Ottawa County news. (Port Clinton, Ohio) 1931-1956, 1948-08-13
ORDINANCE No. 352

| Purpose of Extending and I'm
! proving the Municipal Water
| works System OF Said Village: TIC
Authorize the Execution of a
Mortgage OF Said system, the Ex.
| tensions and improvements there
to, and the Revenues Thereof tc
! Secure Said Bonds; To Provide q
| Franchise To Become Effective In
Event Of Foreclosure of Said
| Mortgage: To Provide in Event OF
Default For the Appointment of a
Receiver to Administer Said Wa
terworks Plant and System And
| To Declare An Emergency.
WHEREAS, the Village of Port
Clinton owns and operates as pub
| lie utility waterworkS plant and
| system for supplying water to the
village and it's inhabitants; and
WHEREAS, Council has determin-
ed that II is Immediately necessary
to make extensions and improve
! ments TO said system. to finance
which extensions and improvements
Council has determined to issue
mortgage revenue bonds under au-
thority OF Section IL OF Article
XVIII of the Constitution of Ohio in
an amount of 100000; and
WHEREAS, the village now has
outstanding certain First Mortgage
Watcrworks Revenue Bonds dated
September 2, 1898, originally au-
thorized in the principal amount of
$4,000 of which there VIII remain
outst;u ding exclusive Of $4,000 in
principal amount of such bonds
heretofore purchased by the village
aad cancelled and retired) as of
September 1, 194S, $4,000 in princi-
pal amount, said First Mortgage
Waterworks Revenue Bonds being
authorized by Ordinance No. 252, as
amended, passed September 7, 1898,
and being secured by an Indenture
of Mortgage hereinafter sometimes
referred to as the First Mort
gage") creating a first lien on all of
the properties and revenues of said
utility including additions, replace
ments and extensions thereto and
providing under Section 35 of said
First Mortgage a franchise under
which the purchaser or purchasers
of the utility at sale upon fore
closure of the First Mortgage shall
be entitled to operate said utility;
said First Mortgage being executed
by the village to the Central Ma
tional Bank OF Cleveland as success
sor trustee and being duly recorded
as real estate mortgage and filed
az chattel mortgage in the records
Of ottawa County:
NOW, THEREFORE,. BE IT OR
DAMNED by the Council of the VII
laEe of Port clinton, ottawa Coun-
ty, Ohio:
Section !. That II Is deemed
necessary for the purpose of ex-
tending and improving the munic-
ipal watcrworkS system of the vii
lage of Port Clinton to issue and
sell mortgage revenue bonds of the
village, In the aggregate amount of
$500, 900; that said bonds shall be
bly,, by n mortgage hereinafter
sometimes referred to as General
Mortgage"D constituting lien on
all the property and revenues Of
said utility, including all additions
and improvements, requirements and
alterations at any time made in re-
spect thereto after provision only
for the reasonable operation and
maintenance thereof, which lien
shall be subject only to the exist
ing prior lien upon said property
and revenues created by the First
Mortgage securing the aforesaid
village of Port Clinton First
Mortgage Waterworks Revenue
Bonds, which vii! as of September
|, 19iS, be outstanding in the prin-
Cipal amount of $4,000 and also
by the covenant OF the village to
maintain certain rates and collect
certain charges for the facilities
and service afforded by said utility,
and by the franchise hereinafter
provided for under which in case of
foreclosure OF the General Mortgage
the purchaser may operate said util-
ity; provided that In the event the
proceedings for foreclosure OF the
General Mortgage include foreclos-
ure OF the First Mortgage, the pur-
chaser shall operate said utility un-
der the franchise as provided in
Section 30 of the First Mortgage
unless the purchaser gives notice
to the village that the purchaser in
tends to operate said utility under
the franchise hereinafter provided
for, which notice shall be given in
writing to the village prior to CON
tirmation by the court of the sale
upon foreclosure of the property
covered by the First Mortgage and
General Mortgage; provided, how
ever, that nothing in this ordinance
shall be construed as pledging the
general credit of the village to the
payment of said bonds or any part
thereof or interest thereon.
Section 2. Said issue shall con-
Sist Of 200 bonds of the denomina-
tion Of $1,000 each, numbered con-
secutively from l to 200, both in
elusive: shall be dated September l,
1898; shall bear interest at the rate
Oh TWO ana three-QuarterS CA %c)
per centuh per ahhum, payable
Selnirahhuhlly on the hrSt days ,of
Mar'h ana september IN each year,
said interest to be evidenced by
coupons to be attached to said
bonds snail be payable as to both
prinUipal ana interest az the ONCE
CT me ONO CitiZenS trust Com
pany' TpIedo' ONO, and shall ma
ture annually on September first as
tollows
$1,000 september !, l949 to 1853,
inclusive
SH,Voo september |, 1854 to 1856,
inclusive