Geauga record. [volume] (Chardon, Geauga County, Ohio) 1952-1962, 1954-07-15

II, 1854.
Section 4. Revenue Fund
and Application Thereof; Spec
ial Funds So long as any
bonds secured by the Mortg-
age remain outstanding, a IL
revenues from the operation of
the Utility, as now constituted
or hereafter improved or ex-
tended, together with all such
revenues on hand when h
Improvement Bonds are deliv-
cred which are not deposited
in the Construction Fund, shall
be transferred or deposited to
the Waterworks System Reve-
nue. Fund" which shall be
maintained, in the name OF the
Municipality, in a bank deposit
separate and distinct from all
other funds of the Municipal
ity. Out of said Fund, an d
after reserving therein at all
times an adequate sum as
working capital for the Utility,
the following payments only
shall be made and In the fol-
lowing order, to wit:
First. All reasonable an d
proper expenses of operating
and maintaining the Utility and
all it's appurtenanceS.
Second. quarterly on the
fifteenth days of February, May
August and November, into the
Debt Service Fund; Cd begin
ming February Is, 1855 an
amount equal to one half of
the interest due on the next
ensuing interest payment date
upon all Bonds outstanding; and
(2) beginning on February Is,
1855, the equal quarter annual
sum necessary to provide for
payment of the next ensuing
principal maturity of all Bonds
outstanding and, if any of such
Bonds shall be term Bonds, to
provide the amount annually
necessary to retire (by call or
otherWiSe) at or before h e
maturity thereof all term
Bonds.
Third. Annually on or before
December 81 of each year COM
mencing with the year ending
December 81, 1855 into tn
Debt Service Reserve F un d
the sum of $4,000 until there is
$4,000 in said fund, and in
addition, if additional bonds are
issued, 212 percent of the total
principal amount thereof shall
be paid into said fund each
year when the total in said
fund is less than the total re-
quired to be paid into the Debt
Service Fund with respect to
then outstanding bonds for the
two ensuing years.
Fourth. Annually as aforesaid
such sum in addition to any
of the foregoing as may be
necessary and available, after
meeting the requirements of
the preceding paragraphs First,
Second and Third to make up
any previous deficiency in any
such annual deposit.
Fifth. Annually between jan
uary / and April l, beginning
in 1856, the revenues remain
ing in the Waterworks Reve-
nue. Fund at the end of the
preceding year after paying or
providing for the amounts pay
able for such preceding year
under paragraphs Second, Third
and Fourth above and after
reServing therein an adequate
sum as working capital for the
Utility, as aforesaid, shall be
transferred to a fund deSignat-
ed Surplus Fund, which sur
plus so transferred each year,
after deducting the a m u n
paid into the Debt Service Re-
serve Fund, shall be not less
than so percent of the amount
paid in that year to the Debt
Service Fund.
The Debt Service Fund shall
be maintained in the custody
of the Trustee, and shall be
used solely for the payment of
the principal and the interest
of the Bonds. Until required for
such purpose, moneys in t h e
Debt Service Fund may be
invested in direct obligations OF
the United States maturing in
not more than one year from
date of investment.
The Debt Service Reserve
Fund shall be maintained by
the Municipality in a bank de-
posit duly secured, and, until
required for any of the pur-
poses hereinafter mentioned,
may be invested in direct obli-
cations of the United States
maturing not more than three
years from date of investment.
Moneys in the Debt Service Re
serve Fund shall, to the extent
necessary, be transferred to
the Debt Service Fund to per-
nit the payment Of all obli-
cations payable therefrom after
applying to that purpose any
r. oneys then in the Surplus
Fund. Any amounts in tn G
Debt Service Reserve Fund
(including investments) on Dec
cember 81, 1868 or any Decem-
ber 31st thereafter, in excess
of the total amounts required |
to be paid into the Debt Serv-
ice Fund in the ensuing two
ryifh 70 ha |