Ordinance 1975-13 FHD:GKH
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ORDINANCE NO. 1 3
AN ORDINANCE PROVIDING FOR THE CALL AND
REDEMPTION PRIOR TO THEIR MATURITY OF
CERTAIN OUTSTANDING AND UNPAID WATER
REVENUE BONDS, DATED NOVEMBER 1, 1959 ,
OF THE UNITED CITY OF THE VILLAGE OF
YORKVILLE, KENDALL COUNTY, ILLINOIS,
PROVIDING FOR THE GIVING OF NOTICE OF
SUCH CALL, AND AUTHORIZING THE ESTABLISHMENT
AND DEPOSIT OF FUNDS IN A SPECIAL ESCROW
FUND FOR THE PAYMENT OF PRINCIPAL OF, AND
INTEREST ON, OUTSTANDING AND UNPAID WATER
REVENUE BONDS.
WHEREAS, the UNITED CITY OF THE VILLAGE OF YORKVILLE,
Kendall County, Illinois, has outstanding $55, 000 . 00 Water
Revenue Bonds, dated November 1, 1959, as hereinafter described,
and the CITY has legally available funds to call certain of
said Bonds for redemption and payment, and to pay the principal
thereof and the interest thereon to November 1, 1975; and
WHEREAS, said $43, 000 . 00 Water Revenue Bonds
presently outstanding and held by owners other than the
CITY become subject to redemption and payment prior to
their maturity, at the option of the CITY, on November 1 ,
1975, and as hereinabove referred, sufficient funds will
be legally available to pay in full the principal of said
Bonds and the interest which will become due on said outstanding
and unpaid Water Revenue Bonds , up to and including the
date that said Bonds become subject to redemption prior
to their maturity, and including paying agency fees of the
bank at which said Bonds and interest coupons are payable,
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and also including the fees of the bank in which the special
Escrow Fund is to be deposited, as hereinafter provided for;
and
WHEREAS, it is necessary and for the best interests
of the CITY that said outstanding and unpaid Water Revenue
Bonds of the CITY, held by owners other than the City, be
called for redemption prior to their maturity and that a
special escrow agreement be entered into between the CITY
and the NATIONAL BOULEVARD BANK OF CHICAGO 1
Chicago , Illinois, hereafter designated as
the Bank, pursuant to which the amount of $ 44, 139 . 00
shall be deposited. Said deposit shall be held by said
Bank, in trust, for the payment of both principal and interest
of said outstanding and unpaid Water Revenue Bonds , dated
November 1, 1959, on the date that said Bonds become subject
to redemption and payment prior to their maturity, and that
the form of such special escrow agreement be approved and
the City Council of the City be authorized to execute the
same on behalf of the CITY; and
WHEREAS, the CITY is and has been the owner of
$12 , 000. 00 in Water Revenue Bonds of said issue, and it
is in the best interests of the CITY that the $12, 000 . 00
in Water Revenue Bonds be cancelled and the paying agent
directed to return to the City Treasury all monies held
by said paying agent for the payment of interest upon the
Bonds held by the CITY.
NOW THEREFORE, BE IT ORDAINED by the City Council
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of the UNITED CITY OF THE VILLAGE OF YORKVILLE, Kendall
County, Illinois, as follows:
SECTION 1.
That the CITY, acting by its City Council, hereby
elects to and does hereby exercise its option to call and
redeem, prior to their maturity and on November 1, 1975 ,
at a price of par and accrued interest to said date, the
outstanding and unpaid Water Revenue Bonds of said CITY
described as follows:
$43, 000. 00 Water Revenue Bonds, dated November 1,
1959, of the denomination of $1, 000 . 00 each,
due serially on Mav 1 of each of the years and
in the amounts and bearing interest as follows:
Year Amount Numbers Rate of Interest
1976 $5 , 000. 00 46 to 50 4. 60
1977 5, 000. 00 51 to 5.5 4 . 60
1978 5, 000 . 00 56 to 60 4 . 60
1979 5, 000. 00 61 to 65 4. 60
1980 3 , 000. 00 66 to 68 4 . 6%
1982 5 , 000 . 00 76 to 80 4. 60
1984 5 , 000. 00 86 to 90 4. 6%
1985 5 , 000. 00 91 to 95 4 . 6%
1986 5, 000 . 00 96 to 100 4. 6
and all of said Bonds being subject to redemption and
payment prior to their maturity, at the option of the
CITY, at par and accrued interest to date of redemption,
on November 1, 1975.
SECTION 2 .
That the City Treasurer is hereby ordered and
directed to immediately give notice of the redemption and
payment of said Bonds numbered 46 to 68 inclusive, 76 to 80
inclusive, and 86 to 100 inclusive, described in Section 1
hereof, prior to their maturity, by mail to the National
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Boulevard Bank of Chicago, Chicago, Illinois, such notice
to be addressed to such bank and deposited with postage
prepaid in the United States mail, and such notice also
to be given by being published once in the Wall Street
Journal, Midwest Edition, the same being a newspaper published
and of general circulation in the City of Chicago, Illinois,
and such notice shall be substantially in words and figures
as follows :
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NOTICE OF REDEMPTION OF
WATER REVENUE BONDS,
DAZED NOVEMBER 1 , 1959 OF THE
UNITED CITY OF THE VILLAGE OF YORKVILLE
KENDALL COUNTY, ILLINOIS
Notice is hereby given to the owners and holders of Water
Revenue Bonds, dated November 1, 1959, of the United City of the
Village of Yorkville, Kendall County, Illinois, numbered from 46 to
68, inclusive, 76 to 80, inclusive, and 86 to 100, inclusive, of the
denomination of $1,000 each, and maturing in varying amounts on May
1 of each of the years 1976 to 1980, inclusive, and 1982 to 1986,
inclusive, that the United City of the Village of Yorkville has
exercised its option to call said bonds for redemption and payment
in the aggregate amount of $43 ,000, prior to their maturity, and such
bonds will be paid on November 1, 1975, upon surrender of said bonds
With all interest coupons pertaining thereto, and such payment will
be at a price of par and accrued .interest up to and including
November 1, 1975.
The owners and holders of said bonds are directed. to present
the same for payment at the National Boulevard Bank of Chicago,
Chicago, Illinois, where such bonds and the interest thereon will
be paid.
Notice is further given that said bonds shall cease to
bear interest from and after November 1, 1975•
By order of the City Council of the United City of the
Village of Yorkville, Kendall County, Illinois.
Dated at Yorkville , Illinois, this day of s
1975.
City Treasurer
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SECTION 3.
That in order to provide for the payment of the
presently outstanding and unpaid Water Revenue Bonds, dated
November 1, 1959 , of the UNITED CITY OF THE VILLAGE OF
YORKVILLE, Kendall County, Illinois, including the interest
accruing thereon, paying agency fees and fees necessary for
the establishment and maintenance of the special Escrow Fund
with the NATIONAL BOULEVARD BANK OF CHICAGO ,
as hereinafter provided for, the sum of $ 44, 139. 00
being moneys now on hand and available in the Waterworks
Fund of the CITY shall be depsoited in a special Escrow
Fund with the NATIONAL BOULEVARD BANK OF CHICAGO
under the terms of a special escrow agreement to be in words
and figures as follows :
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SPECIAL ESCROW AGREEMENT
That on the date of this agreement , the NATIONAL BOULEVARD
BANK OF CHICAGO , hereinafter referred to as
the Bank, and the United City of the Village of Yorkville , Kendall
County, Illinois, hereinafter referred to as the City, acknowledge
that the City has deposited in a special account with the Bank
$ 44 , 139. 00 in legally available money, which amount shall
be held by the Bank for the sole and only purpose of paying the
principal of certain bonds heretofore issued by the City and presently
outstanding and unpaid and also the interest coupons pertaining
thereto. Said deposit is sufficient to provide for the payment of
principal of the outstanding, and held by owners other than the City,
Water Revenue Bonds, dated November 1, 1959, and the interest to
accrue thereon, paying agency fees and charges for the establishment
and maintenance of the special Escrow Fund, up to and including the
date of the redemption thereof on November 1, 1975, all of such
outstanding bonds by their terms being payable both as to principal
and interest solely and only from the revenues to be derived from
the operation of the Waterworks system of the City. The bonds being
further described as follows :
$43 ,000 Water Revenue Bonds of the United City
of the Village of Yorkville , Kendall County,
Illinois, dated November 1, 1959, being of
the denomination of $1,000 each, callable on
November 1, 1975, and in the amounts and being
numbered as follows :
Year . Amount Numbers Rate of Interest
1976- $5,000 46 to 50 4 .6%
1977 5 ,000 51 to 55 4 .6%
1978 5,000 56 to 6o 4 .6%
1979 5,000 61 to 65 4 . 6%
1980 3,000 66 to 68 4 .6%
1982 5,000 76 to 80 4 .6%
1984 5,000 86 to 90 4 .6%
1985 5,000 91 to 95 4 . 6%
1986 5 ,000 96 to 100 4 .6%
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That the National Boulevard Bank of Chicago, Chicago,
Illinois, is the place at which the bonds and interest coupons above
described are payable , and the Bank agrees that it will hold the
money so deposited in trust to secure and for the payment of
principal of and interest on the outstanding bonds and will apply
all money so held to the payment of principal of and interest on
the outstanding bonds as such principal and interest fall due by
causing sufficient funds for such payments to be available when due
at the National Boulevard Bank of Chicago, Chicago, Illinois.
Contemporaneously with the execution and delivery of this agreement
the City hereby delivers to Bank a copy of the ordinance which includes
the prescribed form of redemption notice .
That from the principal amount originally deposited in
the special Escrow Fund herein provided for, the Bank shall reimburse
itself for its expenses incurred in the creation, administration,
supervision, safekeeping, maintenance and operation of said special
Escrow Fund, and after all of the bonds and coupons representing
interest becoming due thereon shall have been paid as above provided
for and all fees of the paying agency bank, and all fees and charges
of the Bank as they become due , any funds then remaining in said
special Escrow Fund shall be transmitted to the City Treasurer.
That the Bank shall receive for its services as depositary
hereunder the sum of $ 150. 00 which amount shall be deducted
from the principal amount deposited in this special Escrow Fund and
provision for which has heretofore been made at the time of estab-
lishing said fund. In the event that all of the holders of the
outstanding bonds proposed to be paid may not have presented the
same for payment on or before May 1, 19 77 the Bank shall thereafter
promptly return to the City all funds then on deposit subject to
this agreement , less the Bank' s fees and expenses , and the special
deposit established by this agreement shall then terminate forthwith.
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That all of the rights , powers, duties and obligations of
the Bank under the terms of this agreement shall be irrevocable and
not be subject to amendment and shall be binding on any .successor
during the term of this agreement , and the deposit of the funds in
the special deposit herein provided for by the City shall be irre-
vocable and shall not be subject to amendment by the City and shall
be binding on any successor to the officials now comprising the City
Council of the City and the officers of the City during the term of
this agreement .
IN WITNESS WHEREOF, the United City of the Village of
Yorkville, Kendall County, Illinois , by authority of its City Council,
has caused the seal of said City to be hereto affixed and this
agreement to be signed in its name by its Mayor and to be attested
by the Clerk of said City, and the NATIONAL BOULEVARD BANK OF CHICAGO
Chicago , Illinois , has caused this agreement to be signed in
its corporate name, and not individually but in the capacity as
hereinabove described, by one of its Vice Presidents , and to be
attested by one of its Assistant Secretaries, under its corporate
seal hereunto affixed, and this agreement is hereby executed at
Chicago, Illinois, this day of , 1975, and by
such execution hereof, the Bank expressly acknowledges receipt of the
moneys above referred to and expressly consents and agrees to hold
the same for the purposes and in the manner and under the terms and
Conditions as above provided for.
UNITED CITY OF THE VILLAGE OF YORKVILLE,
KENDALL COUNTY, ILLINOIS
By
(CITY SEAL) Mayor
Attest :
City Clerk
t.
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r
NATIONAL BOULEVARD BANK OF CHICAGO,
ILLINOIS
. By
Vice President
(BANK SEAL)
Attest :
Assistant Secretary
t :
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SECTION 4.
That the Mayor and the Clerk of the City are hereby
authorized to execute, on behalf of the CITY, the Special
Escrow Agreement above set forth, to affix thereto the
corporate seal of the CITY, and to take and perform any
and all acts and actions which may be necessary to effectively
establish and create said escrow agreement with the NATIONAL
BOULEVARD BANK OF CHICAGO , in accordance with the terms
and provisions set forth therein.
SECTION 5.
That Bonds presently outstanding and owned by
the CITY of the 1959 Water Revenue Bond issue dated November 1,
1959 , of the UNITED CITY OF THE VILLAGE OF YORKVILLE, Kendall
County, Illinois are further described as follows :
$12 , 000. 00 Water Revenue Bonds, dated November 1,
1959 , of the denomination of $1, 000. 00 each,
due serially on May 1 of each of the years and
in the amounts and bearing interest as follows :
Year Amount Numbers Rate of Interest
1980 $2 , 000 . 00 69 and 70 4 . 6%
1981 5, 000. 00 71 through 75 4 . 6%
1983 5, 000. 00 81 through 85 4 . 6%
That it is in the best interests of the UNITED CITY OF
THE VILLAGE OF YORKVILLE that the aforesaid Bonds , as described
in this Section 5, shall and the same are hereby declared
cancelled and paid without further action on the part of
the said CITY.
That the National Boulevard Bank of Chicago,
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Chicago, Illinois, as paying agent on the above referred
to Water Bonds, shall pay to the UNITED CITY OF THE VILLAGE
OF YORKVILLE, Kendall County, Illinois, all sums held for
retirement of either principal or interest upon the $12, 000. 00
Water Revenue Bonds as described in this Section 5.
SECTION 6 .
That this Ordinance shall be in full force and
effect immediately and forthwith upon its passage and approval
by the Mayor.
PASSED this day of A.D. 1975 .
City erk
SIGNED and APPROVED this day of ,
A.D. 1975. ��T' //
Mayor