Ordinance 2005-088 ORDINANCE NUMBER
AN ORDINANCE authorizing and providing for the issue of not to
exceed $12,000,000 General Obligation Bonds (Alternate Revenue
Source), Series 2005D, of the United City of Yorkville, Kendall
County, Illinois, for the purpose of financing the construction of a
sanitary interceptor sewer and related improvements, prescribing
all the details of said bonds, and providing for the collection and
segregation of revenues sufficient to pay such bonds.
Adopted by the City Council of said City
on the 2a day of �_ -mwjv, , 2005.
CHI2 600137.5
STATE OF ILLINOIS )
SS
COUNTY OF KENDALL )
FILING CERTIFICATE
I, the undersigned, do hereby certify that I am the duly qualified and acting County Clerk
of Kendall County, Illinois, and as such official I do further certify that on the c ) " day of
2005, there was filed in my office a duly certified copy of Ordinance
No. DCC&&S entitled:
AN ORDINANCE authorizing and providing for the issue of not to
exceed $12,000,000 General Obligation Bonds (Alternate Revenue
Source), Series 2005D, of the United City of Yorkville, Kendall
County, Illinois, for the purpose of financing the construction of a
sanitary interceptor sewer, prescribing all the details of said bonds,
and providing for the collection and segregation of revenues
sufficient to pay such bonds.
duly adopted by the City Council of the United City of Yorkville, Kendall County, Illinois, on
t0 of & k9&Y , 2005, and that the same has been deposited in the official files
and records of my office.
IN WITNESS WHEREOF, I hereunto affix my official signature and the seal of said
County, this of , 2005.
County Clerk
Kendall County71111* ois
[SEAL]
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CH12 600137.5
MiNum of a regular public meeting of the City Council of the
United City of Yorkville, Kendall County, Illinois, held in the City
Council Chambers of the City Building, located at 800 Game Farm
Road, in said City at 7:00 o'clock P.M., on the 25th day of
October, 2005.
The Mayor called the meeting to order and directed the City Clerk to call the roll. Upon
roll call, the following answered present: Arthur F. Prochaska, Jr., the Mayor, and the following
Aldermen at said location answered present:
The following were absent:
The Mayor announced that in order to finance the necessary improvements to the
waterworks and sewerage system of the City, it would be necessary for the City to issue revenue
bonds or in lieu thereof, alternate bonds and that the City Council would consider the adoption of
an ordinance authorizing the issuance of such bonds.
The Mayor announced that the City Council would next consider the adoption of an
ordinance entitled:
AN ORDINANCE authorizing and providing for the issue of not to
exceed $12,000,000 General Obligation Bonds (Alternate Revenue
Source), Series 2005D, of the United City of Yorkville, Kendall
County, Illinois, for the purpose of financing construction of a
sanitary interceptor sewer and related improvements, prescribing
all the details of said bonds, and providing for the collection and
segregation of revenues sufficient to pay such bonds.
CHI2_600137.5
Alderman moved that the ordinance as presented and read by
title by the Clerk be adopted. Alderman �'�b�.�'E�2 seconded the motion.
A City Council discussion of the matter followed. gave
a public recital of the nature of the matter, which included statements (1) that the ordinance
provides for the issuance of alternate bonds for the purpose of paying the costs of financing the
construction of the Rob Roy Creek sanitary interceptor sewer to service property within the City,
(2) that the bonds are issuable without referendum pursuant to the Local Government Debt
Reform Act, as. amended, (3) that the ordinance provides for the bonds to be paid by certain
sanitary sewer connection fees, Infrastructure Participation Fees to be paid to the City by
Yorkville Bristol Sanitary District and other available revenues, but there is also a back -up levy
of property taxes to pay the bonds, and (4) that the ordinance provides many details for the
bonds, including tax- exempt status covenants, provision for terms and form of the bonds, and
appropriations.
After the full and complete discussion thereof, the Mayor directed that the roll be called
for a vote upon the motion to adopt the ordinance as read by title.
Upon the roll being called, the following Aldermen voted
AYE: ��►P�QJ� ��?�? .per _ �����` F f� . o
as
NAY:
ABSENT:
ABSTAIN:
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CHI2_600137.5
Whereupon the Mayor declared the motion carried and the ordinance adopted, and
henceforth did sign the same in open meeting and did direct the City Clerk to record the same in
full in the records of the City Council of the City.
Other business not pertinent to the adoption of said ordinance was duly transacted at said
meeting.
Upon motion duly made and seconded, the meeting was adjourned.
�Ier
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CHI2_600137.5
TABLE OF CONTENTS
SECTION HEADING PAGE
Preambles......................................................................................:.................. ............................... 1
Section1. Definitions .................................................................... ............................... 6
Section 2. Incorporation of Preambles .......................................... .............................10
Section 3. Determination to Issue Bonds .................................... ............................... 10
Section 4. Determination of Useful Life ..................................... ............................... 10
Section5. Bond Details ............................................................... ............................... 10
Section 6. Registration of Bonds; Persons Treated as Owners ... ............................... 12
Section7. Redemption ................................................................ ............................... 14
Section 8. Redemption Procedure ................................................. .............................14
Section9. Form of Bond ............................................................... .............................16
Section 10. Treatment of Bonds as Debt ...................................... ............................... 26
Section 11. Creation of Rob Roy Creek Revenue Fund ............... ............................... 27
Section12. Flow of Funds ............................................................ ............................... 27
Section 13. Account Excesses ....................................................... ............................... 30
Section 14. Sale of Bonds; Execution of Bond Order .................. ............................... 30
Section 15. Pledged Taxes; Tax Levy ........................................... ............................... 31
Section 16. Filing with County Clerk ........................................... ............................... 32
Section 17. Abatement of Pledged Taxes ..................................... ............................... 32
Section 18. Pledged Revenues; General Covenants ..................... ............................... 33
Section 19. Additional Bonds and Subordinate Bonds ................. ............................... 36
Section 20. Bonds No Longer Outstanding .................................. ............................... 36
Section 21. Provisions a Contract ................................................. ............................... 36
Section 22. Use of Proceeds .......................................................... ............................... 36
Section 23. Continuing Disclosure Undertaking .......................... ............................... 37
Section 24. General Tax Covenants .............................................. ............................... 38
Section 25. Certain Specific Tax Covenants ................................. ............................... 39
Section 26. Pertaining to the Bond Registrar ................................ ............................... 41
Section 27. Defeasance ................................................................. ............................... 43
Section 28. Superseder and Effective Date ................................... ............................... 44
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CH12 600137.5
O RDINANCE No. 00S • $�
AN ORDINANCE authorizing and providing for the issue of not to
exceed $12,000,000 General Obligation Bonds (Alternate Revenue
j Source), Series 2005D, of the United City of Yorkville, Kendall
County, Illinois, for the purpose of financing construction of a
sanitary interceptor sewer and related improvements prescribing all
the details of said bonds, and providing for the collection and
segregation of revenues sufficient to pay such bonds.
WHEREAS, the United City of Yorkville, Kendall County, Illinois (the "City "), is a duly
organized and existing municipality created under the provisions of the laws of the State of
Illinois, is now operating under the provisions of the Illinois Municipal Code, as supplemented
and amended (the "Municipal Code "), and has owned and operated a combined waterworks and
sewerage system (the "System ") in accordance with the provisions of Division 139 of Article 11
of the Municipal Code; and
WHEREAS, the City Council of the City (the "Corporate Authorities ") has determined that
it is advisable, necessary and in the best interests of the public health, safety and welfare to
improve the System, including but not limited to the construction of the sanitary interceptor
sewer required for the Yorkville Bristol Sanitary District ( "YBSD ") to transport effluent from
certain recently annexed property within the City to the YBSD treatment plant, such Interceptor
to be named the Rob Roy Creek Interceptor, the expansion may include the installation of pipe
and forcemain, the construction of a pump station and other related improvements, and
engineering, legal, financial and administrative expenses related thereto (the "Project "), all in
accordance with the estimate of costs therefor, which have been prepared for the City, and which
have been approved by the Corporate Authorities and are now on file in the office of the City
Clerk of the City (the "City ClerV) for public inspection; and
CH12_600137.5
WHEREAS, the estimated costs of constructing and installing the Project, including
engineering, legal, financial, bond discount, printing and publication costs and other expenses is
estimated at an amount not to exceed $12,000,000, and there are insufficient funds on hand and
lawfully available to pay such costs; and
WHEREAS, it is necessary and in the best interests of the City that the Project be
constructed; and
WHEREAS, pursuant to and in accordance with the provisions of the Municipal Code, the
City is authorized to issue its waterworks and sewerage revenue bonds for the purpose of
providing funds to pay the costs of the Project; and
WHEREAS, as provided in Section 15 of the Local Government Debt Reform Act of the
State of Illinois, as supplemented and amended (the "Act"), whenever revenue bonds have been
authorized to be issued pursuant to the Municipal Code, the City may issue its general obligation
bonds in lieu of such revenue bonds as authorized, and such general obligation bonds may be
referred to as "alternate bonds"; and
WHEREAS, pursuant to the Intergovernmental Corporation Act, 5 ILCS 220/1 et seq. and
that certain Agreement between Yorkville- Bristol Sanitary District ( "YBSD ") and United City of
Yorkville Rob Roy Creek Interceptor, dated June 14, 2004 (the "Intergovernmental Agreement ")
the City and YBSD agreed that YBSD would contract with the City to design and construct the
Rob Roy Creek Interceptor and fund its construction, and YBSD would own and maintain the
Interceptor; and
WHEREAS, for the purpose of providing funds to pay the costs of construction of the
Project and in accordance with the provisions of the Act, the Corporate Authorities, on the 13th
day of September, 2005, adopted Ordinance No. 2005 -75 (the "Authorizing Ordinance "),
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CHI2_6001 37.5
authorizing the issuance of General Obligation Bonds (Alternate Revenue Source), as provided
in the Act, in an amount not to exceed $12,000,000 (the "Alternate Bonds "); and
WHEREAS, on the 22nd day of September, 2005, the Authorizing Ordinance, together
with a separate notice in statutory form, was published in the Kendall County Record, the same
being a newspaper of general circulation in the City, and an affidavit evidencing the publication
of the Authorizing Ordinance and said notice have heretofore been presented to the Corporate
Authorities and made a part of the permanent records of the City; and
WHEREAS, more than thirty (30) days have expired since the date of publication of the
Authorizing Ordinance and said notice, and no petitions with the requisite number of valid
signatures thereon have been filed with the City Clerk requesting that the question of the
issuance of the Alternate Bonds be submitted to referendum; and
WHEREAS, the Project constitutes a lawful corporate purpose within the meaning of the
Act; and
WHEREAS, the Corporate Authorities are now authorized to issue the Alternate Bonds in
an aggregate principal amount not to exceed $12,000,000, in accordance with the provisions of
the Act, and the Corporate Authorities hereby determine that it is necessary and desirable that
there be issued at this time not to exceed $12,000,000 of the Alternate Bonds so authorized; and
WHEREAS, the Alternate Bonds to be issued will be payable from the Pledged Revenues
and the Pledged Taxes, both as hereinafter defined; and
WHEREAS, pursuant to Section 19 of Ordinance Number 2004 -10 (the "2004B
Ordinance ") of the City pursuant to which $3,500,000 of General Obligation Bonds (Alternate
Revenue Source) Series 2004B were issued and pursuant to Section 19 of Ordinance No. 2005 -
73 of the City (such ordinance together with the 2004B Ordinance, hereinafter referred to as the
"2004 Ordinance ") adopted on August 23, 2005 pursuant to which $2,000,000 General
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CH12_600137.5
Obligation Bonds (Alternate Revenue Source) Series 2005C were issued, the City reserved the
right to issue bonds payable from Revenues (as defined in the 2004 Ordinance) which bonds
would have a lien on the Revenues prior to the lien on the Revenues securing Outstanding Bonds
(as defined in the 2004 Ordinance), provided that upon the issuance of such bonds, the City shall
demonstrate, in the manner provided in the Act, that all Outstanding Bonds could then be issued
as if not previously issued, that is the requirement of the Act for the issuance of alternate bonds
payable from the Revenues shall have been met on such date for the issuance of all Outstanding
Bonds; and
WHEREAS, pursuant to the Act and the 2004 Ordinance the Corporate Authorities must
determine that the Revenues (as defined in the 2004 Ordinance) will be sufficient to provide or
pay in each year to final maturity of the Alternate Bonds and all Outstanding Bonds (as defined
in the 2004 Ordinance) all of the following: (1) Operation and Maintenance Expenses (as
defined in the 2004 Ordinance), but not including depreciation, (2) debt service on all
outstanding revenue bonds payable from the Revenues as defined in the 2004 Ordinance, (3) all
amounts required to meet any fund or account requirements with respect to such outstanding
revenue bonds, (4) other contractual or tort liability obligations, if any, payable from the
Revenues, and (5) in each year, an amount not less than 1.25 times debt service of the Alternate
Bonds proposed to be issued, and all Outstanding Bonds (as defined in the 2004 Ordinance); and
WHEREAS, such determination of the sufficiency of the Revenues are to be supported by
the report of Speer Financial to be delivered to the Corporate Authorities and approved pursuant
to the Bond Order (as hereinafter defined); and
WHEREAS, the Corporate Authorities must further determine that the Pledged Revenues
(as hereinafter defined) will be sufficient to provide or pay in each year to final maturity of the
Alternate Bonds all of the following: (1) Operation and Maintenance Expenses, if any to be paid
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CH12_600137.5
for the Project from Revenues, but not including depreciation, (2) debt service on all outstanding
revenue bonds payable from the Pledged Revenues (as hereinafter defined), (3) all amounts
j required to meet any fund or account requirements with respect to such outstanding revenue
bonds, (4) other contractual or tort liability obligations, if any, payable from Pledged Revenues,
and (5) in each year an amount not less than 1.25 times debt service of the Alternate Bonds
proposed to be issued there being no alternate bonds previously issued payable from the Pledged
Revenues; and
WHEREAS, such determination of the sufficiency of the Pledged Revenues are to be
supported by the Report of Speer Financial, a copy of which report will be delivered to the
Corporate Authorities and approved pursuant to the Bond Order (as hereinafter defined); and
WHEREAS, pursuant to and in accordance with the provisions of the Bond Issue
Notification Act of the State of Illinois, the Mayor of the City (the "Mayor "), called a public
hearing (the "Hearing ") for the 11th day of October, 2005, concerning the intent of the
Corporate Authorities to sell not to exceed $12,000,000 General Obligation Bonds (Alternate
Revenue Source); and
WHEREAS, notice of the Hearing was given (i) by publication at least once not less than
seven (7) nor more than thirty (30) days before the date of the Hearing in the Kendall County
Record, the same being a newspaper of general circulation in the City, and (ii) by posting at least
48 hours before the Hearing a copy of said notice at the principal office of the Corporate
Authorities; and
WHEREAS, the Hearing was held on the 11th day of October, 2005, and at the Hearing,
the Corporate Authorities explained the reasons for the proposed bond issue and permitted
persons desiring to be heard an opportunity to present written or oral testimony within reasonable
time limits; and
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CH12_600137.5
WHEREAS, the Hearing was finally adjourned on the 11th day of October, 2005, and not
less than seven (7) days have passed since the final adjournment of the Hearing; and
WHEREAS, the Property Tax Extension Limitation Law of the State of Illinois, as
amended by Public Act 89 -385 (the "Tax Limitation Law "), imposes certain limitations on the
"aggregate extension" of certain property taxes levied by the City, but provides that the definition
of , aggregate extension" contained in Section 18 -185 of the Tax Limitation Law does not include
"extensions ... payments of principal and interest on bonds issued under Section 15 of the Local
Government Debt Reform Act ;" and
WHEREAS, the County Clerk of Kendall County, Illinois (the "County Clerk"), is
therefore authorized to extend and collect said direct annual ad valorem tax so levied for the
payment of the Alternate Bonds for the Project without limitation as to rate or amount;
Now, THEREFORE, BE IT ORDAINED by the City Council of the United City of Yorkville,
Kendall County, Illinois, as follows:
Section 1. Definitions. The following words and terms used in this Ordinance shall
have the following meanings unless the context or use clearly indicates another or different
meaning is intended:
"Act" means the Local Government Debt Reform Act of the State of Illinois, as
supplemented and amended.
"Additional Bonds" means any alternate bonds issued in the future in accordance with
the provisions of the Act on a parity with and sharing ratably and equally in the Pledged
Revenues with the Bonds.
"Authorized Officer" means any of the Mayor, Treasurer, Finance Director and City
Clerk of the City.
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CH12 600137.5
"Bond" or "Bonds" means one or more, as applicable, of the General Obligation Bonds
(Alternate Revenue Source), Series 2005D, authorized to be issued by this Ordinance.
"Bond Fund" means the Rob Roy Creek Alternate Bond Fund established hereunder and
further described by Section 16 of this Ordinance.
"Bond Order" means the Bond Order executed by any two of the Authorized Officers
setting forth the terms of the Bonds and filed with the City Clerk as provided in Section 14(d) of
this Ordinance.
"Bond Register" means the books of the City kept by the Bond Registrar to evidence the
registration and transfer of the Bonds.
"Bond Registrar" means The Bank of New York Trust Company, N.A., Chicago,
Illinois, or any successor thereto or designated hereunder, in its capacity as bond registrar
hereunder.
"City" means the United City of Yorkville, Kendall County, Illinois.
"City Clerk" means the City Clerk of the City.
"Code " means the Internal Revenue Code of 1986, as amended.
"Corporate Authorities" means the City Council of the City.
"Expense Fund" means the fund established hereunder and further described by
Section 22 of this Ordinance.
"Fiscal Year" means a twelve -month period beginning May 1 of the calendar year and
ending on the next succeeding April 30.
"Future Bond Ordinances " has the meaning set forth in the 2004 Ordinance.
"Infrastructure Participation Fees" means the "infrastructure participation fees" to be
collected by the YBSD in accordance with the Intergovernmental Agreement and Section 1,
Paragraph 5 of the YBSD Sewer Use Ordinance.
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CH12_600137.5
"Intergovernmental Agreement" has the meaning set forth in the preambles.
"Mayor" means the Mayor of the City.
"Municipal Code " means the Illinois Municipal Code, as supplemented and amended.
"Ordinance " means this ordinance as originally adopted and as the same may from time
to time be amended or supplemented.
"2004 Ordinance " has the meaning set forth in the preambles.
"Outstanding Bonds" means Bonds and Additional Bonds which are outstanding and
unpaid; provided, however, such term shall not include Bonds or Additional Bonds (i) which
have matured and for which moneys are on deposit with proper paying agents, or are otherwise
properly available, sufficient to pay all principal and interest thereof, or (ii) the provision for
payment of which has been made by the City by the deposit in an irrevocable trust or escrow of
funds or direct, full faith and credit obligations of the United States of America or obligations
guaranteed by the United States Government, the principal and interest of which will be
sufficient to pay at maturity or as called for redemption all the principal of and interest and
applicable premium on such Bonds or Additional Bonds.
"Paying Agent" means The Bank of New York Trust Company, N.A., Chicago, Illinois,
or any successor thereto or-designated hereunder, in its capacity as paying agent hereunder.
"Pledged Moneys" means, collectively, Pledged Revenues and Pledged Taxes as both are
defined herein.
"Pledged Revenues" means (i) those Revenues on deposit in the Rob Roy Creek
Alternate Bond and Interest Account of the Revenue Fund, and (ii) such other funds of the City
as may be necessary and on hand from time to time and lawfully available for such purpose.
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CHI2_600137.5
"Pledged Taxes" means the ad valorem taxes levied against all of the taxable property in
the City without limitation as to rate or amount, pledged hereunder by the City as security for the
Bonds.
"Project" means the construction of the Rob Roy Creek Interceptor and related
improvements as set forth in detail in the preambles to this Ordinance.
"Project Fund" means the fund established hereunder and further described by Section
22 of this Ordinance.
"Revenue Fund" means the Rob Roy Creek Revenue Fund created and established
pursuant to Section 11 of this Ordinance.
"Revenues" means (i) the Sewer Connection Fees derived from all property located south
of Galena Road plus the property known as Bristol Bay which is located north of Galena Road
and east of Route 47 (the "Bristol Bay Property") all within the City and which will connect to
the Rob Roy Creek Interceptor, and (ii) the Infrastructure Participation Fees paid to the YBSD
and further distributed to the City pursuant to the Intergovernmental Agreement for properties
located south of Galena Road plus the Bristol Bay Property all within the City, which will
connect to the Rob Roy Creek Interceptor.
"2004 Revenues" shall mean "Revenues" as defined in the 2004 Ordinance.
"Rob Roy Creek Alternate Bond and Interest Account" means the Rob Roy Creek
Alternate Bond and Interest Account established hereunder and further described by Section 12
of this Ordinance.
"Surplus Account" means the Rob Roy Creek Surplus Account created and established
pursuant to Section 12 of this Ordinance.
"Sewer Connection Fees " means the sewer connection fees imposed by the City on
property connecting to the City's sewer and water system as authorized by Ordinance No. 96 -11
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CH12 600137.5
of the City, adopted by the Corporate Authorities of the City on September 12, 1996, as such fees
may be adjusted from time to time.
"Tax Agreement" means the Tax Certificate and Agreement of the City dated the date of
issuance of the Bonds.
"Treasurer" means the Treasurer of the City.
"Waterworks and Sewerage Fund" or "Fund" means the Waterworks and Sewerage
Fund of the City created and established by the 2004 Ordinance.
"YBSD" means the Yorkville - Bristol Sanitary District, a municipal corporation organized
and existing under the laws of the State of Illinois and its successors and assigns.
Section 2. Incorporation of Preambles. The Corporate Authorities hereby find that
all of the recitals contained in the preambles to this Ordinance are full, true and correct and do
incorporate them into this Ordinance by this reference.
Section 3. Determination to Issue Bonds. It is necessary and in the best interests of
the City to construct the Project for the public health, safety and welfare, in accordance with the
estimate of costs, as described, and in accordance with the provisions of the Municipal Code and
the Act.
Section 4. Determination of Useful Life. The Corporate Authorities do hereby
determine the period of usefulness of the Project to be not less than 25 years from the date
hereof.
Section 5. Bond Details. For the purpose of paying the cost of the Project, there shall
be issued and sold the Bonds in the aggregate principal amount of not to exceed $12,000,000.
The Bonds shall each be designated "General Obligation Bond (Alternate Revenue Source),
Series 20051)", shall be dated the date specified in the Bond Order, and shall also bear the date of
authentication, shall be in fully registered form, shall be in denominations set forth in the Bond
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CHI2_600137.5
Order, shall be numbered 1 and upward, and shall become due and payable serially, or as term
bonds with mandatory sinking fund redemptions, on December 30 of each of the years, in the
amounts and bearing interest at the rate or rates percent per annum all as set forth in the Bond
Order.
The Bonds shall bear interest from their date or from the most recent interest payment
date to which interest has been paid or duly provided for, until the principal amount of the Bonds
is paid, such interest (computed upon the basis of a 360 -day year of twelve 30 -day months) being
payable on the June 30 and December 30 of each year, commencing on June 30, 2006. Principal
(and premium, if any) upon redemption and interest on each Bond shall be paid by check or draft
of the Paying Agent, in lawful money of the United States of America, to the person in whose
name such Bond is registered (the "Registered Owner ") at the close of business on the 15th day
of the month of the interest payment date or 15 days preceding any redemption date of Bonds on
other than the 30th day of the month (the "Record Date "); provided that payment of interest on
any Bond shall be made to the Registered Owner of $1,000,000 or more in aggregate principal
amount of Bonds as of the close of business of the Paying Agent on the Record Date by wire
transfer to such Registered Owner on such interest payment date upon written notice from such
Registered Owner containing the wire transfer address. within the United States of America to
which the Registered Owner wishes to have such wire directed which notice is received not later
than the Business Day preceding such Record Date. The principal of the Bonds payable at
maturity shall be payable in lawful money of the United States of America upon presentation
thereof at the principal corporate trust office of the Paying Agent in Chicago, Illinois, or at a
successor Paying Agent address.
The Bonds shall be signed by the manual or facsimile signature of the Mayor, and shall
be attested by the manual or facsimile signature of the City Clerk, and the corporate seal of the
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CHI2_600137.5
City shall be axed thereto or printed thereon, and in case any officer whose signature shall
appear on any Bond shall cease to be such officer before the delivery of such Bond, such
signature shall nevertheless be valid and sufficient for all purposes, the same as if such officer
had remained in office until delivery.
All Bonds shall have thereon a certificate of authentication substantially in the form
hereinafter set forth duly executed by the Bond Registrar as authenticating agent of the City for
this issue and showing the date of authentication. No Bond shall be valid or obligatory for any
purpose or be entitled to any security or benefit under this Ordinance unless and until such
certificate of authentication shall have been duly executed by the Bond Registrar by manual
signature, and such certificate of authentication upon any such Bond shall be conclusive
evidence that such Bond has been authenticated and delivered under this Ordinance. The
certificate of authentication on any Bond shall be deemed to have been executed by the Bond
Registrar if signed by an authorized officer of the Bond Registrar, but it shall not be necessary
that the same officer sign the certificate of authentication on all of the Bonds issued hereunder.
Section 6 Registration of Bonds; Persons Treated as Owners. The City shall cause
books for the registration and for the transfer of the Bonds as provided in this Ordinance to be
kept at the principal corporate trust office of the Bond Registrar, which is hereby constituted and
appointed the registrar of the City for this issue. The City is authorized to prepare, and the Bond
Registrar shall keep custody of, multiple Bond blanks executed by the City for use in the transfer
and exchange of Bonds.
Upon surrender for transfer of any Bond at the principal corporate trust office of the
Bond Registrar, duly endorsed by, or accompanied by a written instrument or instruments of
transfer in form satisfactory to the Bond Registrar and duly executed by the registered owner or
his attorney duly authorized in writing, the City shall execute and the Bond Registrar shall
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CHI2_600137.5
authenticate, date and deliver in the name of the transferee or transferees a new fully registered
Bond or Bonds of the same maturity of authorized denominations, for a like aggregate principal
amount. Any fully registered Bond or Bonds may be exchanged at said office of the Bond
Registrar for a like aggregate principal amount of Bond or Bonds of the same maturity of other
authorized denominations. The execution by the City of any fully registered Bond shall
constitute full and due authorization of such Bond and the Bond Registrar shall thereby be
authorized to authenticate, date and deliver such Bond; provided, however, the principal amount
of outstanding Bonds of each maturity authenticated by the Bond Registrar shall not exceed the
authorized principal amount of Bonds for such maturity less previous retirements.
The Bond Registrar shall not be required to transfer or exchange any Bond during the
period from the close of business on the 15th day of the calendar month of an interest payment
date on the Bonds or during the period of 15 days preceding the giving of notice of redemption
of Bonds or to transfer or exchange any Bond all or a_portion of which has been called for
redemption.
The person in whose name any Bond shall be registered shall be deemed and regarded as
the absolute owner thereof for all purposes, and payment of the principal of or interest on any
Bond shall be made only to or upon the order of the registered owner thereof or his legal
representative. All such payments shall be valid and effectual to satisfy and discharge the
liability upon such Bond to the extent of the sum or sums so paid.
No service charge shall be made for any transfer or exchange of Bonds, but the City or
the Bond Registrar may require payment of a sum sufficient to cover any tax or other
governmental charge that may be imposed in connection with any transfer or exchange of Bonds.
Notwithstanding any other provision of this Ordinance, it shall be a condition to any
transfer or exchange of Bonds that a new investor's letter in form and substance satisfactory to
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CHI2_600137.5
the City be issued by any subsequent purchaser or transferee of the Bonds substantially in the
form of the investor's letter delivered to the City at the time of issuance of the Bonds.
Section 7. Redemption. The Bonds shall be subject to optional, mandatory and/or
sinking fund redemption as provided in the Bond Order. The principal amounts of Bonds to be
mandatorily redeemed, if any, in each year may be reduced through the earlier optional
redemption thereof, with any partial optional redemptions of such Bonds credited against future
I
mandatory redemption requirements in such order of the mandatory redemption dates as the City
determine. In addition on or prior to the 60th day preceding an mandatory redemption
may determ p y p g y ry p
date, the Bond Registrar may, and if directed by the Corporate Authorities shall, purchase Bonds
required to be retired on such mandatory redemption date. Any such Bonds so purchased shall
be cancelled and the principal amount thereof shall be credited against the mandatory redemption
required on such next mandatory redemption date.
Section 8. Redemption Procedure. The City shall, at least 45 days prior to the
redemption date (unless a shorter time period shall be satisfactory to the Bond Registrar), notify
the Bond Registrar of such redemption date and of the maturities and principal amounts of Bonds
to be redeemed. For purposes of any redemption of less than all of the Bonds of a single
maturity, the particular Bonds or portions of Bonds to be redeemed shall be selected by lot not
more than 60 days prior to the redemption date by the Bond Registrar for the Bonds of such
maturity by such method of lottery as the Bond Registrar shall deem fair and appropriate;
provided, however, that such lottery shall provide for the selection for redemption of Bonds or
portions thereof so that any $5,000 Bond or $5,000 portion of a Bond shall be as likely to be
called for redemption as any other such $5,000 Bond or $5,000 portion or in such other manner
as is set forth in the Bond Order.
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The Bond Registrar shall promptly notify the City in writing of the Bonds or portions of
Bonds selected for redemption and, in the case of any Bond selected for partial redemption, the
principal amount thereof to be redeemed.
Unless waived b the registered owner of Bonds to be redeemed official notice of an
Y g � Y
such redemption shall be given by the Bond Registrar on behalf of the City by mailing the
redemption notice by first class mail not less than 30 days and not more than 60 days prior to the
I
date fixed for redemption to each registered owner of the Bond or Bonds to be redeemed at the
address shown on the Bond Register or at such other address as is furnished in writing by such
registered owner to the Bond Registrar.
All official notices of redemption shall include the full name of the Bonds and at least the
information as follows:
(a) the redemption date;
(b) the redemption price;
(c) if less than all of the outstanding Bonds of a particular maturity are to be
redeemed, the identification (and, in the case of partial redemption of Bonds within such
maturity, the respective principal amounts) of the Bonds to be redeemed; and
(d) a statement that on the redemption date the redemption price will become
due and payable upon each such Bond or portion thereof called for redemption and that
interest thereon shall cease to accrue from and after said date.
Prior to any redemption date, the City shall deposit with the Paying Agent an amount of
money sufficient to pay the redemption price of all the Bonds or portions of Bonds which are to
be redeemed on that date.
Official notice of redemption having been given as aforesaid, the Bonds or portions of
Bonds so to be redeemed shall, on the redemption date, become due and payable at the
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redemption price therein specified, and from and after such date (unless the City shall default in
the payment of the redemption price), such Bonds or portions of Bonds shall cease to bear
interest. Neither the failure to mail such redemption notice, nor any defect in any notice so
mailed, to any particular registered owner of a Bond, shall affect the sufficiency of such notice
with respect to other registered owners. Notice having been properly given, failure of a
registered owner of a Bond to receive such notice shall not be deemed to invalidate, limit or
I
delay the effect of the notice or redemption action described in the notice. Such notice may be
waived in writing by a registered owner of a Bond entitled to receive such notice, either before or
after the event, and such waiver shall be the equivalent of such notice. Waivers of notice by
registered owners shall be filed with the Bond Registrar, but such filing shall not be a condition
precedent to the validity of any action taken in reliance upon such waiver.
Bonds to be redeemed shall be paid by the Paying Agent at the redemption price. The
procedure for the payment of interest and principal due as part of the redemption price shall be as
provided in Section 5 for payment of principal at redemption and interest otherwise due.
The Paying Agent shall maintain a schedule of all payments of principal and premium on
the Bonds and shall make a notation in such schedule upon each payment of principal and
premium of the Bonds whether at maturity or upon optional or mandatory redemption. In the
event of any discrepancy between the principal amount of the Bonds as set forth in the Bond and
as set forth in such schedule, the schedule shall be conclusive, absent manifest error.
If any Bond or portion of a Bond called for redemption shall not be so paid, the principal
shall, until paid or duly provided for, bear interest from the redemption date at the rate borne by
the Bond or portion of Bond so called for redemption.
Section 9. Form of Bond. The Bonds shall be prepared in substantially the following
form; provided, however, that if the text of any Bond is to be printed in its entirety on the front
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CH12 600137.5
side of any Bond, then paragraph [2] and the legend, "See Reverse Side for Additional
Provisions ", shall be omitted and paragraphs [6] through [16] shall be inserted immediately after
paragraph [1]:
i
I
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(FORM OF BOND - FRONT SIDE)
REGISTERED REGISTERED
NO: $
UNITED STATES OF AMERICA
STATE OF ILLINOIS
COUNTY OF KENDALL
UNITED CITY OF YORKVILLE
GENERAL OBLIGATION BOND
(ALTERNATIVE REVENUE SOURCE)
SERIES 2005D
I
See Reverse Side for
Additional Provisions
Interest Maturity Dated
Rate: % Date: December 30, _ Date: , 2005 CUSIP:
Registered Owner:
Principal Amount:
[1] KNOW ALL PERSONS BY THESE PRESENTS, that the United City of Yorkville,
Kendall County, Illinois (the "City "), hereby acknowledges itself to owe and for value received
promises to pay to the Registered Owner identified above, or registered assigns as hereinafter
provided, on the Maturity Date identified above, the Principal Amount identified above and to
pay interest (computed on the basis of a 360 -day year of twelve 30 -day months) on such
Principal Amount from the date of this Bond or from the most recent interest payment date to
which interest has been paid or duly provided for at the Interest Rate per annum set forth above
on June 30 and December 30 of each year, commencing June 30, 2006, until said Principal
Amount is paid. The principal of this Bond at maturity is payable in lawful money of the United
States of America at the principal corporate trust office of The Bank of New York Trust
Company, N.A., Chicago, Illinois, as paying agent (the "Paying Agent'). Payment of the
installments of interest and principal and premium, if any, upon redemption of the Bonds shall be
made to the Registered Owner hereof as shown on the registration books of the City maintained
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CHI2 600137.5
by The Bank of New York Trust Company, N.A., Chicago, Illinois, as bond registrar (the "Bond
Registrar "), at the close of business on the 15th day of the month of each interest payment date
or 15 days preceding any redemption date of Bonds (the "Record Date") and shall be paid by
check or draft of the Paying Agent, payable in lawful money of the United States of America,
mailed to the address of such Registered Owner as it appears on such registration books or at
such other address furnished in writing by such Registered Owner to the Bond Registrar
provided that payment of interest on any Bond shall be made to the Registered Owner of
$1,000,000 or more in aggregate principal amount of Bonds as of the close of business of the
Paying Agent on the Record Date by wire transfer to such Registered Owner on such interest
payment date upon written notice from such Registered Owner containing the wire transfer
address within the United States of America to which the Registered Owner wishes to have such
wire directed which notice is received not later than the Business Day preceding such Record
Date.
[2] Reference is hereby made to the further provisions of this Bond set forth on the
reverse hereof and such further provisions shall for all purposes have the same effect as if set
forth at this place.
[] Y 3 It is hereby certified and recited that all acts, conditions and things required to be
: done precedent to and in the issuance of this Bond have been done and have happened and have
been performed in regular and due form of law; that the indebtedness of the City, including the
issue of Bonds of which this is one, does not exceed any limitation imposed by law; that
provision has been made for the collection of the Pledged Revenues, the levy and collection of
the Pledged Taxes and the segregation of the Pledged Moneys to pay the interest hereon as it
falls due and also to pay and discharge the principal hereof at maturity; and that the City hereby
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CHI2_600137.5
covenants and agrees that it will properly account for the Pledged Moneys and will comply with
all the covenants of and maintain the funds and accounts as provided by the Bond Ordinance.
[4] This Bond shall not be valid or become obligatory for any purpose until the
certificate of authentication hereon shall have been signed by the Bond Registrar.
[5] IN W ITNESS WHEREOF, said United City of Yorkville, Kendall County, Illinois, by
its City Council, has caused this Bond to be signed by the manual or duly authorized facsimile
signature of its Mayor and attested by the manual or duly authorized facsimile signature of its
City Clerk, and its corporate seal to be affixed hereto or printed hereon, all as of the Dated Date
identified above.
Mayor
[SEAL]
A TTEST:
City C rk
Date of Authentication: 3 l— 1
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CH12_600137.5
CERTIFICATE Bond Registrar and Paying Agent:
OF The Bank of New York Trust Company,
AUTHENTICATION N.A., Chicago, IL
This Bond is one of the Bonds described in
the within- mentioned Ordinance and is one of
the General Obligation Bonds (Alternate
Revenue Source), Series 2005D, of the United
City of Yorkville, Kendall County, Illinois.
The Bank of New York Trust Company, N.A.,
as Bond Registrar
By
Authorized Officer
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CH 12_600137.5
[Form of Bond - Reverse Side]
UNITED CITY OF YORKVILLE
KENDALL COUNTY, ILLINOIS
GENERAL OBLIGATION BOND
(ALTERNATE REVENUE SOURCE)
SERIES 2005D
[6] This bond and the bonds of the series of which it forms a part ( "Bond" and
"Bonds" respectively) are part of an issue of Million _ Hundred Thousand Dollars
($ ) of like date and tenor, except as to maturity and rate of interest. The Bonds are
issued pursuant to the Local Government Debt Reform Act (the "Act ") and Division 139 of
Article 11 of the Illinois Municipal Code (the "Municipal Code ") and provisions of the
Intergovernmental Corporation Act, 5 ILCS 220/1 et seq., all as supplemented and amended, for
the purpose of financing the costs of a sanitary interceptor sewer and related improvements to
serve property within the City. The Bonds are issued pursuant to an authorizing ordinance
passed by the City Council of the City (the "Corporate Authorities ") on the 13th day of
September, 2005, and by a bond ordinance passed by the Corporate Authorities on the 25th day
of October, 2005, including a Bond Order executed pursuant thereto (the "Bond Ordinance'), to
which reference is hereby expressly made for further definitions and terms and to all the
provisions of which the Registered Owner by the acceptance of this Bond assents.
[7] Under the Municipal Code and the Bond Ordinance, the Revenues, as defined in
the Bond Ordinance shall be deposited into the Rob Roy Creek Revenue Fund of the City which
shall be used only and has been pledged for paying the principal of and interest on all bonds of
the City that are payable by their terms from such Revenues and in making all payments required
to maintain the accounts established under the Bond Ordinance. The City may issue future
waterworks and sewerage revenue bonds, which bonds may be issued on a parity with the Bonds,
pursuant to the terms of the Bond Ordinance.
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CHI2_600137.5
[8] The Bonds are payable from (a) (i) Revenues deposited to the credit of the Rob
Roy Creek Alternate Bond and Interest Account within the Rob Roy Creek Revenue Fund (the
"Pledged Revenues "), and (ii) such other funds of the City as may be necessary and on hand
from time to time and lawfully available for such purpose and (b) ad valorem taxes levied against
all of the taxable property in the. City without limitation as to rate or amount (the "Pledged
Taxes ") (the Pledged Revenues and the Pledged Taxes being collectively called the "Pledged
Moneys "), all in accordance with the provisions of the Act and the Municipal Code. For the
prompt payment of this Bond, both principal and interest at maturity, the full faith, credit and
p Ym p
resources of the City are hereby irrevocably pledged.
"Revenues" to be deposited into the Rob Roy Creek Revenue Fund consist of (i) the
Sewer Connection Fees derived from all property located south of Galena Road plus the Bristol
Bay Property (as defined in the Bond Ordinance) all within the City and which will connect to
the Rob Roy Creek Interceptor, and (ii) the Infrastructure Participation Fees paid to the
Yorkville- Bristol Sanitary District and further distributed to the City pursuant to the
Intergovernmental Agreement for properties located south of Galena Road plus the Bristol Bay
Property all within the City, which will connect to the Rob Roy Creek Interceptor.
[9] Under the Act and the Bond Ordinance, the Pledged Revenues shall be deposited
into and segregated in the Rob Roy Creek Alternate Bond and Interest Account of the Rob Roy
Creek Revenue Fund, and the Pledged Taxes shall be deposited into and segregated in the Rob
Roy Creek Alternate Bond Fund, each as created by the Bond Ordinance. Moneys on deposit in
said Account and said Fund shall be used first and are pledged for paying the principal of and
interest on the Bonds and then for any further purposes as provided by the terms of the Bond
Ordinance.
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CH12 600137.5 -
[10] This Bond does not constitute an indebtedness of the City within the meaning of
any constitutional or statutory provision or limitation, unless the Pledged Taxes shall have been
extended pursuant to the general obligation, full faith and credit promise supporting the Bonds,
in which case the amount of the Bonds then outstanding shall be included in the computation of
indebtedness of the City for purposes of all statutory provisions or limitations until such time as
an audit of the City shows that the Bonds have been paid from the Pledged Revenues for a
complete Fiscal Year.
[11] The outstanding Bonds are co -equal as to the lien on the Pledged Revenues for
their payment and share ratably, without any preference, priority, or distinction, the one over the
other, as to the source of or method of payment from the Pledged Revenues.
[12] This Bond is transferable by the Registered Owner hereof in person or by his
attorney duly authorized in writing at the principal corporate trust office of the Bond Registrar in
Chicago, Illinois, but only in the manner, subject to the limitations and upon payment of the
charges provided in the Bond Ordinance, and upon surrender and cancellation of this Bond.
Upon such transfer a new Bond or Bonds of authorized denominations of the same maturity and
for the same aggregate principal amount will be issued to the transferee in exchange therefor.
Notwithstanding any other provision herein, it shall be a condition to any transfer or exchange of
Bonds that a new investor's letter in form and substance satisfactory to the City be issued by any
subsequent purchaser or transferee of the Bonds and substantially in the form of the investor's
letter delivered to the City at the time of issuance of the Bonds.
[13] The Bonds are issued in fully registered form in the denominations set forth in the
Bond Order or authorized integral multiples thereof. This Bond may be exchanged at the
principal corporate trust office of the Bond Registrar for a like aggregate principal amount of
Bonds of the same maturity of other authorized denominations, upon the terms set forth in the
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CHI2_600137.5
Bond Ordinance. The Bond Registrar shall not be required to transfer or exchange any Bond
during the period beginning at the close of business on the 15th day of the month of any interest
payment date on such Bond or during the period of 15 days preceding the giving of notice of
redemption of Bonds or to transfer or exchange any Bond all or a portion of which has been
called for redemption.
[14] Certain of the Bonds are subject to optional redemption prior to maturity as
provided in the Bond Ordinance.
[1 5] Notice of any such redemption shall be given by the Bond Registrar on behalf of
the City as provided in the Bond Ordinance.
[ 16] The City, the Paying Agent and the Bond Registrar may deem and treat the
Registered Owner hereof as the absolute owner hereof for the purpose of receiving payment of or
on account of principal hereof and interest due hereon and for all other purposes and neither the
City, the Paying Agent nor the Bond Registrar shall be affected by any notice to the contrary.
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CHI2 600137.5
ASSIGNMENT
a
FOR VALVE RECEIVED, the undersigned sells, assigns and transfers unto
[Here insert identifying number such
as TID, SSN, or other]
(Name and Address of Assignee)
the within Bond and does hereby irrevocably constitute and appoint
as attorney to transfer the said Bond on the books kept for registration thereof with full power of
substitution in the premises.
Dated:
Signature guaranteed:
NOTICE: The signature to this transfer and assignment must correspond with the name of
the Registered Owner as it appears upon the face of the within Bond in every
particular, without alteration or enlargement or any change whatever.
Section 10. Treatment of Bonds as Debt. The Bonds shall be payable from the
Pledged Moneys and shall not constitute an indebtedness of the City within the meaning of any
constitutional or statutory limitation, unless the Pledged Taxes shall have been extended pursuant
to the general obligation, full faith and credit promise supporting the Bonds, as set forth in
Section 15 hereof, in which case the amount of the Bonds then Outstanding shall be included in
the computation of indebtedness of the City for purposes of all statutory provisions or limitations
until such time as an audit of the City shows that the Bonds have been paid from the Pledged
Revenues for a complete Fiscal Year, in accordance with the Act.
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CH12_600137.5
Section 11. Creation of Rob Roy Creek Revenue Fund. All of the Revenues shall be
set aside as collected and be deposited in a separate fund and in an account in a bank to be
designated by the Corporate Authorities, which fund is hereby created and is designated as the
"Rob Roy Creek Revenue Fund" (the "Revenue Fund") of the City, which shall constitute a trust
fund for the sole purpose of carrying out the covenants, terms, and conditions of this Ordinance,
and shall be used only as provided herein for paying the principal of and interest on all bonds of
the City which by their terms are payable from the Revenues, and providing for the
establishment of and expenditure from the respective accounts as hereinafter described. The
Revenue Fund is an additional account or fund created pursuant to a Future Bond Ordinance (as
defined in the 2004 Ordinance) which is senior to and has priority of payment over the
Depreciation Account and Surplus Account (each as defined in the 2004 Ordinance) with respect
to any Revenues as defined herein. The Revenues described in clause (i) of the definition of
Revenues shall first be deposited in the Waterworks and Sewerage Fund created pursuant to the
2004 Ordinance and after any requirement to fund the Operation and Maintenance Account as
defined in, and created pursuant to, the 2004 Ordinance, shall immediately thereafter, and prior
to transfer to any other accounts created pursuant to the 2004 Ordinance, be transferred to the
Revenue Fund. The Revenues described in clause (ii) of such definition shall be immediately
deposited upon receipt by the City into the Revenue Fund.
Section 12. Flow of Funds. There shall be and there are hereby created two separate
accounts in the Revenue Fund to be known as the Rob Roy Creek Alternate Bond and Interest
Account and the Rob Roy Creek Surplus Account, and to which there shall be credited on or
before the first day of each month by the financial officer of the City, without any further official
action or direction, in the order in which said accounts are hereinafter mentioned, all moneys
held in the Revenue Fund, in accordance with the following provisions:
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CHI2_600137.5
(a) Rob Roy Creek Alternate Bond and Interest Account. All moneys in the Revenue
Fund shall be credited first to a separate and segregated account hereby created and designated
the "Rob Roy Creek Alternate Bond and Interest Account" of the Rob Roy Creek Revenue Fund
(the "Rob Roy Creek Alternate Bond and Interest Account "), as follows. There shall be paid into
the Rob Roy Creek Alternate Bond and Interest Account in each month the amount of the
interest becoming due on the next succeeding interest payment date on all Outstanding Bonds
and the amount of the principal becoming due on the next succeeding principal maturity date or
mandatory sinking fund redemption date of all Outstanding Bonds until there shall have been
accumulated in the Rob Roy Creek Alternate Bond and Interest Account on or before the month
preceding such payment date of interest or principal, an amount sufficient to pay such principal
or interest, or both, of all Outstanding Bonds on such next succeeding payment date. All moneys
in said Account shall be used only for the purpose of paying interest on and principal of Bonds
and Additional Bonds. _
(b) Rob Roy Creek Surplus Account. Any funds remaining in the Rob Roy Creek
Revenue Fund after making the aforesaid deposits to the credit of the Rob Roy Creek Alternate
Bond and Interest Account, shall be transferred to a separate and segregated account hereby
created and designated the "Rob Roy Creek Surplus Account" of the Rob Roy Creek Revenue
Fund (the "Surplus Account "). Amounts in the Surplus Account shall be used, first, to make up
any subsequent deficiencies in the Rob Roy Creek Alternate Bond and Interest Account; and
then, for the remainder of all surplus Revenues, at the discretion of the Corporate Authorities, for
one or more of the following purposes without any priority among them:
1. For the purpose of calling and redeeming Outstanding Bonds payable from
the Revenues which are callable at the time; or
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2. For the purpose of purchasing Outstanding Bonds payable from the
Revenues.
(c) After there has been accumulated in the Surplus Account an amount equal to
100% of the principal of and interest to accrue on the Bonds, any remaining Revenue, may be
released at the discretion of the Corporate Authorities for one or more of the following purposes
without any priority among them:
1. For the purpose of constructing or acquiring repairs, replacements,
improvements or extensions to the System; or
2. For making transfers to the Revenue Fund generally to be applied and
treated as Revenues when transferred; or
3. For the purpose of calling and redeeming Outstanding Bonds payable from
the Revenues which are callable at the time; or
4. For the purpose of purchasing Outstanding Bonds payable from the
Revenues; or
5. For the purpose of paying principal of and interest on any subordinate
bonds or obligations issued for the purpose of acquiring or constructing repairs,
replacements, improvements or extensions to the Project; or
6. For any purpose enumerated in (i) any ordinance authorizing subordinate
bonds or (ii) the 2004 Ordinance; or
7. For any other lawful purpose.
(d) Money to the credit of the Revenue Fund or the Project Fund (as hereinafter
defined) may be invested pursuant to any authorization granted to municipal corporations by
Illinois statute or court decision. Amounts on deposit in the Surplus Account shall be subject to
the yield restriction provisions set forth in the Tax Agreement.
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Section 13. Account Excesses. Any amounts to the credit of the accounts created by
this Ordinance in excess of the then current requirements therefor may be transferred at any time
by the Corporate Authorities to such other account or accounts of the Revenue Fund as it may in
its sole discretion designate.
Section 14. Sale of Bonds; Execution of Bond Order.
(a) Any two of the Authorized Officers are authorized to execute on behalf of the
City, a Bond Placement Agreement for the placement of the Bonds to the purchaser (the "Initial
Purchaser ") selected by such Authorized Officers pursuant to a negotiated sale on such terms as
the Authorized Officers may deem to be in the best interests of the City, as provided in this
Ordinance. Any placement agent's fee shall not exceed 1% of the principal amount of the
Bonds. Such terms include, without limitation, the aggregate principal amount of the Bonds, the
amount of any original issue discount, the maturities of the Bonds, the issuance of such Bonds as
serial bonds or as term bonds subject to mandatory sinking fund redemption, or in any
combination of serial bonds or term bonds, the interest rate or rates for such Bonds and the
redemption terms applicable to such Bonds, all as provided in and subject to the limitations
expressed in this Section 14. The purchase price of the Bonds shall not be less than ninety -eight
and one -half percent (98.50 %) of the original principal amount of such Bonds plus any accrued
interest on such Bonds from their date to the date of their delivery and less any original issue
discount on the Bonds. The Bonds shall bear interest at a rate not to exceed 5 %. The Bond
Placement Agreement shall be in substantially the form previously used for similar financings of
the City with appropriate revisions to reflect the terms and provisions of the Bonds and such
other revisions in text as the Authorized Officers executing the Bond Placement Agreement shall
determine are desirable or necessary in connection with the sale of the Bonds. Any two
Authorized Officers may in the Bond Order make such changes to the terms of the Bonds from
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CHI2_600137.5
those provided in this Ordinance as such officers shall determine but that shall result in the
Bonds having substantially the terms and being in substantially the form provided by this
Ordinance.
(b) Subsequent to such sale, any two of the Authorized Officers shall file in the
Office of the City Clerk, (i) a Bond Order setting forth, or referring to the Bonds and this
Ordinance to evidence, and setting forth (A) the terms of sale of the Bonds, (B) the interest rate
or rates for such Bonds and authorized denominations of the Bonds, (C) the identities of the
Initial Purchaser, (D) the date or dates on and price or prices at which the Bonds may be
redeemed, (E) the amount of any original issue discount or premium, (F) the amounts to be
levied in each year as required by Section 15 of this Ordinance, (G) the amount of proceeds to be
deposited to the Project Fund and the Expense Fund; and (H) the final approval of the report of
Speer Financial required by the Act and as described in the preambles to this Ordinance, (ii) an
executed copy of the Bond Placement Agreement, and (iii) the final report of Speer Financial.
The Bond Order may contain such additional provisions or revisions to this Ordinance, that are
not inconsistent with the parameters set forth in this Section, as are necessary to accommodate
the sale of the Bonds to a single accredited investor.
Section 15. Pledged Taxes; Tax Levy. For the purpose of providing additional funds
to pay the principal of and interest on the Bonds, and as provided in Section 15 of the Act, there
is hereby levied upon all of the taxable property within the City, in the years for which any of the
Bonds are Outstanding, a direct annual tax in amounts sufficient for that purpose, and there shall
be levied upon all of the taxable property in the City an aggregate amount equal to the annual
debt service on the Bonds as set forth in the Bond Order (the "Pledged Taxes "). These taxes
shall be in addition to and in excess of all other taxes levied by the City. Following any
extension of Pledged Taxes, interest or principal coming due at any time when there are
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CH12 600137.5
insufficient funds on hand from the Pledged Taxes to pay the same shall be paid promptly when
due from current funds on hand in advance of the collection of the Pledged Taxes herein levied;
and when the Pledged Taxes shall have been collected, reimbursement shall be made to said
funds in the amount so advanced.
Section 16. Filing with County Clerk. After this Ordinance becomes effective, a copy
hereof, certified by the City Clerk, together with the Bond Order shall be filed with the County
Clerk. The County Clerk shall in and for each of the years required ascertain the rate percent
required to produce the aggregate Pledged Taxes provided to be levied in each of said years as
set forth in the Bond Order; and the County Clerk shall extend the same for collection on the tax
books in connection with other taxes levied in said years in and by the City for general corporate
purposes of the City; and the County Clerk, or other appropriate officer or designee, shall remit
the Pledged Taxes for deposit to the credit of a special fiend to be designated the "Rob Roy Creek
Alternate Bond Fund" (the "Bond Fund"), and in said years the Pledged Taxes shall be levied
and collected by and for and on behalf of the City in like manner as taxes for general municipal
purposes of the City for said years are levied and collected, and in addition to and in excess of all
other taxes. The Pledged Taxes are hereby irrevocably pledged to and shall be used only for the
purpose of paying principal of and interest on the Bonds. It. is hereby expressly provided that in
the event there shall be moneys both to the credit of the Rob Roy Creek Alternate Bond and
Interest Account and the Bond Fund, the Bond Fund shall be fully depleted before moneys to the
credit of the Rob Roy Creek Alternate Bond and Interest Account shall be used to pay principal
of and interest on the Bonds.
Section 17. Abatement of Pledged Taxes. Whenever the Pledged Revenues shall have
been determined by the Corporate Authorities to provide in any calendar year an amount not less
than 1.00 times debt service of all Outstanding Bonds in the next succeeding Bond Year (June 30
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CH12_600137.5
and December 30), the Treasurer or Finance Director shall, prior to the time the Pledged Taxes
levied in such calendar year are extended, direct the abatement of the Pledged Taxes for such
Bond Year, and proper notification of such abatement shall be filed with the County Clerk in a
timely manner to effect such abatement.
The City covenants and agrees that it will not direct the County Clerk to abate any other
taxes levied for general corporate purposes in a calendar year until sufficient Pledged Revenues
have been deposited in the Rob Roy Creek Alternate Bond and Interest Account and the
abatement of the Pledged Taxes for such calendar year has been filed with the County Clerk.
Section 18. Pledged Revenues; General Covenants. The City covenants and agrees
with the registered owners of the Bonds that, so long as any Bonds remain Outstanding:
A. The City hereby pledges the Pledged Revenues to the payment of the Bonds, and
the Corporate Authorities covenant and agree to provide for, collect and apply the Pledged
Revenues to the payment of the Bonds and the provision of not less than an additional .25 times
debt service, all in accordance with Section 15 of the Act. The determination of the sufficiency
of the Pledged Revenues pursuant to this subsection (A) shall be supported by reference to the
annual audit of the City and acceptance of said Audit by the Corporate Authorities shall be
conclusive evidence that the conditions of Section 15 of the Act have been met.
B. The City will punctually pay or cause to be paid from the Rob Roy Creek
Alternate Bond and Interest Account and from the Bond Fund the principal of and the interest on
the Bonds in strict conformity with the terms of the Bonds and this Ordinance, and it will
faithfully observe and perform all of the conditions, covenants and requirements thereof and
hereof.
C. The City will pay and discharge, or cause to be paid and discharged, from the Rob
Roy Creek Alternate Bond and Interest Account and the Bond Fund any and all lawful claims
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CH12 600137.5
which, if unpaid, might become a lien or charge upon the Pledged Moneys, or any part thereof,
or upon any funds in the hands of the Paying Agent, or which might impair the security of the
Bonds. Nothing herein contained shall require the City to make any such payment so long as the
City in good faith shall contest the validity of said claims.
D. The City will keep, or cause to be kept, proper books of record and accounts,
separate from all other records and accounts of the City, in which complete and correct entries
shall be made of all transactions relating to the Project, the Pledged Moneys, the Rob Roy Creek
Alternate Bond and Interest Account and the Bond Fund. Such books of record and accounts
shall at all times during business hours be subject to the inspection of the registered owners of
not less than ten per cent (10 %) of the principal amount of the Outstanding Bonds or their
representatives authorized in writing.
E. The City will preserve and protect the security of the Bonds and the rights of the
registered owners of the Bonds, and will warrant and defend their rights against all claims and
demands of all persons. From and after the sale and delivery of any of the Bonds by the City, the
Bonds shall be incontestable by the City.
F. The City will adopt, make, execute and deliver any and all such further
ordinances, resolutions, instruments and assurances as may be reasonably necessary or proper to
carry out the intention of, or to facilitate the performance of, this Ordinance, and for the better
assuring and confirming unto the registered owners of the Bonds of the rights and benefits
provided in this Ordinance.
G. As long as any Bonds are Outstanding, the City will continue to deposit the
Revenues to the Revenue Fund and the Pledged Revenues to the Rob Roy Creek Alternate Bond
and Interest Account and, if applicable, the Pledged Taxes to the Bond Fund. The City
covenants and agrees with the purchasers of the Bonds and with the registered owners thereof
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that so long as any Bonds remain Outstanding, the City will take no action or fail to take any
action which in any way would adversely affect the ability of the City to collect the Pledged
Taxes and to collect and to segregate the Pledged Moneys. The City and its officers will comply
with all present and future applicable laws in order to assure that the Pledged Taxes can be
extended and that the Pledged Revenues and the Pledged Taxes may be collected and deposited
to the Rob Roy Creek Alternate Bond and Interest Account and the Bond Fund, respectively, as
provided herein.
H. Once issued, the Bonds shall be and forever remain until paid or defeased the
general obligation of the City, for the payment of which its full faith and credit are pledged, and
shall be payable, in addition to the Pledged Revenues, from the levy of the Pledged Taxes as
provided in the Act.
I. The City will establish and maintain at all times Sewer Connection Fees, and shall
enforce the obligations of the Yorkville Bristol Sanitary District to pay to the City, the
Infrastructure Participation Fees required to be paid pursuant to the Intergovernmental
Agreement and will provide for the collection thereof and the segregation and application of the
Revenues in the manner provided by this Ordinance, sufficient at all times to pay the principal of
and interest on all bonds of the City which by their terms are payable from the Revenues, and to
provide for the creation and maintenance and funding of the respective accounts as provided in
Section 12 of this Ordinance.
J. Within six months following the close of each Fiscal Year, the City will cause the
books and accounts relating to the Project and the accounts created hereunder to be audited by
independent certified public accountants in accordance with appropriate audit standards. Said
audit will be available for inspection by the registered owners of any of the Bonds.
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CHI2 600137.5
Section 19. Additional Bonds and Subordinate Bonds. The City reserves the right to
issue Additional Bonds from time to time payable from the Pledged Revenues, and any such
Additional Bonds shall share ratably and equally in the Pledged Revenues with the Bonds;
provided, however, that no Additional Bonds shall be issued except in accordance with the
provisions of the Act as the Act is written at this time and demonstrating that the coverage
required under the Act for the issuance of alternate bonds payable from the Revenues shall have
been met for all Outstanding Bonds.
The City also reserves the right to issue revenue bonds from time to time payable from
the Revenues that are subordinate to the Bonds or Additional Bonds and are payable from the
money remaining in the Rob Roy Creek Surplus Account created hereunder after making
required deposits into the Rob Roy Creek Alternate Bond and Interest Account, and after setting
aside the amounts required pursuant to Section 12(c) of this Ordinance.
Section 20. Bonds No Longer Outstanding. Bonds which are no longer Outstanding
Bonds as defined in this Ordinance shall cease to have any lien on or right to receive or be paid
from Pledged Revenues or Pledged Taxes and shall no longer have the benefits of any covenant
for the registered owners of Outstanding Bonds as set forth herein as such relates to lien and
security of the Bonds in the Pledged Revenues or Pledged Taxes.
Section 21. Provisions a Contract. The provisions of this Ordinance shall constitute a
contract between the City and the owners of the Outstanding Bonds and no changes, additions, or
alterations of any kind shall be made hereto, except as herein provided, so long as there are any
Outstanding Bonds.
Section 22. Use of Proceeds. The proceeds derived from the sale of the Bonds shall
be used as follows:
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CH12_600137.5
A. Accrued interest shall be credited to the Alternate Bond and Interest Account and
applied to pay first interest due on the Bonds.
B. The amount of the proceeds of the Bonds as set forth in the Bond Order shall be
deposited into a separate fund, hereby created, designated the "Expense Fund," (the "Expense
Fund") to be used to pay costs and expenses of issuance of Bonds. Disbursements from such
fund shall be made from time to time upon the direction of the Treasurer. Any excess in said
fund shall be deposited into the Rob Roy Creek Alternate Bond and Interest Account after six
months from the date of issuance of the Bonds.
C. The balance of the principal proceeds derived from the sale of the Bonds shall be
deposited in a separate fund hereby created and designated as the "Project Fund" (the "Project
Fund "); and disbursements shall be made from the Project Fund only for the purposes for which
the Bonds are being issued and for which the principal proceeds are hereby appropriated.
Within sixty (60) days after full depletion of the Project Fund or payment of all costs of
the Project, as herein referred to, and as heretofore approved by the Corporate Authorities, the
Treasurer shall certify to the Corporate Authorities the fact of such depletion or the engineer in
responsible charge of the Project shall certify to the Corporate Authorities the fact that the work
has been completed according to approved plans and specifications, as applicable, and upon
approval of such certification by the Corporate Authorities, funds (if any) remaining in the
Project Fund shall be transmitted to the Treasurer, and said Treasurer shall direct the credit said
funds to the Rob Roy Creek Alternate Bond and Interest Account or to the Bond Fund, and the
Project Fund shall be closed.
Section 23. Continuing Disclosure Undertaking. If required by applicable securities
laws, the Mayor or any Authorized Officer is hereby authorized, empowered, and directed to
execute and deliver the Continuing Disclosure Undertaking (the "Continuing Disclosure
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Undertaking ") substantially in the form attached hereto as Exhibit A to this Ordinance, made a
part hereof by this reference, and hereby approved, the Mayor or such Authorized Officer being
hereby authorized and directed to execute same, his or her execution to constitute conclusive
proof of action in accordance with this Ordinance and approval of all completions or revisions
necessary or appropriate to such undertaking. When the Continuing Disclosure Undertaking is
executed and delivered on behalf of the City as herein provided, the Continuing Disclosure
Undertaking will be binding upon the City and the officers, employees, and agents of the City;
and the officers, employees, and agents of the City are hereby authorized, empowered, and
directed to do all such acts and things and to execute all such documents as may be necessary to
carry out and comply with the provisions of the Continuing Disclosure Undertaking as executed.
Notwithstanding any other provision of this Ordinance, the sole remedies for failure to comply
with the Continuing Disclosure Undertaking shall be the ability of the beneficial owner of any
Bond to seek mandamus or specific performance by court order to cause the City to comply with
its obligations under the Continuing Disclosure Undertaking.
Section 24. General Tax Covenants. The City hereby covenants that it will not take
any action, omit to take any action, or permit the taking or omission of any action, within its
control (including, without limitation, making or permitting any use of the proceeds of the
Bonds) if taking, permitting, or omitting to take such action would cause any of the Bonds to be
an arbitrage bond or a private activity bond within the meaning of the Code or would otherwise
cause the interest on the Bonds to be included in the gross income of the recipients thereof for
federal income tax purposes. The City acknowledges that, in the event of an examination by the
Internal Revenue Service of the exemption from Federal income taxation for interest paid on the
Bonds, under present rules, the City is treated as the "taxpayer" in such examination and agrees
that it will respond in a commercially reasonable manner to any inquiries from the Internal
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CHI2_600137.5
Revenue Service in connection with such an examination. In fintherance of the foregoing
provisions, but without limiting their generality, the City agrees: (a) through its officers, to make
such further specific covenants, representations as shall be truthful, and assurances as may be
necessary or advisable; (b) to comply with all representations, covenants, and assurances
contained in Bonds or agreements as may be prepared by counsel approving the Bonds; (c) to
consult with such counsel and to comply with such advice as may be given; (d) to file such
forms, statements, and supporting documents as may be required and in a timely manner; and
(e) if deemed necessary or advisable by its officers, to employ and pay fiscal agents, financial
advisors, attorneys, and other persons to assist the City in such compliance.
Section 25. Certain Specific Tax Covenants.
A. None of the Bonds shall be a "private activity bond" as defined in Section 141(a)
of the Code; and the City certifies, represents, and covenants as follows:
(1) Not more than 5% of the net sale proceeds of the Bonds is to be used,
directly or indirectly, in any trade or business carried on by any person other than a state
or local governmental unit.
(2) Not more than 5% of the amounts necessary to pay the principal of and
interest on the Bonds will be derived, directly or indirectly, from payments with respect
to any private business use by any person other than a state or local governmental unit.
(3) None of the proceeds of the Bonds is to be used, directly or indirectly, to
make or finance loans to persons other than a state or local governmental unit.
(4) No user of the infrastructure of the City to be improved as part of the
Project, other than the City or another governmental unit, will use the same on any basis
other than the same basis as the general public; and no person, other than the City or
another governmental unit, will be a user of such infrastructure as a result of
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CHI2_600137.5
(i) ownership or (ii) actual or beneficial use pursuant to a lease, a management or
incentive payment contract other than as expressly permitted by the Code, or (iii) any
other arrangement.
B. Matters Relating to Rebate. The City certifies, represents, and covenants that:
(1) Unless an applicable exception to Section 148(f) of the Code, relating to
the rebate of "excess arbitrage profits" to the United States Treasury (the "Rebate
Requirement ") is available to the City, the City will meet the Rebate Requirement.
(2) - Relating to applicable exceptions, any City officer charged with issuing
the Bonds is hereby authorized to make such elections under the Code as such officer
shall deem reasonable and in the best interests of the City. If such election may result in
a "penalty in lieu of rebate" as provided in the Code, and such penalty is incurred (the
"Penalty "), then the City shall pay such Penalty.
(3) The officers of the City shall cause to be established, at such time and in
such manner as they may deem necessary or appropriate hereunder, a "Rob Roy Creek
Alternate Bond Rebate Fund" (the "Rebate Fund") for the Bonds, and such officers shall
further, not less frequently than annually, cause to be transferred to the Rebate Fund the
amount determined to be the accrued liability under the Rebate Requirement or Penalty.
Said officers shall cause to be paid to the United States Treasury, without further order or
direction from the Corporate Authorities, from time to time as required, amounts
sufficient to meet the Rebate Requirement or to pay the Penalty.
(4) Interest earnings in the Project Fund, the Surplus Account and the Bond
Fund are hereby authorized to be transferred, without further order or direction from the
Corporate Authorities, from time to time as required, to the Rebate Fund for the purposes
herein provided; and proceeds of the Bonds and other funds of the City are also hereby
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authorized to be used to meet the Rebate Requirement or to pay the Penalty but only if
necessary after application of investment earnings as aforesaid and only as appropriated
by the Corporate Authorities.
C. None of the proceeds of the Bonds will be used to pay, directly or indirectly, in
whole or in part, for an expenditure that has been paid by the City prior to the date hereof except
architectural or engineering costs incurred prior to commencement of any of the Project or
expenditures for which an intent to reimburse has been properly declared under Treasury
Regulations Section 1.103 -18. This Ordinance is in itself a declaration of official intent under
Treasury Regulations Section 1.103 -18 as to all costs of the Project paid after 60 days prior to the
date hereof and up to the issuance of the Bonds.
D. The City reserves the right to use or invest moneys in connection with the Bonds
in any manner, or to make changes in the Project list, or to use the City infrastructure acquired,
constructed, or improved as part of the Project in any manner, notwithstanding the
representations and covenants in Sections 14 and 15 herein, provided it shall first have received
an opinion from an attorney or a firm of attorneys generally acceptable to purchasers of
tax- exempt bonds to the effect that use or investment of such moneys or the changes in or use of
such infrastructure as contemplated is authorized under Applicable Law and this Ordinance and
will not result in loss or impairment of tax- exempt status for the Bonds.
Section 26. Pertaining to the Bond Registrar. If requested by the Bond Registrar, any
officer of the City is authorized to execute a standard form of agreement between the City and
the Bond Registrar with respect to the obligations and duties of the Bond Registrar under this
Ordinance. In addition to the terms of such agreement and subject to modification thereby, the
Bond Registrar by acceptance of duties under this Ordinance agrees (a) to act as registrar, paying
agent, authenticating agent, and transfer agent as provided herein; (b) to maintain a list of
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CHI2 600137.5
Bondholders as set forth herein and to furnish such list to the City upon request, but otherwise to
keep such list confidential to the extent permitted by law; (c) to cancel and/or destroy Bonds
which have been paid at maturity or submitted for exchange or transfer; (d) to furnish the City at
least annually a certificate with respect to Bonds cancelled and/or destroyed; and (e) to furnish
the City at least annually an audit confirmation of Bonds paid, Bonds outstanding and payments
made with respect to interest on the Bonds. The City covenants with respect to the Bond
Registrar, and the Bond Registrar further covenants and agrees as follows:
A. The City shall at all times retain a Bond Registrar with respect to the Bonds; it
will maintain at the designated office(s) of such Bond Registrar a place or places where Bonds
may be presented for payment, registration, transfer, or exchange; and it will require that the
Bond Registrar properly maintain the Bond Register and perform the other duties and obligations
imposed upon it by this Ordinance in a manner consistent with the standards, customs, and
practices of the municipal securities industry.
B. The Bond Registrar shall signify its acceptance of the duties and obligations
imposed upon it by this Ordinance by executing the certificate of authentication on any Bond,
and by such execution the Bond Registrar shall be deemed to have certified to the City that it has
all requisite power to accept and has accepted such duties and obligations not only with respect
to the Bond so authenticated but with respect to all the Bonds. Any Bond Registrar shall be the
agent of the City and shall not be liable in connection with the performance of its duties except
for its own negligence or willful wrongdoing. Any Bond Registrar shall, however, be
responsible for any representation in its certificate of authentication on Bonds.
C. The City may remove the Bond Registrar at any time. In case at any time the
Bond Registrar shall resign, shall be removed, shall become incapable of acting, or shall be
adjudicated a bankrupt or insolvent, or if a receiver, liquidator, or conservator of the Bond
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Registrar or of the property thereof shall be appointed, or if any public officer shall take charge
or control of the Bond Registrar or of the property or affairs thereof, the City covenants and
agrees that it will thereupon appoint a successor Bond Registrar. The City shall give notice of
any such appointment made by it to each registered owner of any Bond within twenty days after
such appointment in the same manner. Any Bond Registrar appointed under the provisions of
this Section shall be a bank, trust company, or national banking association maintaining its
principal corporate trust office in Illinois and having capital and surplus and undivided profits in
excess of $100,000,000. The City Clerk is hereby directed to file a certified copy of this
Ordinance with the Bond Registrar.
Section 27. Defeasance. Any Bond or Bonds which (a) are paid and cancelled,
(b) which have matured and for which sufficient sums been deposited with the Bond Registrar to
pay all principal and interest due thereon, or (c) for which sufficient United States of America
dollars and direct United States Treasury obligations have been deposited with the Bond
Registrar or similar institution to pay, taking into account investment earnings on such
obligations, all principal of and interest on (and redemption premium, if any, on) such Bond or
Bonds when due at maturity or as called for redemption, if applicable, pursuant to an irrevocable
escrow or trust agreement, shall cease to have any lien on or right to receive or be paid from the
bond moneys hereunder and shall no longer have the benefits of any covenant for the registered
owners of outstanding Bonds as set forth herein as such relates to lien and security of the
outstanding Bonds. All covenants relative to the tax- exempt status of the Bonds; and payment,
registration, transfer, and exchange; are expressly continued for all Bonds whether outstanding
Bonds or not.
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Section 28. Superseder and Effective Date. All ordinances, resolutions, and orders, or
parts thereof, in conflict herewith, are to the extent of such conflict hereby superseded; and this
Ordinance shall be in full force and effect upon its passage and approval as provided by law.
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CH12_600137.5
ADOPTED by the Corporate Authorities on the AS day of October, 2005, pursuant to a
roll call vote as follows:
PAUL J AMES
MARTY M UNNS
top _
JASON LESLIE,
WANDA O'HARE
VALERIE BURD
.�
ROSE SPEARS
I
DEAN WOLFER
v��
JOSEPH BESCO�
APPROVED by me, as Mayor of the United City of Yorkville, Kendall County, Illinois,
the 1—'C day of October, 2005.
MAYOR
PASSED by the City Council of the United City of Yorkville, Kendall County, Illinois,
th � day of October, 2005.
0 N
Atte ., s \ _ITY I JERK
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CHI2 600137.5
STATE OF ILLINOIS )
) SS
COUNTY OF KENDALL )
CERTIFICATION OF ORDINANCE AND MINUTES
I, the undersigned, do hereby certify that I am the duly qualified and acting City Clerk of
the United City of Yorkville, Kendall County, Illinois (the "City"), and as such officer I am the
keeper of the books, records, files, and journal of proceedings of the City and of the City Council
(the "Corporate Authorities ") thereof.
I do further certify that the foregoing constitutes a full, true and complete transcript of the
minutes of the legally convened regular meeting of the Corporate Authorities held on the 25th
day of October, 2005, insofar as same relates to the adoption of an ordinance numbered and
entitled:
ORDINANCE NUMBER�'��
AN ORDINANCE authorizing and providing for the issue of not to
exceed $12,000,000 General Obligation Bonds (Alternate Revenue
Source), Series 2005D, of the United City of Yorkville, Kendall
County, Illinois, for the purpose of financing the construction of a
sanitary interceptor sewer and related improvements, prescribing
all the details of said bonds, and providing for the collection and
segregation of revenues sufficient to pay such bonds.
a true, correct and complete copy of which said ordinance as adopted at said meeting appears in
the foregoing transcript of the minutes of said meeting.
I do further certify that the deliberations of the Corporate Authorities on the adoption of
the Ordinance were taken openly; that the vote on the adoption of the Ordinance was taken
openly; that the Meeting was held at a specified time and place convenient to the public; that
notice of said Meeting was duly given to all newspapers, radio or television stations, and other
news media requesting such notice, that an agenda for said Meeting was posted at the location
CH12_600137.5
where said Meeting was held and
at the principal office of the Corporate Authorities by at least
rOb p.m. on h t'
, c)- , 2005; a true, correct and complete copy of the
agenda is attached hereto as Exhibit A; that the Meeting was called and held in strict compliance
with the provisions of the Open Meetings Act of the State of Illinois, as amended, and the Illinois
Municipal Code, as amended, and that the Corporate Authorities have complied with all of the
provisions of said Act and said Code and with all of the procedural rules of the Corporate
Authorities in the adoption of the Ordinance.
IN WITNESS WHEREOF, I hereunto affix my official signature and the seal of the City
this 76S day of , 2005.
(SEAL)
[Attach Agenda hereto as Exhibit A]
� I 'k- I r
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CH12_600137.5
CI r 0
ti
:ST. 1636
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United City of Yorkville
800 Game Farm Road
Yorkville, Illinois 60560
Telephone: 630 -553 -4350
Fax: 630 -553 -7575
AGENDA
CITY COUNCIL MEETING
CITY COUNCIL CHAMBERS
7:00 PM
Tuesday, October 25, 2005
Call to Order:
Pledge of Allegiance:
Roll Call by Clerk:
7:00 p.m.
WARD I WARD II WARD III
WARD IV
Paul James Valerie Burd Marty Munns
Jason Leslie Dean Wolfer Wanda Ohare
stablishment of Quorum:
Introduction of Guests:
Amendments to Agenda:
Committee Meeting Dates:
Public Works Committee Meeting:
7:00 p.m., Monday, November 7, 2005
City Hall Conference Room
Economic Development Committee:
7:00 p.m., Thursday, November 17, 2005
City Hall Conference Room
Administration Committee Meeting:
6:30 p.m., Thursday, November 3, 2005
City Hall Conference Room
Public Safetv Committee Meeting:
6:30 p.m., Thursday, November 10, 2005
City Hall Conference Room
Joe Besco
Rose Ann Spears
Ad -hoc: Technologv Committee
To be Announced
Presentations: None
City Council Meeting Agenda
October 25, 2005
Page 2
Public Hearings:
1. Raintree Village II Special Service Area 2004 -107
Citizen Comments:
Consent Agenda
1. Monthly Treasurer's Report for August 2005
2. Resolution Adopting Recommended Plan to Implement Governance Enhancements as Proposed by Dr.
Curt Wood and Dr. Gerald Gabris - authorize Mayor and City Clerk to execute
3. Bruell Street Sanitary Sewer —Shed Replacement -authorize purchase of tool shed from Shedcraft &
Decks, Inc. in an amount not to exceed $7281.00
4. Rob Roy Creek Interceptor Contract 3 — Change Order #2 - authorize increase in an amount not to exceed
$244,359.50, funding from the Yorkville Bristol Sanitary District Infrastructure Participation Fee
5. Recreation Office Internet Contract -approve 24 month contract with SBC at $36.99 per month with no
modem cost
6. Water Department Report for July 2005
7. River's Edge Unit 1 — Letter of Credit Expiration - authorize City Clerk to call Letter of Credit should it
become necessary
8. 2005 Joint & Crack Filling — Change Order #1 - authorize increase in an amount not to exceed $3,330.63
and authorize Mayor to execute
9. Rob Roy Creek Interceptor Contract #3 — Change Order #1 - authorize a ninety day time extension to
March 1, 2006 and authorize City Engineer to execute
10. Kylyn's Ridge Unit 1 — Old Second Letter of Credit #15367 — Reduction #4 - authorize reduction in an
amount not to exceed $244,577.31
11. Kylyn's Ridge Unit 2 — Old Second Letter of Credit #15540 — Reduction #3 - authorize reduction in an
amount not to exceed $81,676.68
12. Castle Bank — Letters of Credit No. 606 & No. 607 — Reduction #1 - authorize release of Letter of Credit
No. 606 and authorize reduction of Letter of Credit No. 607 in an amount not to exceed $357, 795.40
13. Fox Hill Unit 7 Letters of Credit — Reduction #2 - authorize reduction of Old Second Bank Letter of
Credit #15716 in an amount not to exceed $3,420.00 and authorize reduction of Old Second Bank
Letter of Credit #15804 in an amount not to exceed $285,355.40
14. IDOT Highway Permit and Resolution — Heartland Center - authorize City Clerk to execute
15. IDOT Highway Permit and Resolution — McVickers Development - authorize City Clerk to execute
6. Final Acceptance of Heartland in Yorkville Units 1, 2, and 3 - accept the public improvements
17. Water Department Report for August 2005
18. Fox Industrial Park Project - Supplemental MFT Appropriation Resolution - authorize City Clerk to execute
City Council Meeting Agenda
October 25, 2005
Page 3
Consent Agenda (con't)
19. In -Town Drainage Improvements — Change Order Nos. 8 -11 — authorize the total increase in an amount
not to exceed $27,392. 00 (No. 8 - $4,242. 00, No. 9 - $11,120.00, No. 10 - $3,015. 00, and
No. 11— $9,015. 00) and authorize Mayor and City Clerk to execute
20. Rob Roy Creek Interceptor Contract 5 — Temporary Easement - authorize Mayor to execute
21. Rob Roy Creek Interceptor Contract 4 — Bid Results - award to D. Construction, Inc. in an amount not to
exceed $1,495,900.00, funding in accordance with the Yorkville Bristol Sanitary District
Intergovernmental Agreement
22. IDOT Highway Permit and Resolution — Raintree Village Route 126 Improvements - authorize Mayor and
City Clerk to execute
23. Nextel Second Line Option - approve implementing second line option
Plan Commission / Zoning Board of Appeals:
Minutes for Approval (Corrections and Additions):
Minutes of City Council — September 13, 2005 and September 27, 2005
Minutes of Committee of the Whole — August 16, 2005
Bill payments for approval from the current Bill List (Corrections and Additions):
Checks total these amounts:
$ 689,180.25 (vendors)
$ 183,141.74 (payroll period ending 1011105)
$ 872,321.99 (total)
Reports:
Mavor's Report:
1. Ordinance Amending and Restating Ordinance No. 2005 -77 Vacating Scott Road
Citv Council Report:
Citv Attornev's Report:
Citv Clerk's Report:
Citv Treasurer's Report:
Citv Adminiq+ratnr's Report:
Finance Director's Report:
Director of Public Works Report:
City Council Meeting Agenda
October 25, 2005
Page 4
Reports (con't):
Chief of Police Report:
Executive Director of Parks & Recreation Report:
Communitv & Liaison Report:
Committee Reports:
Public Works Committee Report:
1. No Report.
Economic Development Committee Report:
1. No Report
Public Safetv Committee Report:
1. No Report.
Administration Committee Report:
1. Annual Treasurer's Report
Bristol Bay SSA Resolution Declaring Official Intent
�. Rob Roy Creek Bond Ordinance
Additional Business:
Executive Session:
1. The purchase or lease of real property for the use of the public body.
2. The appointment, employment, compensation, discipline, performance, or dismissal of specific employees
of the public body or legal counsel for the public body, including hearing testimony on a complaint
lodged against an employee of the public body or against legal counsel for the public body to determine
its validity.
Adjournm
COMMITTl
- --- - --------- - ---- - ----------
IPUBLIC WORKS,
Committee
Chairman: Alderman Besco
Committee: Alderman Munns
'ommittee: Alderman Wolfer
Committee: Alderman James
;ES, MEMBERS AND RESPONSIBILITIES F/Y 2005 — 2006
----------------------- - - - - -- ---------------------------
Departments Liaisons
Water and Sewer Park Board
Streets and Alleys YBSD
Sanitation and Waste
City Council Meeting Agenda
October 25, 2005
Page 5
COMMITTEES, MEMBERS AND RESPONSIBILITIES F/Y 2005 — 2006 (con't) -
------- ------ - ------- -------- ------- -------------------
!ECONOMIC DEVELOPMEN
-----------------------------------------------------------------------------------------------------------------------------
Committee Departments Liaisons
Chairman: Alderman Munns
Committee: Alderwoman Burd
Committee: Alderman Besco
Committee: Alderman Leslie
Planning & Building & Zoning
Business & Economic Dev.
Chamber of Commerce
Kendall County Econ. Dev.
Plan Commission
Bristol Plan Commission
Yorkville Econ. Dev. Corp.
Aurora Area Convention &
Tourism Council
Downtown Re- development
------------------------------------
IFUBLIC SAFET
Committee
"'hairman: Alderwoman Ohare
.:ommittee: Alderwoman Spears
Committee: Alderman Wolfer
Committee: Alderman Leslie
Departments
Police
Schools
Public Relations
Liaisons
Human Resource Comm.
School District
KenCom
jADMINISTRATIOR
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Co - - - - - - - - - - - - - - - - - - - - --------------------------- — - - - - - - - - - - - - - - - - - - - ------ - - ___D_ - - - - - pa - - - - rt - - me — --- n - ts Li - - - - - - - - - - - - — - - — -- - - - - - - --------- — - — - - - - - a ' is ' o o__ - ns - - -------- — - - - - - - - - — - - - - - - - --------
mmittee e
Chairman: Alderman James Finance Metra
Committee: Alderwoman Ohare Public Properties Library
Committee: Alderwoman Spears Personnel Cable Consortium
Committee: Alderwoman Burd
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jXD -HOC: TECHNOLOG
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Committee
Co- Chairman: Alderwoman Ohare
Co- Chairman: Alderman Wolfer