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

ance with their offer to pur-
chase said bonds dated June
IL, 1854.
Section 4. Revenue Fund
and Application Thereof; Spec
ial Funds So long as any
bonds secured by the Mortg-
age remain outstanding, all
from the operation of
the Utility, as now constituted
or hereafter improved or ex-
tended, together with all such
revenues on hand when t h G
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
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, a II 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 tn e
fifteenth days Of February, May
August and November, into the
Debt Service Fund; % 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,
1865, 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, tC
provide the amount annually
necessary to retire (by call OF
otherWiSe) at or before t 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 t h {
Debt Service Reserve Fun d
the sum of $4,000 until there is
$4,000 in said fund, and II
addition, if additional bonds are
issued, 212 percent of the tota
principal amount thereof shall
be paid into said fund eacl
year when the total in sale
fund is less than the total re
Quired to be paid into the Deb
Service Fund with respect t
then outstanding bonds for th(
two ensuing years.
Fourth. Annually as aforesaid
sucn sum in addition to an!
of the foregoing as may bC
necessary and available, afte
meeting the requirements 0
the preceding paragraphs First
Second and Third to make u
any previous deficiency in an.
such annual deposit.
Fifth. Annually between Jan
uary l and April /, beginnin!
in 1856, the revenues remain
ing in the WaterworkS KeVe
nue. Fund at the end of tht
preceding year after paying o.
providing for the amounts pay
able for such preceding yea,
under paragraphs Second, Thirt
and Fourth above and afte.
reServing therein an adequatC
sum as working capital for tht
Utility, as aforesaid, shall b.
transferred to a fund deSignat
ed Surplus Fund, which sur
plus so transferred each year
after deduCting the a m Oun
paid into the Debt Service Re
serve Fund, shall be not les
than SO percent Of the amour
paid in that year to the Deb
Service Fund.
The Debt Service Fund Shal
be maintained in the cuStod.
of the Trustee, and shall bC
used solely for the payment o
the principal and the interes
of the Bonds. Until required fol
such purpose, moneys in t h {
Debt Service Fund may bt
invested in direct obligations o
the United States maturing il
not more than one year from
date of investment.
The Debt Service Reserve
Fund shall be maintained BY
the Municipality in bank de
posit duly secured, and, unit
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 exten
necessary, be transferred tc
the Debt Service Fund to per
nit the payment of all obi
cations payable therefrom after
applying to that purpose any
moneys then in the Surplu
Fund. Any amounts in tn {
Debt Service Reserve Fun d
(including investments) on Dec
ooyobor 21 1Q62 or apu DooaYo