Geauga record. [volume] (Chardon, Geauga County, Ohio) 1952-1962, 1954-07-15
ORDINANCE NO. 24s
Providing for the issuan

4ON N4O1l1S All I1AC 100 0dcl11SC
of $85, 1000 First Mortgage
Water System Revenue I'm
provement Bonds of the
Village of Chardon under
Section II, Article XVIII of
the Constitution of the State
of Ohio for the purpose of
improving the municipal wa
terworkS system; to author
ize the execution of a NOR
tgage of said system and
the extensions and improve
mentS thereto, and the rev.
enueS thereof to secure said
bonds and to secure addi-
tional parity bonds hereaft-
er authorized; to define the
terms of a franchise under
which, in case Of forecloS-
ure, the purchaser may op-
crate said system; to pro-
vide, in event of default,
for the appointment of a re-
ceiver to administer S id
system; and to declare an
emergency.
WHEREAS, the Village of
Chardon (herein called tn e
"Municipality") now owns and
onerates as public utility
hereinafter referred to as the
"Utility'D, a waterworks sys-
tenn, the services of which are
and are to be supplied to per
sons and corporations within
and without the corporate lin
it's of the Municipality; and
WHEREAS, based on the rec
omendations of R. A. NC :
Dowel and Associates (hereln
called the Engineer, the Coun-
ell of the Municipality has de-
termined it necessary to ac-
ouire land and rights of way
for. and construct, a e e d I
main from a new well field
(said Improvement being here.
in called the "ProjectD; and
WHEREAS, it is desired tc
finance the Project, and eX
nenditures incident thereto aLo
incident to such financing, and
to the extent of any balance
other improvements as proVld
ed in this ordinance, by the is
suance and sale of mortgage
revenue bonds, to be deslgnat
ed First Mortgage Water Sys
tenn Revenue Improvement
Bonds, in accordance W t n
Article XVIII, Section II of the
Constitution of Ohio, W h 1
bonds hereinafter called I'm
provement Bonds"O together
with any additional bonds sub
seuuently issued on a parity
Herewith hereinafter called
Additional Bonds, the l m
proyement Bonds and Addition
al Bonds being hereinafter col
lectively referred to as n c
"Bonds") are to be secured by
the Mortgage hereinafter pro.
yided for hereinafter referred
to as the "Mortgage~ upon the
properties, assets and revenues
of the Utility and by fran
chise to become effective ir
the event of foreclosure of the
Mortgage; and
WHEREAS, (a) the Munich
paIity had a population accord
ing to the last Federal Census
of not less than 1,50O persons
(b) the Improvement Bonds are
to be issued to provide funds
for additions and bettermentS
to the Utility, (c) the estimate
of net revenues after reason
able operating and maintenance
charges as made by the En-
gineer is sufficient to amortize
fully during the life of the I'M
provement Bonds the principal
and interest thereof, I'D such
estimated net revenues are
equivalent to not less than one
and one-half times the amount
of average annual interest
charges of the improvement
Bonds and not less than LAC
times the amount Of average an
nual charges for principal and
interest of the Improvement
Bonds and (e) the Improvement
Bonds at the time Of issuance,
will be the only revenue bonds
of the Municipality outstanding
pledging revenues of the Util-
ity.
NOW, THEREFORE,, BE 1T
ORDAINED BY THE COUN-
GIL OF THE VILLAGE OF
CHARDON, GEAUGA COUNTY
OHIO THAT:
Section 1.--WaterWorkS SyS =
tenn a Utility-Authorization OF
$85 900 of Improvement Bonds,
Use of Proceeds The Council
of the Municipality hereby finds
and determines that the muni-
cipal water works system has
been, and shall hereafter be,
operated as a public utility, in
cluding all extensions of and
improvements to said system,
that, prior to the issuance of
the Improvement Bonds, rates
and charges for the services
of said Utility shall be deter
mined and fixed by Ordinance
of Council in an amount Suf-
ficient to pay the costs of op-
Grating and maintaining said
Utility and to leave an amount
of revenues adequate for the
principal and interest, d eb t
service reserve and replace =
4%I11r