be received,
filed, and preserved among the records of the City Clerk
Thereupon, the Mayor announced that this was the
time and place of a public hearing on said ordinance, which
he designated by title, and that anyone desiring to be
heard should so indicate No one indicated he desired to
be heard thereon
Whereupon, it was moved by Councilwoman Lorraine
A Quinn and seconded by Councilman James W Guyer ,
that said ordinance be placed on its second reading by title
only, and that all rules of the Council which might prevent,
unless suspended, the final passage and adoption of said
ordinance at this meeting , be, and the same are hereby,
suspended for the purpose of permitting the final passage
and adoption of said ordinance at this meeting
The question being upon the adoption of said
motion and the suspension of the rules, the roll was called
with the following result
Those Voting Aye L J McMillan
R L Colwell
James W Guyer
Lorraine A - Quinn
Those Voting Nay None
Those Absent harvey G Johnson
Four members of the Council having voted in
favor of said motion, the presiding officer declared said
motion carried and the rules suspended
No member of the Council having requested that the
ordinance be read in full, said ordinance was read by the
City Clerk by reading the title thereof
-101-
Whereupon, Councilman L J McMillan moved
that said ordinance heretofore passed on first reading, be
now placed upon its final passage Counci�woman Lorraine A
_Quinn seconded the motion The question being upon
the placing of said ordinance upon its final passage, the
roll was called with the following results
Those Voting Aye L J McMillan
R L Colwell
James W. Guyer
Lorraine A. Guinn
Those Voting Nay None
Those Absent Harvey G. Johnson
The presiding officer declared the motion carried
and said ordinance placed upon its dial passage
uinn
Counci'woman Lorraine A. then moved that said
ordinance be finally passed and adopted Councilman James
W Guyer seconded the motion The question being upon
the passage and adoption of said ordinance, the roll was
called with the following results
Those Voting Aye L J McMillan
R L Colwell
--James W Guyer
Lorraine A Quinn
Those Voting Nay None
Those Absent Harvey G Johnson
The presiding officer thereupon declared that at
least a majority of the members present having voted in
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N�
favor thereof, the said motion was carried and the said
ordinance duly passed and adopted
On motion duly adopted, it was ordered that said
ordinance be numbered lj 196K, and after signature by the
Mayor of said City and attestation by the City Clerk, be
finally published in the Fort Collins Coloradoan, a news-
paper published and of general circulation in the City of
Fort Collins Colorado, and be recorded according to law
Thereupon the City Council considered other
business and took other action not concerning the City' s
sewer system
There being no further business to come before the
City Council, on motion duly made, seconded and unanimously
carried, the meeting adjourned
Ass s MaY r
(SEAL)
Attest
J L 2:�-IL z�� -
City Clerk
-103-
STATE OF COLORADO )
COUNTY OF LARIMER ) 5S
CITY OF FORT COLLINS )
I, Miles F House City Clerk of the City
of Fort Collins, Colorado, do hereby certify
1 That the foregoing Ordinance No 15 1965 was
read in full and passed on first reading and ordered pub-
lished at a regular meeting of the City Council held on
Thursday , the llth day of March , 1965 , and was
published in full on the 16th day of March , 19659
in the Fort Collins Coloradoan, a newspaper printed, pub-
lished and of general circulation in the City of Fort
Collins
2 That at least ten days thereafter said ordi-
nance was placed on second reading and final passage at a
regular meeting of the City Council held on Thursdav , the
1st day of April , 1965 that at said meeting said
ordinance was read by title, finally passed, adopted,
approved and ordered published in full again
3 That thelb Ms and three other members of
the City Council were present at the second meeting, that
the members of said City Council voted on the passage of
saia ordinance as in said minutes set forth
4 That said ordinance was, on the 6th day of
April _, 1965 , published in full in the 'fort Collins
Coloradoan, the same being the official newspaper of said
City, published and of general circulation therein and was
recorded as provided in said ordinance and the Charter of
the City of Fort Collins
5 That the foregoing pages numbered 99 to 103,
both inclusive are a true, full and correct copy of the
proceedings of the City Council of said City, insofar as
said minutes relate to the final adoption of Ordinance
No 15 , 1965, a copy of which ordinance is set forth in full
-104-
in the minutes of the meeting held on the 18t day of
-April , 1965 , and a copy of which is likewise attached
to the affidavit of the publisher on file in my office
6 That all members of the City Council were duly
notified of each of said meetings
IN WITNESS WHEREOF, I have hereunto set my hand
and affixed the seal of the City of Fort Collins, Colorado,
this 14th day of April 1965
City Clerk
(SEAL)
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