HomeMy WebLinkAbout1978 Ordinance No. 015...
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INTRODUCED AS A BILL BY COUNCILMAN Weber
BY AUTHORITY
ORDINANCE NO. 15' , SERIES OF 1978
AN ORDINANCE AUTHORIZING THE SALE AHO ISSUANCE OF
GENERAL 0BLIGATI0N REFUNDING WATER BONDS, SERIES
1978, IN THE PRINCIPAL AMOUNT OF $8,455,000 OF
THE CITY OF ENGLEWOOD, COLORADO, FOR THE PURPOSE
OF REFUNDING GENERAL OBLIGATION REFUNDING WATER
DONO. , SERIES 1975, AND GENERAL OBLIGATIOR WATER
IMP ''TEMENT BO~DS, DATED FEBRUARY 1, 1978, OF
THE <..::TY OUTSTANDING IN THE AGGREGATE AMOUNT OF
$9,310,000; PROVIDING FOR TllE ESTABLISHMENT OF
AN ESCROW ACCOUNT FOR THE PAYMENT AND REDEMPTION
OF THE OUTSTANDING BONDS TO BE REFUNDED; PROVIDING
FOR THE LEVY OF TAXES TO PAY SAID REFUNDING BONDS
AND THE INTEREST THEREON; AND PRESCRIBING OTHER
DETAILS IN CONNECTION THEREWITH.
WHEREAS, the City of Englewood, in the County of
Arapahoe and the State of Colorado (the •city•), is a political
subdivision of the State, a body corporate and politic, and a
home-rule city pursuant to Article XX of the State Constitution;
and
WHEREAS, the City, by Ordinance• heretofore adopted
and approved by its City Council, haa authorized the issuance
of its General. Obligation Refundinq Water Bonds, Series 1975,
dated April 1, 1975, in the amount of $4,100,000 (the •1975
Iasue•), and its General Obligation Water Improvement Bonda,
dated February 1, 1978, in the amount of $6,700,000 (the •1979
Iaaue•); and
WHEREAS, as of August 1, 1978, there remains outstanding
of aaid 1975 Issue the amount of $2,610,000, being bond• numbered
299 to 820, inclusive, in the denomination of $~,000 each, bearing
intereat payable on Feburary 1 and Auguat 1 each year, and maturing
aerially on Auquat 1, as follows:
Bond Numbers Interest Rate Alllounta Years
(All Inclusive) (Per Annual Maturing Maturing
299 -382 5.301 $420,000 1979
383 -469 5.30\ <135,000 1980
470 -561 5.301 '60,000 1981
562 -656 5.30\ 475,000 1982
657 -756 5.301 500,000 1983
757 -820 5.30\ 320,000 1984
and
WHEREAS, bonds of said 1975 I••ue maturing on and
after Auguat 1, 1983, are redeemable at the option of the City
on AuC]Ust 1, 1982, and on any interest payment date thereafter
in inverse numerical order upon payment of par, accrued interest
and a premium of l\ of principal1 and
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WHEREAS, as of August 1, 1978, there remains outstanding
of said 1978 Issue the full amount thereof, being bonds numbered
l to 1,340, inclusive, in the denomination of $5,000 each, bearing
interest payable December 1, 1978 and aemiannaully thereafter on
the lat day of June and the lat day of December each year, and
maturing serially on December 1, aa followa:
Bond Nwnbera Interest Rate Amounta Years
(All Inclusive) (Per Annum) Maturing Maturi!!i
1 36 6.00\ $180,000 1979
37 -75 6.00\ 195, ODO 1980
76 -116 6.00\ 205,000 1981
117 -159 6.00t 215,000 1982
160 -205 6.00\ 230,000 1983
206 -254 6.00\ 245,000 1984
255 -306 5.00\ 260,000 1985
307 -361 4.90\ 275,000 1986
362 -419 4.75\ 290,000 1987
420 -481 4.75\ 310, 000 1988
482 -546 4.80\ 325,000 1989
547 -615 4.80\ 345,000 1990
616 -688 4.90\ 365,000 1991 ft
689 -766 4.90\ 390,000 1992
767 -848 5.oot 410,000 1993
849 -935 5.00\ 435,000 1994
936 -1028 s.oot '65,000 1995
1029 -1126 5.oot 490,000 1996
1127 -1230 s.oot 520,000 1997
1231 -1340 5.00\ 550,000 1998
and
WHEREAS, bonda of said 1978 Issue maturing on and
after December 1, 1988, are redeemable at the option of the City
ac June 1, 1981, and on any intereat payment date thereafter, in
inverse nwaarical order, upon payment of par and accrued inter-t1 ..
WHEREAS, the City Council has detezained that it is
neceaaary and in the beat interests of the City that the 1975
and 1978 Issues, outstanding in the aggregate amount of
$9,310,000 be refunded by the issuance of General Obligation
Refunding Water Bonda, Series 1978, in the amount of $8,455,000,
reaulting in a reduction of debt service and effecting other
economies, all to the benefit of the City and its inhabitanta,
and in accordance with the City Charter; and
WHEREAS, after published Notice of Sale, General Obli-
gation Refunding Water Bonda, Series 1978, in the principal amount
of $8,455,000, were sold and awarded to the Northern Trust .Co·
of Chicago, Illinois , the highest and best bidder there-
fore, such bid being hereby accepted •
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BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF ENGLEWOOD, COLORADO:
Section 1. That for the purpose of providinq funds
with which to refund and pay $2,610,000 of it• 1975 Issue and
$6,700,000 of its 1978 Issue above described, the City of
Englewood. Colorado, shall issue its General Obliqation Re-
fundi.nq Water Bonda, Series 1978, in the principal amount of
$8,455,000. Said Refundinq Water Bonds shall be dated Auqust
1978; sh&ll conai•t of 1,691 bonds in the denomination of
l,
$5,000 each, numbered l to 1691, inclusive, shall bear interest
payable on August 1, 1979, and semiannually thereafter on the
l•t day of February and the 1st day of Augu•t each year, and
shall mature serially on J\ugust 1, as follows:
Bond Nwnbers Interest Rate Amounts Years (All Inclusive) Cr«'r Annum) Maturin9 Maturin!J
l. -109 6.ROi. $545,000 1979
110 -230
" 605,000 1980
231 -358
" 640,000 1981
359 492 670,000 1982
493 634 " 710,000 1983 " 635 -743
" 545,010 1984
744 -792
" 245,000 1985
793 -844 " 260,000 1986
845 -899 " 275,000 1987
900 -959
" 300,000 1988
960 1022 " 315,000 1989
1023 1091 " 345,000 1990
l.092 -1164 " 365,000 1991
1165 1243 395,000 1992
12« -1327 " 420,000 1993 " 1328 -1416 " 445,000 1994
1417 -1513 " 485,000 1995
l.51.4 -1616 " 515,000 1996
1617 -1691 375,000 1997
The net effective interest rate on this Series of Bonds
is ----"'5;;....:•;...:.7-"'7-'4'""'8'-='5 __ , •
'!'he Refunding lfater Bonds, Series 1978, maturing on and
after August 1, 1988, shall be redeemable prior to their respec-
tive maturity dates, at the option of the City, on Auqust 1,
1987. and on any interest payment date thereafter, in inverse
numerical order, upon payment of par and accrued interest.
Notice of prior redemption of the Refunding Water Bonds,
Series 1978, shnll be given by publication at least once in a
legal newspaper or newspapers custoMarily used by the City for
legal notices, not less than thirty (30) days prior to the
redemption date, and hy mailing a copy of the Notice of Redemp-
tion by registerPd or certified firstclass United States mail,
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postage prepaid, to the original purcha•er or to its successor,
at leA8t thirty (30) days prior to the redemption date. Such
notice shall specify the place and date of redemption, the
amount and numbers of the bonds called, and that from and after
such date interest on all bonds called for redemption shall cease.
The Refunding Water Bonds, Series 1978, and the interest.
coupona attached thereto shall be payable in lawful money of
the United States of America, at The First llation&l Bank of
Englewood, Englewood, Colorado.
Section 2. The Refunding Water 801148, Series 1978,
5hall be •igned with a facsimile signature of the Mayor of the
City, with a facsimile of the •eal of the City affixed thereto.
attested and countersigned by the manual signature of the
Director of Finance, ex-officio City Clerk and Treasurer.
The interest coupon. attached to said bonds shall bear the
facsiaile •ignature of the Director of Finance, ex-officio
City Clerk and Treasurer, and when i.8aue4 as aforesaid as
part of .. id bonds, shall be the binding obligations of the
City accordinq to their import. Should any officer who••
aanua1 or facsilll.ile signature appears on .. id bonds or the
interest coupons attached thereto cease to be •ucb officer
before Clelivery of the bonds to the purcha•er, such manual
or facsiaile signature shall neverthel••• be valid aD4 sufficient
for all purpo ....
·section 3. The Refunding Water llem4a, Seri.ea 1978,
and the inter-t coupons attached thereto 8hall be in •ubstan-
ti&lly the following form:
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(Form of Bond)
UNITED STATES .OF AMERICA
STATE OF COLORADO COUNTY OF ARAPAHOE
CITY OF EBGLEWOOD
GENERAL OBLIGATION REFUNDING WATER BOND, SERIES 1978
No. $5,000
The City of Englewood, in the County of Arapahoe
and State of Colorado (herein the •city•), for value received,
hereby acknowledges itself indebted and promises to pay to
the bearer hereof the principal sum of
FIVE THOUSAHD DOLLARS
in lawful money of the United States of America, on the lat
day of August, 19~-' with interest thereon at the rate of
~~~~~~~~~~~~~~~~ per centum ( •> per
annum, payable August l, 1979, and semiannually thereafter on
the lat day of February and the 1st day of August each year,
as evidenced by interest coupons hereto attached, principal of
and interest on this bond being payable at The First National
Bank of Englewood, in Englewood, Colorado, upon pr .. entation of
said coupona and this bond as they severally become due.
Bonds of this iuue maturin9 on and after August 1,
1988, are redeemable at the option of the City on August 1, 1987,
and on any interest payment date thereafter, in .inverse numerical
order, upon payment of par and accrued interest. Notice of
prior redemption shall be given as provided in the Ordinance
authorizing this Bond.
This bond is issued by the City Council of the City
of Englewood, Colorado, for the purpose of providing funds to
refund valid and outstanding General Obligation Refunding Water
Bonds, Series 1975, dated April l, 1975, and General Obligation
Water Iaprovement Bonds, dated February l, 1978, under the
authority of and in full conformity with the const~tution of
the State of Colorado, and the Charter of said City, and
pursuant to an Ordinance duly adopted, published and made a
law of said City prior to the issuance of this bond.
It is hereby further certified, recited and warranted
that all the requirements of law have been fully complied with
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by the proper officers of the City in the issuance of this
bond; that the totAl debt of the City, including that of this
bond, doe• not exceed any limit of indebtedneaa prescribed by
the Constitution or the Charter of the City1 and that provision
has been made for the application of th• net revenue• of the
vater systma of the City and for the levy and collection of
annual taxes on all of the t&xAbl• property in the City
sufficient to pay the interest on and the principal of this
bond when the same becme due.
The full faith and credit of the City of Englewood.
Colorado, are hereby pledged for the punctual payment of the
principal of and interest on this bond.
IN TESTL'IONY \·;HERI:OP, th• City Council of the City
of Englewood, City, Colorado has cauaed this bond to be signed
with the facsimile si9naturo of the Mayor of the City, sealed
with a facsimile of the aeal of the City, attested and counter-
signed by the manual signature of the Director of Finance,
ex-officio City Clerk and Treasurer, and the attAched coupons
to be signed with the facsimile signature of the Director of
Finance, ex-officio City Clerk and Treasurer, as of the lat
clay of Auqut, 1971 •
(FACSDIILE SEAL)
A'M'ESTED ABO COUNTERSIGNED:
(Do Not Siqn)
Director of Finance, ex-officio
City Clerk and Treasurer
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(Facsimile Signature)
Miyor
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(Form of Coupon)
No . $ ___ _
August,
On the 1 s t day of February, 19 __ , unless the bond
to which this coupon is attached, if redeemable, has been
c alled for prior redmnption, the City of Englewood, in the
Coun t y of Arapahoe and State of Colorado, will pay to
bea rer the amount shown hereon, in lawful money of the
Uni ted States of America, at The First National Bank of
En g l ewood, in Englewood, Colorado, being interest then due
o n i ts General Obligation Refunding Water Bond, Series 1978,
da t e d August 1, 1978, bearing
o.
(Facsimile Signature)
Director of Finance, ex-officio
City Clerk and Treaaurer
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Section 4. When a&id Refunding Water Bonda have
been duly executed the Director of Finance ia hereby directed
to d e liver the bonds to the purcha9er thereof on receipt of
t:he agreed purchase price therefor. The proceeda of the Re-
f und i ng Water Bonds, Seri .. 1978, shall be used only for the
p urpose •tated therein and for paying the coat• and expense•
incurred incidental to the i••uance of aaid Refunding Water
Bo nda and for no other purpose whatever. Neither the purchaser
o f s aid bonds nor the aubaequent holder of any of them ahall
be r e aponaible for the application or diapoaal by the City,
or any of i t• officers, of any of the_ fund• derived from the
sale thereof.
Section 5. If neceaaary, the intereat and principal
to become due on the Refunding Water Bonda, Serie• 1978, in
1979 ahall be advanced from the water fund or any other fund
o f the City available therefor. For the purpoae of reimburaing ••id advance and paying the interest on aaid Refunding Water
Bo nda •• the .... shall become due, and providing for the
ultimate payment and redemption of aaid Refunding Water Bonda,
there shall be levied on all the taxa!>le property of the City,
in addi tion to all other taxea, direct annu.al t.axea in each
o f the year• 1971 to 1996, incluaive, aufficient to make auch
reilllbura..ent and to pay the interest on all of aaid Refundin9
wa t e r Bonda, Serie• 1978, and the inatallmenta of principal,
•• the ...., become due and payable, r .. pectively.
Said taxea, vhen collected, ah&ll be depoaited in
a apecial. fund to be known aa •city of Englewood General
Obligation Jtafunding Water Bond Fund, Series 1978•, and the
proceeda derived fra. said tax•• shall be applied only to
the payment of neceaaary coata and expense• of operating
and ma.intainiDq the water ayatem and to the payment of the
intereat and principal of the Refunding Water Bonda, Series
1978, authorized herein, and for no other purpoae whataoever,
until the indebtedn••• ao contracted purauant to thi• Ordi-
nance , both principal and intereat, ahall bave been fully
paid, satisfied and diachar9ed. Nothin9 herein contained
shall b e s o conatrued •• to prevent the City from applying
a ny other funds or revenue• that .. y be in the City treasury
and available for that purpo•• to the payment of said interest
and p r i ncipal, as the .... reapectively accrue or mature, and
upon s uch payment the levy or levie• herein provided may there-
upon to that extent be diainiahed •
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Section 6. The sums herein provided to pay the
interest on said Refunding \·later Bonda and to cUacharge the
principal thereof when due, are hereby appropriated for that
purpose, and aaid amounts for each year ahall alao be included
in the annual budget and appropriation Ordinance and bill• to
be adopted and paaaed by the City Council of said City ill each.
year. respectively, until aaid Refunding Water Bonda have been
fully paid. satisfied and discharged.
Section 7. Notwithstanding the foregoing provision•
for tax levies, the City hereby further covenant• and agree•
to extabliah, maintain, collect and enforce a achedule of rat•••
fees, tolls and charges for connection to and uae of the water
ayatem of the City, which schedule shall be sufficient to assure
that th• revenue thereby produced, together with any other funds
which may be lawfully available, and the proceed• of general
ad valorem taxes, shall pay all reasonable coats and expenaea
of operatinq and maintaining the water ayat.em and to pay the
interest and principal of the General Obligation Refunding
Watar Bonda, Series 1978, herein authorizee, promptly aa the
same become due and payable, respectively.
Section 8. It shall be the duty of the City Council
of said City, annually, at the time and in the manner provided
by law for levying other City taxea, if aucb action shall be
neceaaary to effectuate the provisions of this Ordinance, to
ratify and carry-out the provisions hereof with reference to
the levying and collection of taxes1 and the City shall levy,
certify and collect such taxes in the manner provided by law
for the purpose of creating a fund for the payment pf the costs
and xpena .. of operating and maintaining the water system, and
the payment of the principal of the Refunding lfater Bonda and
interest thereon, and such taxes when collected shall be kept
for and applied only for such purpose, as hereinabove specified.
Section 9. The proceeds derived from the sale of
the Refunding Water Bonds, Serie• 1978, authorized herein in
an amount not less than $8,455,000, plus cash in the amount of
$ 5 3 2 , 17 3 , which amount includes $355, 690. 00 cash on
hand of the City, the $ 176, 483 premium paid the
City for the Refunding Water Bonds, and the accrued interest
on the bonds being refunded, shall be deposited with The First
tational Bank of Englewood, En9lewood, Colorado (the •sank•) in
a separate fund and escrow account hereby created and known as
•city of Englewood, 1975 and 1978 Issues, Water Refunding Escrow
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Account• herein designated as the •Refunding Escrow Account• or
•Escrow Account•, which account shall at all time• be sufficient,
toqether with any intereat to be derived from the investment
and any temporary reinvestment of the deposit• or any part
thereof only in direct obligations of, or the principal and
inter st of which obligationa are unconditionally guaranteed
by~ the United States of America, to pay the principal of and
intereat on the outstanding 1975 and 1978 Isaues being refunded.
as the same became due and payable under and in accordance with
th following schedule:
1975 Issue:
Bond9 numbered 299 to 820, inclusive, maturing
August 1, 1979 to August 1, 1984, inclusive, shall
be paid and retired at their respective maturity dates
according to their original terms at The First National
Bank of Englewood, Englewood, Colorado.
1971 Issue:
Bonda numbered l to 1340, inclusive, maturing
December 1, 1979 to December 1, 1998, inclusive,
sb&ll be paid and retired at their respective maturity
date• according to their oriqin&l teram at Th• Firat
tional Bank of Englewood, Englewood, Colorado.
Intereat on the outatanding bond• of th• 1975 and
1971 Issue• shall be paid as the same accrues, according to
the original te.rma of said bonds, until said bonds mature.
Section 10. The Bank shall invest the funds on
deposit in the Refunding Escrow Account in direct obligations
of, or the principal and interest of which obligations are
unconditionally guaranteed by, the United States of America,
and •ball fully secure any cash balance in said Eacrow Account
in.th manner required by law for other trust funds.
Section 11. If for any reason, at any ti.Jlle, the
funds on hand in auch Refunding Escrow Account ahall be inauf-
f icient to meet the payments required u the aame •hall be
about to become due and payable, the City Council of the City
ab.all forthwith deposit in such Refunding Escrow Account such
additional funds as may be required fully to meet the amount
so about to become due and payable.
Section 12. The Bank shall from time to time redeem
all or a portion of the obligations in said Refunding Escrow
Account in sufficient amounts so that the proceeds therefrom
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and the intere•t thereon as the same accrue• will be auf ficient
to eet the interest requirements on the outstanding bonds of
the 1975 and 1978 Issues as such intere•t accrue•, according
to the schedule hereinabove set forth.
I Section 13. The Mayor and the Director of Finance,'
ex-officio City Clerk akd Treasurer of the City shall, and
they are hereby authorized and directed to take all necessary
or appropriate action toward the execution of a proper Escrow
Agreement with the Bank concerning the deposits in, investment•
of and disbursements from said nefunding Escrow Account, and
such other agremnents as may be necessary or desirable to
effectuate the provisions of this Ordinance and comply with
the requirements of law.
Section 14. On or about the date when the Refunding
Water Bonda, Series 1978, are delivered, or within a reasonable
ti.me thereafter, the Director of Finance is authorized and
directed to publish a notice of refunding one or more time•
in a newspaper or new•papers customarily used by the City for
legal notices •
Section 15. The City covenants and agreea that it
will make no use of the proceeds of the bonds authorized herein
which might cause such obligations to be arbitrage bonds within
the meaning of Section lOl(c) of the Internal Revenue Code of
1954, as amended, and the Regulations proposed and in effect
thereunder.
Section 16. That if any one or more section or part
of this Ordinance shall be adjudged unenforceable or invalid,
such j udgment shall not affect, impair or invalidate the re-
maining provi•ions of this Ordinance, it being the intention
that the various provisions hereof are severable.
Section 17. All ordinances or parts thereof in
conflict with this Ordinance are hereby repealed.
Section 18. After said Refunding Water Bonda are
issued , this Ordinance shall be and r ... in irrepealable until
said Refunding Water Bonds and the interest thereon have been
fully paid, satisfied and discharged.
Section 19. This Ordinance, aa adopted by the City
Council, shall be numbered and recorded in the official records
of the City. Its adoption and publication shall be authenticated
by the signatures of the Mayor and the Director of Finance,
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ex-of f i cio City Clerk and Treasurer, And by the certificate of
publication.
Section 20. Thi• Ordinance shall take effect thirty
(JO) days after publication following final passa9e.
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I NTRODuCED AS A BILL thi• 3rd day of July, 1971.
Publi shed as a bill on the 5th day of July, 1978.
Read in 'full and passed on final reading
on the 17th day of July, 1978.
Published in full as Ordinance No. 15,
Series of 1978 on the 19th day of July, 1978.
ATTEST:
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