HomeMy WebLinkAbout1983 Ordinance No. 031\..., ORDINANCE NO, 41
SERIES OF 1983
BY AUTHORITY
COUNCIL BILL NO. 36
INTRODUCED BY COUNCIL
MEMBER _N_E_A_L __ _
AN ORDINANCE AUTHORIZING THE ISSUANCE OF
USE TAX REFUNDING REVENUE BONDS OF THE CITY OF
ENGLEWOOD, COLORADO, IN THE TOTAL PRINCIPAL
AMOUNT OF $2,325,000, P~~ THE PURPOSE OF REFUND-
ING VALID AND OUTSTANDING USE TAX REVENUE BONDS
OF THE CITYJ PRF.SCRIBING THE FORM OF SAID BONDS;
PROVIDING FOR THE PAYMENT OF THE PRINCIPAL OF
AND INTEREST ON SAID BONDS FROM THE REVENUES OF
THE MUNICIPAL USE TAX; PROVIDING FOR THE ESTAB-
LISHMENT OF AN ESCROW ACCOUNT FOR THE PAYMENT OF
THE BONDS TO BE REFUNDED; AND PROVIDING OTHER
COVENANTS AND DETAILS IN CONNECTION THEREWITH ,
WHEREAS, th e City Council has, by Ordinance No. 59,
Seri es 1981, finally passed and adopted on Augu s t 3, 1981, autho-
rized the i s suance of Use Tax Revenue Bonds, Series 1981 A, dated
Sept embe r 1, 1981, in the ;;,rincipal amount of $465,000, and Use
Tax Revenue Benns , Series 1981B, dated September 1, 1981, in the
principal amount of $1,750;000 for the purpose of constructing
improv e~ents t o the municipal golf course and installing imp rove -
men t s to the muni cipal sanitary se wer system; and
WHEREAS , there are presently out.standing, bonds in the
tot al amou nt of $2,135,000, consisting of $450,000 of the Series
1981A B0nd s , and $1,685,000 of the Series 1981B Bonds (collec-
tiv ely the "Outs tand ing Bonds"); and
WHEREAS , the Outstanding Bonds bear interes t from
da te to mat u rity, payable semi-ann u a ' • on May 1 and November 1
eac h ye ar, and matu re serially o r
lows:
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ember 1 each year, as fol-
Series Interest Series Intere st Ma turit~ .ill.1A.. Ra te l1lli Ra te 1983 30,000 12.001 $120,000 12.00, 1984 35,000 12.001 130,000 12 .001 1985 40,000 12.001 145,000 12.00, 19 86 45 ,000 12.001 165,000 12.00, 1987 45,000 10,501 $180,000 10.501 1988 55,000 10 .251 200 ,000 10.251 1989 60,000 10,501 225,000 10.501 1990 65 ,000 10 .751 245,000 10 .75 % 1991 75,000 11. 001 275,000 11. oo,
Th e net e f f e ctive interest rat e o f th e Seri e s 1981A Bonds is 10.9 2 1 per annum, and the Seri es 19818 Bond s i s 10 .921 per a nnum: and
WHEREA S, the bond s of each Se r i es maturing on or before
Novembe r 1 , 1986, a re not r e deemable p rior to thei r respec tiv e
maturity d ates: bo nd s ma tu ri ng on Nov em ber 1, 1987, a nd t he re -
a f te c , are re d e em a ble at the option of the City o n No vem ber 1,
19 86 , and on any inte re st pa ymen t d a te t he r e a ft e r , in i n ve r se
numerical orde r, upon pay!l'en t of par , a c cr ue d in t e r est an d a
premium of 1 I of t he pri nci p al amount thereo f ; and
WH ERE AS , t he Outs t and ing Bo nds wer e issued in accordanco
with t he Constitution and laws of the State o f Col or ad o , ,art ic-
ularly the pro vision s o f Ti tle 29 , Article 2 , Section 11 1, Co l o-
rado Revised St a t ut e s 19 73, as amend ed , a nd the Cit y Char te r,
rela t ing to sales a nd use tax revenue bond s , and p urs uan t t o an
ord in ance duly ad o pted and approved prior t o the i ss uance th e r eof :
and
WHEREAS , t h e Out standing Bo nds a r e payable f rom t he
procee ds from a municipal us e ta x i mp osed a nd coll e cted by th e
Ci t y in accordance with the City Ch a rte r : a nd
WH EREAS , the City Counci l has p r e vi o usly det e r mined that
a significant savings in total principa l a nd i nterest cost would
result by the issu a nce of r e fu nd ing bo nd s for the purpos e of
refunding the Out st anding Bonds ; and
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WHEREAS, Section 106 of the City Charter provides that
the Ci ty Council may authorize the issuance of refunding bonds by
ordi nance , without an election, for the purpose of paying out-
standing bonds of the City, and
WHEREAS, the City Council has, by resolution pas sed and
adopted on June 6 , 1983, provided for the publication of a no tice
of Sijle of refunding bonds to be issue d by the City 1 and
WHEREAS, pursuant to said notice of sal e , bids were
r ecei ved on June 20 , 19 83 fo r the refund ing bonds, and the City
Council has previou sly de termined to award the contract for th e
purchase of said bonds to Kirchner, Moore, Company, th e best
bidder therefor; and
WH EREAS , the re funding bon d s shall be payable from the
p r o c eeds from the im po s ition and collection of the mu nicipal use
tax of t he City and shall have a first a nd prior lien on su ch
pledged revenues; an d
WHEREAS, it i s ne ces sary to prov i de Cor t he forl"II....Of.sa i d
bon ds and th e payment th erefor , and to provide for the payment of
the bonds to be re fund e d;
BE IT ORDAIN ED BY THE CITY CO UN CI L OF 'fHE CI TY OF
ENGLEWOOD , COLORADO :
Section 1 , Authorization . That for the purpos e of
r efunding valid and o utstanding use tax revenue bond s of the City ,
there are hereby authorized Use Tax Refun d ing Revenu e Bonds,
Se ries 1983, o f the Ci ty, in the principal amount of $2,325,000
( "Seri es 1983 Bonds o , Bond s "). The principal thereof · a nd the
interest thereon shall be payable solely and only out of th e
proce eds of the muni cipal use tax authorized pursuant to Section
13 -4-14 of th e Mu nic i pal Code of the City, and the spec ial fund or
funds descr ibed in this Ordinance .
Section 2. Bon d De ta ils. That the Series 1983 Bond s
shal l be iss ued only as fully registered Bond s withou t coupon s in
the denomination of $5,000 each o r any integral multiple thereof.
Unles s the City s ha ll otherwise direct, th e regis tered bonds s hall
be nu mb ered sepa r ately f r om 1 upward , with th e number of each bond
preceded by "R-",
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The bonds shall be dated August 1, . 1983, and bear
interest from date t o maturity, payable on Nov e mber 1, 1983,
a nd semiannually thereafter on the 1st day of May and the 1st day
of November each year, and mature serially on November 1, as
follows:
Amount,_
$ 45,000
75,000
100,000
150,000
200,000
$2 25,000
275 ,000
350,000
400,000
505 ,00 0
Maturity
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
Interest Rate
10.501
10.501
10.501
10.501
8.501
8.501
8.751
a.151 9.~o, 9. 2,,
The net effec t ive interest rate of the series 198 3
Bon d s is 9.03531 per annum.
The Bo nds maturi ng on or before Novemb er 1, 1986, shall
not be redeemable p rior to th~ir respective maturity dat e s. Bonds
maturing on November 1, 1.01, and thereafter, shall be redeemable
at the option of the City, as a whole or in integral multiples of
$5 ,0 00, in inverse o rder of their 'l\aturity, on November 1, 1986,
and on any interest paym ent date thereafter, up on payme nt of par,
accrue d interest and a prem ium of 11 o f the principal amount
thereof.
If less than all of the Bonds within a maturity date are
to b e reciJ;emed on any prior r e demption date, the Bonds to be
redeemed shall be selecte d by lot, in such manner a s the Bond
Registrar shall determine, provided that such selection shall not
have an adverse effect upon the ability of the City to pay the
pcincipal of the Bonds outstanding. The Bonds shall be redeemed
onl y in integral multiples of $5,000. Iu the event a Bond is of a
denomination larger than $5,000, a portion of such Bond may be
r edeemed , but only in the principal amount of_ $5,000 or any
integral multiple t he reof. Such Bond shall be treated for the
purposes of redemption as that nllmber of Bonds which result from
d iv ijing the principal amount of such Bonds by $5,000.
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In the event any of the Bonds or portions thereof (which
shall be i n a mount s e qual to $5,000 or any integral multiple
thereof) are celled for redemp tion as aforesai<l, notice thereof
i den tifyi ng the Bond s Qr por tio ns thereof to be rede e med will be
giv e n by the Bond Registrar by mailing a copy o f the red em pt i on
no tice by fi rs t class mail (postage prepaid) not more than 30 d ays
and not less than 15 days prior t o the date fixed f or redemption
to th e r egistered own e r of each Bond to be redeemed in who l e o r in
part at the addre s s s hown o n t he regi s t ra tion bo ok s ma i nt ain e d by
the Bond Registrar . Failure to give such no t ice by mailing t o any
Bondholder, o r any defect therein, sha ll not af fect the validity
of any pro c eeding f o r the r edemp tion of other Bond s . All Bonds so
c a ll e d for rPdempti on will cease to bear in t erest af t er th e
spec i f ied r e demption date provided f unds for their redemption are
o n depos it at the pl ace of payment at that time.
If the date for paymen t of the pri ncipa l of, p r e miu m, i f
a ny , o r i n te res t o n t he Bond s hall be a Sa t urd ay , Sunday, l egal
holi d ay or a da y o n which banking institutio ns in th e c ity where
the c o rpo r a te trus t o ffi c e of th e Bond Regi s trar i s l ocate d are
autho ri zed by l aw or exec utiv e order to c lose , th e n t he dat e f o r
such payme n t s h all b e the n e xt succeed in g day which is no t a
Saturd ay . Sun d a y , l eg al hol i d a y or a day on wh ich s uc h ba nki ng
inst i tu t i on s are aut horized t o clos e , and p aym e nt on such dat e
sh al l h ~ve th e s a me fo rce and ef fect as if made on th e normal
date of payment .
Se ctio n 3. Payin g Ag ent and Bond Reg is trar. Th e
princ i p al of a nd premium, if any, on the Bonds shall be payable in
lawful mo ney of th e Un i ted Stat e s of America a t The Fir s t Nation a l
Bank of En glewood , i n Engl e wood, Colo r ado , (the "Bond Regist ra r")
or it s s ucce s sor to t he registered owne r of e ach Bo nd upon presen-
t a tion thereof . No t wit r,st an d ing anything c on tai ned in this
Ordinance to th e c on tra~y , interes t on the Bonds s hall be payable
to the pe r son i n wh o se nam e such Bond is r e gi s t e r ~d , a t h i c her
ddd ress a s i t app ears o n the r egis t ra t ion books ma int ained by or
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on behalf of the City, at the close of busin ess on the Record
I__, Date, such date bei ng the fifteenth ( 15th) day of Lhe calendar
month next preced ing the interest paymen t date, irrespective of
an y transfer or exchange of such Bond subsequent to such Record
Date and prior to such interest payment date. Such payme nt shall
be paid by check or draft of the Bond Registerar.
Sect i on 4. Form an d Execution of Bonds. The Bond s
shall be signed with _he facsimile signature o f the Mayo r of the
City , attested and c ountersigned by the facsimile signature of the
Di rect or of Financ e , ex-officio City Clerk-Treasurer, and sealed
with a f acsimile of t he offi cial seal of the Ci ty. When iss ued as
afor es aid as part of sa i d Bonds, such interest coupons sha ll be
th e binding obligations of the City acco rding to t heir import .
Sho uld any officer whose fac s imile signat ure appears on
said Bonds ceas e to be such officer before del i very of the Bond s
t o the pu rc hase r, s uch facsimi l e signature shall neverth e l ess be
val i d and suffi c i ent f or a ll purpo ses .
The Bo nd s shall be in subs t antially the following
form:
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STATE OF COLORADO
( Form of Bond)
(Front of Bond)
UNITED STATES OF AMERICA
~ITY OF ENGLEWOOD
COUNTY OF ARAPAHOE
USE TAX REFUNDING REVENUE BOND, SERIES 1983
No. $5,000
The City of Englewood, in th e County of Arapahoe
and Sta t e of Colorado, for v alu e rece ived, hereby promises to pay
out o f the special funds hereinafter designated but not otherwise,
to _________________________ , o r regi s-
t.red assigns, on November 1, 19 _, the principal sum of
Dollars ($ ___ _ and in
l i ke mann er to pay interest on such principal amo~nt (computed on
the basis of a 360 day year or twelve 30-day mon t hs ) from the
i nte rest payment date next preceding the date of registration and
authentication of th is Bond, unle ss this Bond is regist ered and
auth e ntica t ed prior to November 1, 1983 , in which event thi s Bond
shall bear interest from August 1, 1983, at the rate of
per cent um % ) per annum,
comm e ncing on November 1, 1983 and semiannually thereafter on May
1 and November 1 e ach year , until such principal amount i s paid,
unle s s this Bo nd shall have been previously called for redemption
and p ayment shall have been duly made or pr.ovided for. Both
principal of a nd premium , if any , o n thi s Bo nd are p a yabl e i n
lawful mone y of the Uni ted States of America at 'l'he First National
Bank of Eng l ewood , in Englewood, Colorado, as bond registrar and
paying age nt (the "Bond Regi s trar").
Payment of each installment of i nt eres t s hall be ma ·
to the regist ered ow ne r hereof whose names sha ll appear on the
regi stration books o f the Cit y main tained by the Bond Registrar at
the close of bus iness on the 15th day of th e calendar month next
preceding t he inte res t payment date and shall be paid by check or
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draft of t he Bond Re gi st r a r ma iled t o such registere d own er at h is
or her address as it appea r s on s uc h r e gi s tra tion books or at such
o t he r add r e ss a s ma y be furn ished i n writing by s uch r e gi s t e r e d
o wner t o the Bond Regi st r a r.
Bo nds o f th is i ss ue ma t uring on o r a f ter No v e mber 1,
1987 are s u bject to p r i or redemption a s mo re fully se t f o r th on
the reve r se side of t his Bo nd.
•rhis Bond i s o n e of a se ries aggrega ting
Doll ar s ($_____ p ar value , a ll of l ike
d ate , teno r, a nd ef f ec t except as to numb e r, p rin c ipa l amount a nd
dat e of matur i ty , i s s u e d by t h e City o f Engl e wo o d, Colorado,
for the pu rpose of refund ing valid a nd o u t s tanding u se t a x reve n ue
bonds of the City , under the a u thor ity of and in full confo rmity
with the Consti t ution a nd Law s of the S t ate of Co lora do, p a rtic-
ularly Title 11 , Article 56, Pa rt 1 , Color ado Rev ise d S t a tutes
19 73, as amended , th e Charte r of the Ci t y , a nd p ur s u an t to Ordi-
nance No . , Series of 1983 , of the City d uly passed a nd adopted
pr i or to the i ssua nce of thi s Bo nd . It is h e reb y certified and
recited t h at all of the requ i reme nt s of la w ha v e been ful ly
complied wi t h by t he prope r officers i n issu i ng this Bon d .
Pursuant to Sect i o n 11-56-107(6) of sa id /\rticl e 56 , such recit al
shall conclusively impart full comp l i a nce with a ll o f th e prov i -
sions of said Arti cle , a n d this Bond issued c o n tain ing such
r ec ital is incon tes table for a ny cause whatso ever aft er it s
deli very for v a l ue .
Both the princ ipal o f and i n tere s t on this Bo nd a r e
payabl e solely out of the "City of Eng l e wood Use Ta x Refunding
Revenue Bond Fund Series 19 8 3", or if neces sary , from t he "Cit y of
Englewood Use Tax Refu nding Reven ue Bond Rese r ve Fund ", into which
special funds the City h as covenanted to d epo s it , from t he pro-
ceeds o f a municipal use tax imposed and collected by th e City,
funds su fficient for the paym e nt of t h e p rin c i pa l of and int e r es t
on the bond s of the se ries of which thiG is one a nd t o create and
maintai n a reason able r e serv e fu nd , ( t h e "P l e dg ed · Rev e nu es ") a ll
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as more particul arly set forth in the ordinance authorizing the
issuance of this Bond. The Series 1983 Bonds constitute a first
and prior lien on the special funds referred to a bove (although
not an exclusive such lien). Bonds in addition to the series of
which this is one, subject to expressed conditions, may be issued
and made payable from the Pledged Revenues having a lien thereon
subordinate and jun i o r to the lien, or, subject to other addi-
tiona l expressed condition s , having a lien thereon on a parity
with the lien of th e bonds of the series of which thi s i s o ne, in
accordance wi th the provisions of the Ord i nance authorizing this
Bond.
This Bond does not constitute a debt of the City of
Englewood within the meaning of any con stitutiona l, statutory
or c h ar te r limitation or prov ision, and ohall not be considered
o r held to be a gen e ral obligation of the City . The hold e r o f
th is Bon d may not l oo k to any gene r al or other fun d of the City
fo r th e payme n t of the principa l of or interest on thi s obliga-
tio n, e xce pt t he spec ial f und s r ef e rred to above .
It i s her e by certified, recited and warranted that for
the payme n t of t h is Bo nd, the City ha s crea ted an1 will main t ain
th e spe c ial funds a nd will depo s it therein , ouc of the revenues of
t h e munic i pal use t a x, t h e a mounts a nd reven ue s pecified in s aid
Ord i na nc e, and out o f s aid special funds , and as an irrevo cable
charg e t hereon, will pay this Bond and the inter.est thereon, in
the ma nne r provided by said Ordinance .
It i s furth er recit e d and certified that all require-
men ts cf law and all cond i tions precedent have be e n fully complied
wit h by t he p roper of fic e r s o f the City in the issuance of this
Bo nd.
Fo r the payment of this Bond and the interest thereon,
t he City pledges the exercise of all its lawful corpor ate powers .
REF ERENC E IS HEREBY MADE TO FURTHER PROVISIONS OF THIS
BOND SET FORTII ON THE REVER S E IIEREOF WHICH FUR'fJiER P ROVISIONS
SHALL FOR ALL PUR POS ES HAV E THE SAME EF FE CT AS IF FULLY SET FORTH
IN THIS PLACE.
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Thi s Bond s hall not be valid or become obligatory for
a ny pu r po se or be e ntitle d to any security or benefit und er the
Ord i nance authori zi ng this Bond until the certificate of authen-
t i cation hereon shall have been signed by the Bond Registrar .
IN WITNESS WHEREOF , the City has caused t his Bond to be
e x ec ut e d in i ts name by the facsimile signature of the Mayor,
seal ed with a facsimile of the seal of the City, a nd attested by
th e fa cs imil e sign a t u r e of th e Director of Finance, e x-of f icio
City Cl erk-Treas ur er , all as of the 1st day o f August, 1983.
(FACSI MI LE
S E A L )
ATTESTED:
(Fa c s i mile Sig na ture )
Di rector of Financ e
ex -o f fic i o Ci ty Cl erk-Trea s ur e r
CITY OF ENGLEWOOD, COLORADO
By: _ _._(~F=a=c=s=im==-i~le=---S=ig~n~a~t~u~r~c=-c.) __
Mayor
(Form of Bond Registra r's Certificat e of Authentication]
CEH'l'IFICAT E OF AUTHEN TICAT IO N
Th is Bon d i s one of the Bonds of the issue described in
the within ment i oned Bo nd Ordinan c e ,
Date of Re gi stration
an d Authe nt i c ation :
FIRST NATIONAL BANK OF ENGL ~WOOD,
as Bond Registrar
By
Authorized Officer
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(Back o f Bond)
ADDITIONAL PROVISIONS
Bo nd s of the iss ue of wh ich this Bond is on e maturing on
a nd after No vemb er 1, 1987 are subject to redemp tion prior to
matu r ity , at the option of th e City , as a whole or in int egral
mul tiples of $5,000, in inve r se ord er of t heir maturi t y , on
No ve mb er 1, 1986, and on any interest payme nt d ate thereafter,
upo n payme n t of par and accr ued interest plus a premi um of 11 of
the principal amount sot emed.
If le ss tha n all of the Bo nds within a maturity da t e are
to be redeeme d o n any prior cedemption date, the Bon ds to be
rede eme d s hall be se l e cted by l ot, in such ma nn er as t he Bon d
Regi s trar shall det e rm ine, provi ded th at such selection sha ll not
have an adverse effe c t upo n the ability of t he City to pay th e
principal of the Donds o utsta nding. The Bond s s hall be redeemed
on l y in integra l multiples of $5,000. I n the e vent a Bo nd is of a
denomination larger than $5 ,000, a portion o f such Bond may be
redeemed , but only in the _ principal amount of $5 ,0 00 or any
integ r al multiple t her eo f. Such Bond shal l be trea ted for the
pu rpos es of red emption as th a t numb e r of Bonds which result from
div iding the principal amount of such Bon ds by $5,000.
In the event any of the Bonds or portions the r eof (which
sha ll be in amounts equ a l to $5 ,000 or any integral multiple
the r eof) are called for redemption as aforesaid , notice thereof
id entifying the Bonds or port ion s thereof to be red eemed will be
given by the Bond Registrar by mailing a copy of the redemption
notice by first class mai l (postage prepaid) not mor e than 30 days
and not less thun 15 days prior to the date fixed for redempti on
to the registered owner of a ach Bond to be redeemed in whole or in
part at t he address shown on the r egist ration books maintai ned by
the Bond Registrar . Fai l ure to give su c h notice by mailing to any
Bondholder, or any defect therein, shall not affect the validity
of any proceeding fo r the redemption of other Bonds , All Bond s so
ca lled for r ed emption will c ease to bear i nteres t after the
speci fie d redemption date pr o v ided fu nds for thei r r edemption are
on deposit at t he place of payment at that time.
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If the date for payment of the principal of, premium, if
'--' a ny, or interest o n this Bond shall be a Saturday , Sunday, l e g a l
holiday or a day on which banking institutions in th e city where
the corporate trust office of the Bond Registrar is located are
authorized by law or executive ord~r to close, then the date for
such payment shall be the next succeeding day which is not a
Saturday, Sunday, legal hol :day or a day on which such banking
institutions are a•1thoriz1,d to close, and payment on s uch dat e
shal l have the same force and effect as if made on the nominal
date of payment.
The Bonds are issuable only in the form of registered
bonds without coupons in the denom i nation of $5,000 each or any
integral mu lti ple thereof. The I us uer and the Bond Registrar
ehall not re required (a) to issue or transfer any Bonds during a
period begin ning at the o pening of business on the fifteenth
( 15th) day of the calendar mont h .. ext preceding any interest
rayment date or during the period ~e ~innin~ on any date of selec-
tion of Bonds to be r edeemed and ending at the close of business
on the inte r e r t payment date or day on which the applicable notice
of reden,pti on is given o r (b) to transfer any Bonds selected or
ca ll ed for r ;dempt i on i n whol e or in part . '!'h e City 1n d the
Bond Reg istrar may deem and treat the registered owner hereof as
t he absolute owner hereof (wh e ther or not this Bond shall be
over:lue) for the purpose of receiving payment of or on acco unt of
principal hereof and interest d ue he reon and for all otner pur-
pos~s , and neither the City nor the Bond Registrar shall be
aff ec ted by any notice to the contrary.
The B~n d is transferable by the registe red owner hereof
in person or by his or he r at tor ney du ly authorized in writing, a t
t he p ri ncipal office of the Bond Registrar, bu t only in the manner,
subject to t he limitat ion s and upon payment of the charges pro-
vi d ed in the Bond Ordinar~e , and upon surrender an d cancellation
of this Bond. Upon such tran s fer a new Bond Jr Bonds of the same
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maturity or maturities and of authorized denomination or denomina-
tions, f~r t he same aggregate principal amount, will be issued tu
the transferee in exchange therefor. Bonds may be transferred
upon the registration books upon deliv ery to the Bond Registrar of
the Bonda, accompanied by a written instrument or instruments of
tran s fer in form and with guaranty of signature satisfactory to
the City and the Bond Registrar, duly executed by the owner of
the Bonds to be transferred or his or her attorney -in-fact or
legal representative, containing written i nstructions as to the
det ails of the transfer of s uch Bonds, along with the social
sec ur it y number or federal em ployer i denti fication number of such
transferee and, if such transferee is a trust, the namA and social
security number of the settlo r of the proposed transferee . In al !
cases of the transfer of a Bond, the Bond Regi strar shall enter
the transfer of ownership in the registration books and shall
authen~icate and d elive r in the nam ~ of the trans fe ree or trans-
ferees a new f ully registered Bond or Bonds of authorized denomi-
nation s of the sam e r.:a tu r ity and interest ra t e for the aggre gate
principal amount which the registered owner is ent it l ed to receive
at the earliest practicable time. The City shall pay for any
t ransfer [ee required by th e Oond •teg i s trar relating to the
transfer of the Bo nd o r Bonds .
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(Form of Transfer)
ASSIGNMENT
FOR VALUE RECEIVEU , the undersigned sells, assigns and
t:ansfers unto ---------------------
PLEASE INSERT SOCIAL SECURITY OR OTHER
IDENTIFYING NU MBER OF ASSIGNEE
(Name and Address of Assignee )
the within Eo nd and do es hereby irrevocably co nstit ute an d appoi nt
The F irst National Bank of. Englewood or its successor as Bon d
Re gistrar to transfer the said Bond on the books kept for regis-
t ration thereof with fu ll power of s ubstitution in the premises.
Dated : __________________ _
Sig nature guara .,teed:
:Bank , Trust Compa ny of Firm)
I
NOT IC E: The s ignature to this assignment
must correspond with the name of the
regi stered owner as it appears upon the
face of the within Bond in every
particular, witho ut altera tion or en-
larg ement o r any change whatever.
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Se ct ion 5 . Auth en tic a tion, No Bond s hall be val id or
'--' ob l igato r y fo r a ny p u t'p ose o r be e ntitl e d t o an :, ~ecu ri t y or
be nef it under thi s Ordinance unless and a11til a ce.-~ificate of
authentication on such Bond substantial l y in the form h~r.einabove
s et f orth s h a ll have bee n dul y e xecut e d by th e Bo ~d Regi st rar., a nd
I
s uch execut e d cer~ificate of Bond Registrar upo 1.1 any such B0.ad
shall be conclusive ev i dence t ~at such Bond has be en aut n~nti cated
a nd d e liv e r e d un<J"r thi s Ordin a nce. ·r he Bo nd t!egi s t a r's co 1,tifi-
ca t e of a u thent ivation on an y Bond s hall be deem ed t o have be en
e xec ut ed by it if s ig ne d by a~ authorized of f i cer ~r s i g nato ry of
t he Bon d Re g is trar, b ut i t sha l l not be ne c e ss a r y that t he s ame
office r or signatory s ign th e certificate of auth e ntica t i on on a ll
of the Bond s i ss ue d he re und e r.
Sect ion 6, Delivery of Bonds. Upon the exec utio n and
deli ve r y of t hi s Ordinance, the City s hall execute and deliver
to the Bo nd Reg i s tr ar , a nd the Bo nd Registr a r sh all aut he nticate
t he Bo nd s and d e li v er them to the p ur c h ase r s th ereo f a s d ire cted
by the Ci t y ,
Se c ti on 7. Reg is t r a tion a nd Tra nsfe r of Bond s ; Per s o n s
Tre a t ed a s Owne r s , (a ) The Bond Re g istrar s hall maintain th e
books a( the Ci ty (or th e regi s tra tio n o f o wne r s hip o f each Bo nd
as provided in t h i s Ordin ance . The Bo nd Regi s trar s hall acc ept a
Bon d f or regi st ra t i o n of o wne r s hip only i f ow ne r s h i p the reof i s t o
be r egiste r ed in t he na me o f an ind i v idu a l, a c or po r ation, a
pa rtn ersh i p or a tru s t , a nd on ly u p o n r e ceipt o f t h e nam e a nd
address of each owne r , th e s ocia l secur i ty numbe r of e a ch indi vi-
dua l , the ta x iden tification nu mb e r of e a ch co rpor a tion, par t ner-
s h i p o -t r u s t and the soci al sec uri ty numb e rs of th e settle r a nd
benef i ciar i es o f e ach trus t.
(b) Bon ds may be trans f e rr e d upon th e registration books
upo n d e li v e ry o f the Bo nds to the Bo nd Hegi s t rar, accomp anie d by a
wr itt e n instr ume n t or i nstrume nts o f t ran s fer in form and with
guaran ty of signa tu re s at isfa ctory to t he Ci ty and the Bo nd
-2 8 -
Registrar, duly e xec uted by the ow~er of th e Bonds t o be trans-
ferred or h is attorney-i n-fact or legal representative, containing
wri tte n ins tru ctions as t o the det a il s of the t ran sfe r of such
Bond s , a long with the socia l s ecurity number or federa l employer
identification numbet of such transferee and, if s uch transferee
is a trust, the name and social security num ber of t he settler of
t h e proposed transferee . In the eve nt that a Bond is to be
regi s t e red in the nam o f a nomine e , th e requi Rite informatiou
shall be provided f o r the principa l rath er than s uch nom inee . No
tra nsfer of any Bo nd s hall be effective until entered on the
regist ra tion bo oks,
( c) In all cases of the tra nsfer of a Bond, the Bond
Registrar shall e nte r the transf er of ow ne rship in the r eg i s t ra-
tion books and sh all authenticate and deliv e r in the nam e of the
t r ansferee or t ransferees a new ful ly regi ste r ed Bo nd or Bonds of
auth o rized denominations of the same maturity and in tere st rate
f o r the aggreg~te princ ipal amo un t which the regi stered owner i s
entitled to receive at the ear li es t practicable time in accordan ce
with the provisions of this Ord in ance . Th ere s hall be no trans -
fer fee charged by the Bond Re g ist rar fo r such transfe r.
(di The City an d Bond Registr a r shall not be r e quired
( i) to issue o r transfer any Bonds during a per i od begi nni ng at
t he close of business on the fifteenth (15 th) day of th e calendar
mo nt h next preceding either any i nterest payment da t e or any date
o f se l e ct i on o f Bo nds to be redeeme d and e nd ing at the close of
business on the interest p ayment date or day on wh ich the applic-
able notice o f redemption is given , or (ii ) to tran s fer any Bonds
sel ect e~ or cal led fo r red emption in whole or in part .
(e, New Bo nds d el ivered upon any transfer shall be valid
spe cial o bligati ons of the City, evidencing the same debt as the
Bonds su rrendered, shall be secured by this Ordinance and shall
be entit l ed to al l of the se cur ity and benefits hereof to the same
e xte nt as the Bond s su rrendered.
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(f ) Th e City, Bond Registra ,: and a ny additional paying
agent or oo nd regi s t r ar may treat the registered o wn er of any Bond
as the absolute owner therP.of for all purposes , whether or not
such Bond shall be o v~•du e, and any no tice to the contra r y s hal l
not be binding upon the City or the Bo nd Registrar.
Section 8. De struction ~f Bonds. When e ver a ny Bond
sha ll be delivered to the Bond Registrar for cance llation pursuant
to this Ordinance and upon pa ym e n t of Lhe prin c ip al amount,
premium, i f any, applicable thereto and interest rep r esen ted
th ereby or f or tran s fer , such Bond shall be ca ncell ed and des-
troyed by the Bond Registrar and count e rparts of a certi f icate of
destr uc tion evidencing such de nt ruction shall be furnishe d by the
Bond Registrar to the Ci ty .
Sec tion 9 . Disposition of Bond Proceeds. Sa i d Bonds,
when executed 3S pro vided by l aw, shall be delivered to the
Purchaser t hereof in a ccordance with its contract of purchase, and
the proceeds derived therefrom shall be used e xc lus ive l y for th e
purposes stated herein ; PROVIDED , HOWEVER, that the bond proceeds
shall be temporarily inve sted, pe nding s uch use , in the sec urities
o r obligations hereinafter described. It is hereby covenant ed and
agreed that the temporary investment o r reinvestment of the
original proceeds of the bo nds and proceeds of th e Outstanding
Bonds , if any, which may be or be com e tran sferred proceeds of the
bonds , or the proper portion thereo f, ~hall be of such nature and
e xt ent , a nd f or such period , that the bo nds s hall not be o r become
"arbitrage bo nds " within the meanin g of Section 103(c) of the
Internal Revenue Code of 1954 , as ame nded, and pertinent regula-
tions, rulings and decisions , and such proceeds, when so invested
or reinvested shall be subject to the lim itations and restrictions
o f said Section 103(c), and pert inent regulations, ru ling s and
decisions , as the same now exists or may later be amended .
Neither the Pur chaser of said bonds nor t he ho lder of
any of them sh all be in any way responsible for th~ app lication of
the proceeds of the bonds by the City or any of its officers.
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Section 1 O. Three Percent Municipal Use Tax. Section
13-4-14 of the Municipal Code provides f or a use tax upon the
privile ge of storing , using or consuming within the bondaries of
the City of Englewood, any articles of tangible personal property
purchased at retail from s ources outside the corporate limits of
the City, as more particularly set forth and limited in the Code .
Section 13-4-35 provides that the use tax port i on of the municipal
sa les and use tax sha ll be deposited to a s eparate capital im-
provement account and used for capital improv eme nt purposes. The
use taxes collected and deposited to the capital improvement
acco •rnt shall be placed in a sub-account within the capital
improvement account, and kept separate and apart from othe r funds
of the City and shall be identifiable at all times .
Section 11. Payment of ?rincipal ann Interest. The use
t ax es imposed and collected by the City and deposited to the
capital impr ovem ent account and sub-account ( the "pledged reve-
nues") s hall be use d only in the following manner and order:
A. Bond Funds. There i s hereby established the "City
of Eng lewood Use Tax Refunding Revenue Bond Fund Series 1983" (t he
"1983 Bond Fund"); cove na n ts to deposit, from the pledg e d revenu es
the follo wing amoun ts:
( i) Mon th ly, beginning on or before December 1, 1983,
and on or before the 1st day of each month there-
after, one-twelfth (1 /12) of the principal amount
becoming due on the ne xt principal pa ym e nt d a te.
(ii ) Mont'.1ly , beginning on or before July 1, 1983,
and on or before the 1st da y of each month there-
after , o ne sixth (1 /6 ) of the interest amount due
and paya ble on the next interest payment date;
p r ovided, however, that the payment on Jul y 1 , 1983
sh all be equal to one -third ( 1/3) of the interest
amount due on Novem ber 1 , 1983.
-31 -
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(iii) If additi o n al bo nds are authorized and issued
at a later date, which are payable from the
pledged rev e nues, a nd which have a lien on such
revenues and the 1983 Bond Fund on a parity with
the lien of the Series 19 8 3 Bonds, then payments
may be made to the Bond and Interest Fu,,d for such
additional pa rity lien bo nds concurrently with the
payments fo r the bonds authorized by this ordi-
nanc e .
B, Bond Reserve Fund, The City shall deposit, from
the pledged reve n ues , the amounts required to be deposited to the
Reserve Fund, a s more particularly described in th e following
Section . Payments shal l be ma d e annua l ly to the Reserv e Fund i~
the amount of $30 ,000, on or before Decemb er 1, in e ac h of tte
yea r s 1983 t o 1986, inclusiv e, until the required total amou!'t
h as been depos it ed therein,
If additional parity lien bond s a r e authorized and
issued , then depos i ts may be made to a r es erve fund as a ddit ional
security fo r such bonds , concurrently wi th the payment s to the
reserve f und for the Ser i es 1983 Bond s ,
(C) Other Purposes, After making the paymen ts re quired
by subparagraphs (A) and (B) above , any remaining pledged r ev enues
from th e mun i c i pa l use tax shall be used for the payment of the
principal of an d i nteres t on any additional use tax r evenue bonds
having a lien wh ich is su bordinate to the li en of the Series 1983
Bonds , and for a reserve fund as a dditiona l security for the
payment vf such s ubordina te lien bonds, or for the payment of any
capital improvement s of the City, as the Ci ty Council may from
time to time de termine .
In the e vent that any other funds of the City may be
lawfully availa ble fo r the payment of principal an d interest, the
City may a pp ly such fu nds for s aid p urpo se .
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Section 12, Rese rv e Fund, There i s hereby created
tho "City of Engle woo d Use Tax Refunding Revenu e Bond Reserve
Fund", ( the "Re se rve Fund"), for the purpo se , if necessary,
of paying th e principal of and interest on th e Series 1983 Bonds.
( a ) The Res erve Fund shall be established in the total
amount of $300,000, by the transfer of the amount of $180,000,
which i s presently on depo sit in the "City of Englewood use Tax
Revenue Bond Reserve Fun d ", created as additional sec urity fo r th e
Outstanding Bonds. The balance necessary to fund the 1983 Res e rve
Fund shall be accumulated by the deposit annually of $30,000 on o r
before the 1st day of December in each of the years 1983 to 1986,
inclusive, until the req uir ed amount has been accumulated, Th e
1983 Rese rv e Fund s hall be maintained in the required tota l amoun t
until such time as the amount will be sufficient to pay all o f the
bonds whi ch are then outstanding, a nd the interest thereon , at
whi ch time s uc h monies may be applied to redeem and pay th e
Outstan ding Bonds o r to pa y the same at their norm al maturi ty
date . If money in the 1983 Reserv e Fund i s used to prevent a
d e fault in the payment o f ·the principal of or int erest on the
Ser ie s 198 3 Bonds , then s uch amou nt s shall be re s tor ed to th e 1983
Res erve Fund as soo n thereafter as possible.
Monies held in the 1983 Reserve Fund may be invested or
depos ited as may be directed by the City Cou ncil and i n accordance
wit h the rharter of th e City and t he l aws of the State of Colorado
relating to the depos it or investment of such fu nd &nd monies ,
The investmen t of the 1983 Reserve Fund amount shall, however, be
sub ject to the covenants a nd prov is ions of Secti on 4 hereof. The
amount o f the earnings from such investment o r deposit s may be
ap plied toward the ne xt payment required to be made to the 1983
Rese rve Fund, Wh e n the Re serv e Fund has been accumulat e d in the
total amount o f $300 ,000 , a ny additional interest ear nings shall
be d e po s it ed to the 1983 Bond Fund .
Section 13, Covena n ts of the City . T.h e City hereby
irr evo c ab ly coven ants and ag rees with each and every ho lder of the
bonds , tha t so long as any of sa id bonds remain outstanding:
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(a ) It will not amend or repeal Title 13, Chapt er 4 of
the Municipal Cod e relating to the municipal s a les and use tax
by decr easing the use tax rat e of 3%, or in any way that woulcl
adversely affect the amo unt of use tax revenues which would
otherwise be c ollec t ed. However, nothing shall prevent the City
from amending or repealing Title 13, Chapter 4 in order to make
certain changes in the administration, collection or enforcement
o f s uch use taxes , provided that such chang e s are a dvantag e ous to
the City and would not adversely affect the bondholderR .
(b) It will adminis ter, enforce and collect, or cause
to be administered, enforced and collected, the use tax authorized
by Title 13 of the Municipal Code, and shall take such necessary
action to c o llect delinquent paym e r ~s as shall be authorized by
Title 13, and in accordance with law.
(cl It will keep such books and records showing the
pro ceeds of the three per cent municipal use tax, in which com-
?l ete e ntries sha ll be ma de in accordance with standard princ iple s
o f a ccounti ng , and any o wn e r or hold e r of any of the blaw.
( c) It will kee p s uch books and records showing th e
proceeds of the 3% mun icipal use tax, in which complete entries
sh all be made in acco r Ja nce with s tandard principles of account -
ing , and any owner or holder of any of the bonds shall have the
right at all re asonable times to inspect th e record s and accounts
re lating t o the collection and receipts of such use tax.
It wil l, at least once each ye ar, cause a n audit of the
reco rd s relat i ng to the coll e ction and receipts of the use tax
r evenues, and upon r equest , make available the report of the
audi t or or a ccount a n t, to any holder of such bonds, and shall
mai l a copy of the report to the original purchaser of the bonds.
Such aud it ma y be made part of and included within the general
au dit of the City, a nd made at the same time as the general
aud it .
(d) That i n the event the use taxes o.f the City a re
replaced and superceded by a State collected-locally shared use
ta x or t axes, or are replaced and superced ed in some other manner
-34 -
\....,
from some other source or sources, the revenues deriv ed by the
City f rom s aid replacement source or source s , as re ceive d by the
City shall be appropr i ated in the same man ner a s if the City had
levi e d a nd imposed a municipal use tax, an d in a ccordance with
Title 13 of the Code. From and after the date of said replace-
ment , the bonds herein authorized, and any t he n outstanding pa rity
lien bonds, shall have a first and prior lien, but not necessarily
an e xclusive s uch lien, upon such repl ace ment re venu es to th e
e xtent therein specif ied.
Section 14. Addition al Bonds. No addit i onal bonds s hall
be i ss ued payable from the pledged revenues and having a lien upon
such revenu es which is prior or superior to th e l ien of the bond s
author ized her ein.
However , nothing in thi s Ordinance s hall be cons t rued in
s uch manner as to prevent the i ssuance by th e City of ad ditiona l
bon d s payable f r om the pledged revenu es and constitu t ing a lien
upo n said revenu e s equal to or on a~ with t he lien o f
the bonds a uthorized her ein, provided th e City i s current in t he
payment of principal a nd inter est and the a ccumulation of t he
1983 Res erve Fund for the Ser i es 19 83 Do nds, a nd the pledged
reven ues co llec ted o r received by the City in th e last preced ing
f isca l year is sufficien t t o cover 1.3 5 time s the ave rage a nnu al
p rincipal an d interest r e quirem ent s on the o utstandi ng Series 1983
Bon ds , a nd the propos ed parity lien bo nds; in addition, the
es ti mated p le dged rev enues to be co llected o r rece i v ed in the
fi sc al year i n whi c h th e propos ed par ity li en bonds will be
issued , s hall be at least equal to 1. 50 times the average annual
p rincioal an d in t er es t require me nts of the Serie s 19 83 Bonds
a nd the proposed parity lien bonds. The projected pledged rev e-
n ue s s hall be d ete rmined by an independ e nt c er tifi e d public
accountant , as desi g nated by the City. In th e e ven t that the
percenta9e of th e mun ici pa l use tax has be en increased during the
precedi ng or cu rr ent fis cal year , th e n th~ pl e dged rev enue s c an be
det ermined by applying the n':!w percentag e to t he amount o f us e
-3 5 -
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taxes actually collected during such prior fiscal year, for th e
purpose of determinig compliance with the prior year c ov er age
requirement.
Nothing herein shall prevent the City from i ss uing bo nds
pay1, Jle from the pledged re venues a nd having a lien there on whicil
is ~unior and subordinate to the lien of the bonds authorized
herein.
Sec tion 15 . De feasanc e . When all principal, int e rest
and pr ior r e de mpti o n premium s, i f a ny, in c onne c ti o n with the
bonds hereby authorized have been duly paid, the p l edge a nd lien
a nd a :l obligations hereunder shall thereby be discharged and the
bo nd s shal l no longer be d e emed to be out s tanding with i n th e
meani ng of this ordinance. There shall be deemed to be such due
payme nt when the Ci t y has placed in escrow and in trust with. a
co mmercia l bank locat ed within o r without t he St a t e o f Co l o r ado ,
a nd exe r c i sing trust powers, an amount sufficient (including the
known mi ni mum yie l d from Fed e r a l Securities in which s uc h amou n t
may be init i al ly i nvested ) to meet a ll requir ement s of p rinci pal,
i n terest a nd prior redemption pr emi um, i f a ny , as t h e same be c ome
due to t hei r final ma turit ies o r up o n de s i g na t e d prio r r edemp tio n
dates. The Federal Securities shall become du e at or prior to the
respectiv e t imes on whi c h th e proce ed s thereof shall be neede d, in
accn r dance with a schedule e stablished and agreed upon betwee n the
City a nd such bank a t t h e t ime of the creation of the escrow, or
the Federal Sec uri tie s shal l be sub ject to r e demptio n a t th e
opt i on of t he ho l de r s there.;f to assure such availability as so
needed t~ meet s u ch s c h edul e . The term "Feder a l Securit i es"
wit h in t he me aning of th is se cti o n s h a ll includ e on l y direct
ob l i g at i on s of, o r obligatio ns the principal and i nte r est of which
are uncondition a ll y guaranteed by, th e United State s of America.
Section 16. Re funding Es c r ow Account. Th e proceeds
of su c h Se r ie s 1 9 83 Bo nds , being t he amount of not le ss than
$2 ,27 8 ,500 , shal l be de posit ed by t he Ci t y in a spec ia l f und
and separate tr us t ac count , desi gnat ed as "City of.Englewood Bond
-36 -
Refunding Escrow Account, 1983" ( herein sometimes referred to as
the "R b funding Escrow Account" or "Escrow Account"), 'laid Escrow
Account to be established and ma intained at The Central Bank of
Denver, in Denv er, Colorado, a commercial bank duly organized and
existing under the Laws of the United States of America, being a
member of the Federal Deposit Insurance Corporation, h 1wing full
and complete trust powers (hereinafter sometimes referred to as
the "Bank").
In addition, the amount of accrued int erest on refunded
bonds from May 1, 1983 to the closing date of the Series 1183
refunding bonds, being legally available for such purpose, is
hereby ap p ropriated and shall be deposited by the City in th e
Refunding Escrow Account, for the purpose of supplementing a
portion of the proceeds of such Series 1983 Bonds.
The Bank is hereby authorized and direct ed to pay ,
from the proceeds deposited in said Escrow Account, the admini-
strative expenses if any, related to the issuance of the Series
1983 BonJs an d the pur chas e of th e acquired obligations . The
expen _se r to be paid, if any, are en umerated and th e am o un ts
t he r eof set forth in Exhibit II of the Escrow Agreement, hereto
attached. Further , th e Bank shall provide for the payme nt for
t he acquired obligations and the necessary beginning cash, i f
any , as req u ired in accordance with escrow sufficiency c omputa-
tions verified by a Certified Public Accountant. Thereupon, the
balance, if any, o f the p roce eds shall be return e d to the City and
t h e City shall place the amount in the 1983 Bond Fund to be held
for the paymen t of the pri ncipal of or interest on the Series 1983
Bonds . The foreg oing provision shall apply only to excess funds
on hand in the Escrow Account at the time of delivery of the
Series 1983 Bonds and no further di s tribution of funds on hand
sha ll be mad e to the City except at the time of termination of the
Esc r ow Agreement or as p rovided ther ein.
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The accrued interest, if any, on the series 1983
.....; Bonds, from their date to the date of issuance and delivery
thereof, shall be deposited in the 1983 Bond Fund, and held for
the payment of principal of or interest on the Series 1983 Bond s
when due .
Section 17, Payment of Outstanding Bonds, The Refund-
ing Escrow Account, including therein a portion of the proceeds of
the Series 1983 Bond s a s referred to above, when invested by the
Bank shall at all times be at least su tr ic ient to pay the interest
on, principal of, and prior redemptio1. , ·emiums, if any, for the
Out standing Bonds of the City being re ! :o ded, under and in accor-
dance with the following schedule:
(A l The Outstanding Bond G numbered and maturing as
follows, shall be paid and redeemed on t he respective maturity
dates thereof , according to their original terms:
~
Series 1981A
Bonds
Se ri es 1981B
Bonds
Maturity
1983 to 1986,
incl usive
1983 to 1986,
inclusiv e
Bond Numbers
4 to 33,
inclusive
14 to 12 5 ,
inclu s i ve
(Bl The Outstanding Bonds numbered and maturing as
follows, sh all be , and the same ar e hereby, called for redemption
prior to t he ir mat urity date, and shall be paid on th e Prior
Redemption Date and at the price set forth below:
~
Se ries
19811\
Bonds
Series
1981B
Bon ds
Maturi ty
1987 to '.991,
inclusive
19 87 to 1991,
i nclusive
~
34 to 93,
i nclusive
126 to 350,
inclusive
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Prior Red empt ion
Date and Price
November 1 , 1986,
at par and a c crued
interest plus a
premium of 11
of principal.
November 1, 1986,
at par and accrued
interest plus a
premium of 11
.of principal .
(C) Interest on the Outstanding Bonds which
matures in the years 1983 and thereafter shall be paid semiannual-
ly each year on the proper interest payment dates according to
their original terms, until the Outstanding Bonds mature, or until
the Prior Redemption Date, whichever is earlier,
Section 18 . Investment of Escrow Account, In accor-
dance with the Refu nding Escrow Agreement, th e Bank shall invest
the funds on depo s it in the Refunding Escrow Account in non-
c allable federal securities ONLY, and shall secure fully any cash
ba l ance in said Escrow Account in the manner required by l aw for
ot her trust funds, Notw i thstanding the provisions as herein
s tated in this Section, the Bank may substitut ~ obl igations in the
Refunding Escrow Account pursuant to Sec tion 13 of the Refunding
Escrow Agreement.
Section 19. Additional Deposit s . If, for any reason,
at any time, the funds on ha nd in such Refunding Escrow Account
shall be insufficient to meet such payments, as the same shall be
ab o ut to become due and paya bl e , the City s hall forthwith deposit
in such Refu nd ing Escrow Ac~ount such additional funds as may be
requ ired fu lly t o meet the amount a bout to become due a nd payable.
Section 20. Obligations of Escrow Bank . The Ban k shall
from t i me t o t ime redeem at maturity all or a portion of the
non -c~llable federal securities in said Refunding Escrow Account,
in suffici en t a mounts so that the proceeds therefrom and the
interes t there on a s the same accrues, will be suff ici ent to meet
the interest requirements on the Outstand:ng Bonds as such inter-
est accrues and to pay th e Outstanding Bonds at maturity or on the
Prior Redemption Date acco rding t o the s che dule hereinabove set
for t h .
Se ction 21, Authorization to Execute Escrow Agreement.
Th e Mayor and Director of Finance shall, and they are hereby
authorized and directed to take a ll necessary or appropriate
action toward t he e xecut ion of a proper Escrow Agr~ement with the
Ba nk concerning the d epo sits in, investments of and disbursements
-39 -
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from said Refunding Escrow Account, and such other agreements as
may be necessary or desirable to effectuate the provisions of thi s
Ordinance and comply with the requirements of law. The Escrow
Agreement shall be in substantially the form hereto attached as
Exhibit "A", and incorporated herein by specific reference.
Section 22. Notice of Re funding, Call and Redemption ,
The Director of Finance of the City is hereby authorized and
directed, and he shall give notice of re!unding of the Outstanding
Bond s at the time o f such refunding and again at least thirty (30)
d ays prior t o the Pr i or Redemption Date for the Outstanding Bonds.
Unless additional and more extensive notice is required by law,
the Notice shall be given by publication in s ome newspaper of
general circulation in the City. The Notice shall be publi s hed
one time, at or about the date on which the Series 1983 Bon ds are
issued and del ivered. Notice shall again be published before the
Prior Re demption Date in s uch newspaper, one time, at lea st thirty
(30) days before the Prior Redemption Date. Said Notice shall be
in substant ially the form hereto attached as Exhibit "B" and the
same is here in incorporated ~y specific reference.
In addition to the notice specified above , Notice of
s uch refu nding s hall be se nt by registered ma il, at the time of
such refun ding, to t he following, at the last known address
thereof:
( 1) The First Na tional Bank of Englewood,
Englewood, Col orado
(as paying agent for the Outstanding Bonds)
(2) Kirchner Moore & ~ompany , Denv e r,
Colorado (as the original
purchaser of t he Outstanding Bonds)
(3) Hanifen , Imh off Inc., Denver , Colorado
(4) Co nsolidated Bon d Call
Denver , Colorado
Se ccion 23, City to Take Action. That th ~ officers and
members o f the City Counci l are hereby authorized and directed to
take any and ~ll oth e r ac tions necessary or appropriate to effec-
tuate the provisions of this Ordinance, including, but not being
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v limit.ed to, the execution of such certificates and affidavits as
may reasonably be required by the Purchaser of the Series 198 3
Bonds.
Section 24. Declarat ion and Findings. '!'hat the City
Council of the City, having been fully informed of and having
considered all th e pe rtinent facts and circum s tance s, does
h~reby find, determine and declare:
(A) That the total principal and interes t cost of
th e Series 19 83 Bonds is s ubstanti a lly le ss t han th e
t ot al principal and interest cost of the Out standing
Bonds, and that the net effective interest rate of the
Series 1983 Bonds i s l ess than the net ef f ect iv e inter-
est rat e of th e Outstanding Bonds .
( B) That the funds and investments to be placed
in s aid Esc row Account , tog e th e r with int eres t to
be de riv e d from such inv e stments, are in an amo unt
which a t all time s shall be suff ici ent to pay the
Outst anding Bonds .refunded, at maturity or o n the Prior
Redemption Dat e , a s to pr incipal, int e rest, prior
redemption pr e mi um s , if any , a n d any c harg es of t he
escrow agent and any other costs and expense s payable
therefrom , and that t h e computations made in determining
such suffic i ency have b ee n v er ifi e d by a Certified
Public Accountant1
(C) '!'hat the bonds do not co n sti tute a d eb t o r an
inde btedn ess of the Ci ty wi th in the meaning of any
constitutional, sta tutory or c har ter limitation or
provi s i o n, an d shall not be cvns id ered o r held to
be a general o bliga t ion of the City .
(D ) '!'hat t he issuance o f th e Se ries 1983 Bonds and
the refunding of the Out s tanding Bond s , and all pro-
c ed u res unde rtaken incident thereto, are in full com-
pliance and conformity with all applicab-le requir e ment s ,
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I
I
provisions, and limitations prescribed by the Constitu-
tion and Laws of the State of Colorado thereunto ena b-
1 ing, parti r:ularly Title 11, Article 56, Colorado
Revised Sta t utes 197 3, as amended and the Chart er of the
City1
(El That none of the Outstanding Bonds herein
authorized to be refunded have heretofore been refu nded ,
paid , cance lled or otherwise been discharged, nor shall
any of sa id obligations to be refunded hereaft er b e
refunded, paid, cancelled or otherwis e disch a rged,
except as herein authorized a nd provided, prior to the
date of issuance of the Bonds her e in authorized .
Se ction 25 . Ratification and Approval of Prior Actions.
That all action heretofore taken by the officers and members of
the City Council, not inconsistent with the provisions of this
Ordinance, relating to the authorization , sale, issu ance and
delivery of the Serie s 1983 Bonds , be and the same are hereby
ratified, approved , a nd confirmed .
Se ction 26 . Repealer. All o rdinan ces or parts thereof
in confli ct with th i s Ordinance are hereby repealed.
Sect i on 27. Ordi nance Irrepealable. After the bonds
are issue d , this Ordinance shall be and remain irrepealable
until the bonds and the int e rest thereon s hall have be e n fully
p aid, satisfied and discharged.
Sec tion 28. Severab ility. Sho uld any one or more
sections or prov ision s of this Ordinance be judicially determined
inva lid or unenfo rceab le, such determination sha ll not affect,
imp air o r inval idate the r ema ining provisions hereof, th e inten-
tion being that the various provisions hereof are severable.
Section 29 . Recordi ng and Authentication. This Ordi-
nance , after its final pass age, sha ll be recor d ed in a book
kept for that purpo se, authe nticated by the signatures of the
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Mayo r and Director of Finance and sha ll be published in accordance
with law. This Ordinance shall become effective thirty (30) days
after publication following final passa ge .
Introduced, read in full, a nd pas sed o n first readi nq on the 20th day of June , 1 983.
Published as a Bill for an Or din a nce on the 22nd day of Jun e , 19 83.
Read by title and passed on final reading on the 5th day o[ J uly, 198 3.
Pu blished by title as Ordinance No . J /, Se ries of 1983,
on the ~ day of July, 19 8 3 .
13 th
Attes t :
I , Gary R. Higbee , ex o ffi cio City Clerk-Treasur er of the
City of En g lewood , Colorado , hereby certify that t he abo·,e and
foreg oing is a true, accurate , and complete copy of the Ordinance
pa ssed on f inal reading a nd pub li shed by ti t le as Ordinance
No .s:11_, Series of 19 8 3.
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