Geauga record. [volume] (Chardon, Geauga County, Ohio) 1952-1962, 1954-07-08
ORDINANCE NO. 249

oi So5, ,UOO First Mortgage
Water System Revenue I'M
provement Bonds of the
Village of Chardon under
Section IL, 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 aid
system; and to declare an
emergency.
WHEREAS, the Village of
Chardon Cherein called tn e
'Municipality") now owns and
operates as a public utility
hereinafter referred. to as the
"Utility'O, a waterworkS Sys-
tenn, the services Of which are
and are to be supplied to per-
sons and corporations within
and without the corporate linn
it's Of the Municipality; and
WHEREAS, based on the rec
omendations of R. A. Nc -
DoWell and Associates (herein
called the Enginee), the Coun-
Gil of the Municipality has de-
termined it necessary to &C
quire land and rights of way
for, and construct, a f e.e d e r
main from a new we'll field
(Said improvement being here
in called the "Project"); and
WHEREAS, it is desired to
finance the Project, and eX =
penditureS incident thereto and
incident to such financing, and,
to the extent of any balance,
other improvements as proVid-
ed in this ordinance, by the is
suance and sale of mortgage
revenue bonds, to be deSignat-
ed First Mortgage Water Sys-
tenn Revenue Improvement
Bonds, in accordance W tn
Article XVIII, Section II Of the
Constitution of Ohio, W h C h
bonds hereinafter called I'm
provement BondS'O together
with any additional bonds sub
Sequently issued on a parity
herewith hereinafter called
Additional Bonds, the I M
provement Bonds and Addition,
al Bonds being hereinafter col
lectively referred to as t h c
"BondS'O are to be secured by
the Mortgage hereinafter pro,
vided for Hereinafter referred
to as the "Mortgage'D upon the
properties, assets and revenues
of the Utility and by a fran
Chise to become effective II
the event of foreclosure Of the
Mortgage; and
WHEREAS, (a) the Munich
pality had a population accord
ing to the last Federal Census
of not less than 1,500 persons
(bl the Improvement Bonds are
to be issued to provide funds
for additions and betterTnentS
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 prlncipa
and interest thereof, I'D SucE
estimated net revenues are
equivalent to not less than one
and one-half times tht amount
of average annual intereS
charges Of the Improvement
Bonds and not less than l.4(
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 IT
ORDAINED BY THE COUN-
GIL OF THE VILLAGE OF
CHARDON, GEAUGA COUNTY
OHIO THAT:
Section 1.--WaterWorks SyS
tenn Utility-Authorization Of
$4,000 of Improvement Bonds
Use of Proceeds The Council
of the Municipality hereby finds
and determines that the muni
cipaI 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 o1
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
DF olor11otn fO1s tho