Geauga record. [volume] (Chardon, Geauga County, Ohio) 1952-1962, 1954-07-08

"llASh oman llOL ChIGCu bi4S
fair market value of tn
Bonds SO purchased nor
the redemption price of such
bonds, if any, prevailing at the
time of purchase. Moneys in
the Surplus Fund may be in
vested in direct obligations of
the United States maturing not
more than three years fr ON
date of investment. If at any
time the Municipality h a IL
have provided the T ruSte
with moneys sufficient, togeth-
er with moneys and investment |
then in the Debt Service Fund |
and Debt Service r erve
Fund, to retire in full on the
next available redemption date |
any then outstanding issue of |
Bonds, without thereby reduc-
ing the balance thereafter re-
manning in said Debt Service
Fund and Debt Service Reserve
Fund below the amount which
on such call date would be
required by this Section to be
on hand therein with respect
to Bonds not to be so retired,
the Trustee shall make avail
able out of said Debt Service
Fund and Debt Service Reserve
Fund the amount required, to-
gether with the other moneys
provided, to accomplish such
retirement.
The Construction Fund a
shall consist Of the portion Of
the proceeds Of the Improve
ment Bonds provided for in the
following section and such ad-
ditional amounts as may be
paid into said fund by the
Municipality (2) shall be main
tanned by the Municipality in
a deposit account fully secured
by direct obligations of t h e
United States, and, until re-
quired for the purposes herein
provided, may be invested by
the Fiscal Officer in direct OBJ
legations of the United States
maturing in not more than one
year from date of investment
60 shall be applied to III
purposes for which the proceeds
of the Improvement Bonds are
required to be used under the
foregoing sections of this Or
dinance.
AS used in this Ordinance op-
Grating and maintenance eX =
penSeS shall not include de-
probation or capital replace =
mentS.
Section 5. ALLEGATION of
Of Proceeds of Improve
ment Bonds The proceeds
from sale of the Improvement
Bonds shall be allocated and
are hereby appropriated to the
following funds Of the Utility
hereby established; (a) the por-
ton representing accrued in
terest, to the Debt Service Fund
(b) the portion, if any, rep
reSenting premium, to the Debt
Service Reserve Fund; and (Cl
the entire balance of such pro
ceeds, to the Construction Fund
Section 6. = Additional Bonds
The Municipality shall h V e
the right from time to time
to issue Additional Bonds for
the purpose of providing addi-
tionaI funds, if necessary, for
the completion of the Project,
and otherwise for the purpose
only Of making replacementS,
extensions and Improvements to
the Utility, which Additional
Bonds shall be payable from
the Debt Service Fund a Il d
Debt Service Reserve Fund and
be secured by a lien upon the
properties and revenues Of the
Utility on a parity with t h c
Improvement Bonds, and t h e
Trustee shall authenticate and
deliver such Additional Bonds;
provided, that, when any such
Additional Bonds are issued, the
Municipality shall have furnish
ed to the Trustee the following
certificates:
(A) Certificate of F S l
officer and Legal Officer Of
the Municipality certifying that,
to the best of their knowledge,
the Municipality is not, on the
date of issue of such Additional
Bonds, in default in the per-
formance of any of it's coven-
ants provided in this Ordinance,
in the Mortgage or in tn e
Bonds; and
OBJ Certificate of an indie
pendent engineer, satisfactory
to the Trustee, showing (1) that,
as estimated by such indepen-
dent engineer, the prospective
revenues of the Utility, based
upon rates in effect at tn e
date of issue of the Additional
Bonds and on such independent
engineers estimate of the ex-
penses of operations and main
tenance of the Utility a f t e r
completion of the improvements
extensions or requirements to
be financed by the Additional
Bonds, will, after such expens-
es, be at least equal to the
Required Coverage for issuance
of Additional Bonds, (2) that,
if issued for completion of the
project the amount of such