Ottawa County news. (Port Clinton, Ohio) 1931-1956, 1954-10-08
ORDINANCE NO. 40

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Providing for the issuance of $780,
900 First Mortgage Sewerage Sys-
tenn Revenue Bonds of the City of
Port Clinton under Section IL, Ar
ticIe XVIII of the Constitution of
the state of Ohio for the purpose
of improving and extending the
municipal sewerage system; to au-
thOrize the execution of mort
gage of said system and the extern
siOns and improvements thereto,
and the revenues thereof to secure
said bonds and to secure additional
| parity bonds thereafter authorized; I;
| to define the terms of "a franchise
under which, in ease of foreclosure,
the purchaser may operate said sys-
| tenn: to provide, In event of default,
for the appointment of receiver
to administer said system; and to
declare an emergency.
/ WHEREAS, the City of Port Clin-
ton (herein called the Municipal
ity") now owns and operates as a
public utility hereinafter referred
to as the "Utility'D, a sewerage
system, the services of which are
and are to be supplied to persons
| and corporations within and with
out the corporate limits of the Mu-
| nicipality; and
WHEREAS, based on the recon-
| mendations of Finkbeiner, Pettis &
| Strout, Toledo, Ohio (herein called
the Engineer), the Council of the
| Municipality has determined it nec-
| eSsary to construct "a primary sew
erage treatment plant and intercept
! tor sewers and other sewer facili-
| ties recommended for immediate
completion by the Engineer for such
| purposes (said construction and i'm
! proVement being herein called the
| "Project'O; and
WHEREAS, it is desired to fl
nance part of the cost of the Pro-
ject, and expenditures incident
| thereto and incident to such financ-
ing, and, to the extent of any bal
| ance, other improvements as pro-
vided in this ordinance, by the is
| suance and sale of mortgage reVe-
F., nue. bonds, to be designated First
! Mortgage Sewerage System Reve-
, nue. Bonds, in accordance with Ar
ticle XVIII, Section IL of the Con-
stitution of Ohio, which bonds
Bonds'D together with any addi-
! tional bonds subsequently issued on
/ parity Herewith hereinafter
called Additional Bonds, the I'm
| provement Bonds and Additional
| Bends being hereinafter collective
| ly referred to as the "Bonds") are
| to be secured by the Mortgage
| hereinafter provided for (herein-
after referred to as the Mort
gage"D upon the properties, assets
and revenues of the Utility and by
, franchise to become effective in
| event of foreclosure of the Mort
| gage; and
| WHEREAS, (a) the Municipality
/ had a population according to the
' last Fed eral Census of not less than
! 800 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 reasonable soper-
ating and maintenance charges as
| made by the Engineer is sufficient
| fully to amortize during the life or
| the Improvement Bonds the princi-
| pal and interest thereof, (d) such
| estimated net revenues are equiva-
| lent to not less than one and one
. half times the amount or average
| annual interest charges of the I'M
| provement Bonds and not less than
| 120 times the amount of average
| annual charges for principal and
| interest of the Improvement Bonds
| and (e) the Improvement Bonds, at
| the time of their issuance, Will be
| the only revenue bonds of the Mu-
| nicipality outstanding pledglng rev
| enues of the Utility
| NOW, THEREFORE,, BE 1T Or
| DAINED BY THE COUNCIL OF
| THE CITY OF PORT CLINTON,
OTTAWA COUNTY, OHIO THAT:
| Section /. Sewerage system
Utility Authorization of $3O0,OOO
of Improvement Bonds, Use of
| PrOceeds-The Council of the Mu-
| nicipality hereby finds and deter
! mines that the municipal sewerage
system has been, and shall here
| after be, operated as public util-
| ity, including all extensions of and
| improvements to said system, that,
| prior to the issuance of the I'M
| Pnnd9 rates and charges
| for the services of said Utility shall
| be determined and fixed by Crdl-
| nance of Council in an amount sufft-
| cient to pay the costs OF operating
| and maintaining said Utility and TO
| leave an amount of revenues ade-
| quate Tor the principal and inter-
| est, debt service reserve and re-
| placement requirements and other
wise to comply with the covenants
| herein provided for, and that 1t is
| necessary forthwith to issue and
| sell the Improvement Bonds In a
| principal amount up to 100000 and
| having the terms provided for here
| in, the proceeds to be used for the
| thereto and incidental to the is
| suance and sale of said Improve
| ment Bonds, and, to the extent
| of any balance after paying or
| providing for the foregoing, for
/ other extensions and Improvements
| to the Utility as recommended by
| the Engineer and approved by the
| Municipality and, as to any further
| balance, for payment to the Debt
| Service Reserve Fund.
| Section g Terms OF Improve
ment Bonds and Special Terms of
the Bonds-Except as may be other
| wise provided in any part of the
| Mortgage relating to issuance of
| fully registered Bonds in place of
coupon bonds, the Improvement
| Bonds shall be dated September l,
| 1854; shall be of the denomination
| of One Thousand Dollars ($1,000)
| each; shall be numbered from l to
| 800 as set forth below. The I'm
| provement Bonds shall mature as
| set forth below and shall bear in
/ tsrest payable semi-annually on
! January first and July first of each
year, beginning January 1, 1855 un-
| til the principal sum becomes due
| and payable at the rates set forth
| below, with interest on any over
due principal, and (to the extent
| that payment of such interest is
! enforceable under applicable law)
J on any overdue installment of in
terest, at the rate of six per cent
J per annum.
Bond Interest Amount and
| Numbers Rate Maturity Date
l. s 21a% 5000 Jan. /, 1856
| 1e 0n0 Ian IQS7