Ordinance 2024-76 UNITED CITY OF YORKVILLE
KENDALL COUNTY, ILLINOIS
ORDINANCE NO. 2024-76
AN ORDINANCE of the United City of Yorkville, Kendall County, Illinois, authorizing
and providing for the issuance of one or more series of general obligation alternate revenue
bonds in the aggregate principal amount of not to exceed $68,850,000 for the purposes of
paying the costs of enhancing the City's water delivery system, paying the costs of the
acquisition of one or more parcels of real property and the construction of a new public
works facility thereon, and refunding certain of the City's outstanding alternate revenue
bonds, authorizing the execution of one or more bond orders, and providing for the
imposition of taxes to pay the same and for the collection, segregation and distribution of
certain City revenues for the payment of said bonds.
STATE OF ILLINOIS
COUNTY OF KENDALL
- FILED -
DEC 13 2024
6 • COUNTY CLERK
,1144/ u laaLr , KENDALL COUNTY
Published in pamphlet form by the
authority of the Mayor and City Council
of the United City of Yorkville,Kendall
County,Illinois on December 12, 2024.
ORDINANCE NO.2024-76
AN ORDINANCE of the United City of Yorkville, Kendall County,
Illinois, authorizing and providing for the issuance of one or more
series of general obligation alternate revenue bonds in the
aggregate principal amount of not to exceed $68,850,000 for the
purposes of paying the costs of enhancing the City's water
delivery system, paying the costs of the acquisition of one or
more parcels of real property and the construction of a new public
works facility thereon, and refunding certain of the City's
outstanding alternate revenue bonds, authorizing the execution of
one or more bond orders, and providing for the imposition of
taxes to pay the same and for the collection, segregation and
distribution of certain City revenues for the payment of said
bonds.
WHEREAS, the United City of Yorkville, Kendall County, Illinois (the "City"), is a duly
organized and existing municipality incorporated and existing under the provisions of the laws of
the State of Illinois, is now operating under the provisions of the Illinois Municipal Code, as
amended (the "Municipal Code"), and all laws amendatory thereof and supplementary thereto,
including, without limitation, the Local Government Debt Reform Act, 30 Illinois Compiled
Statues 350, as amended(the "Debt Reform Act"); and
WHEREAS, the City has for many years has owned and operated a municipally-owned
combined waterworks and sewerage system (the "System") pursuant to Division 129 of Article
11 of the Municipal Code; and
WHEREAS, the Mayor and the City Council of the City (the "Corporate Authorities")
have determined that it is advisable, necessary and in the best interests of the public health,
safety, welfare and convenience of the City to enhance the System, including, without limitation,
replacing existing water mains, modifying the existing raw water main and water treatment plant
and other capital improvements relating to the System, and for the construction of a new water
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supply line and connection to the DuPage Water Commission for a new source of water
(collectively, the "Water Project"), all in accordance with the preliminary plans and estimates of
costs therefor heretofore presented to the Corporate Authorities; and
WHEREAS, the estimated costs of the Water Project, including, without limitation, legal,
financial, bond discount, bond registrar, paying agent and other related banking fees, printing
and publication costs and other expenses and costs, are estimated by the Corporate Authorities to
be not more than $25,000,000, but the City does not currently have sufficient funds on hand and
lawfully available to pay such costs, nor does it expect to have sufficient funds on hand and
lawfully available to pay such costs; and
WHEREAS, it is necessary and for the best interests of the City that the Water Project be
constructed; and
WHEREAS, pursuant to Article 8 and Article 11 of the Municipal Code, the City is
authorized to issue its water revenue bonds payable solely from the revenue derived from the
operation of the System to pay the costs of the Water Project, subject to right of backdoor
petition for referendum pursuant to the Debt Reform Act; and
WHEREAS, pursuant to the provisions of Section 15 of the Debt Reform Act, whenever
the City has been authorized under applicable law (as defined in the Debt Reform Act) to issue
revenue bonds under the Municipal Code, the City may issue its general obligation alternate
bonds (as defined in the Debt Reform Act) in lieu of such revenue bonds; and
WHEREAS, for the purpose of providing funds to pay the costs of the Water Project and in
accordance with the provisions of Division 129 of Article 11 of the Municipal Code, the
Corporate Authorities adopted Ordinance No. 2024-16 on May 14, 2024 (the "Authorizing Water
Bonds Ordinance"), authorizing the issuance of the City's water revenue bonds (the "Revenue
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Bonds"), as provided in the Municipal Code, in an aggregate principal amount not to exceed
$25,000,000, and further authorizing the issuance of its general obligation alternate revenue
bonds (the "Alternate Water Bonds") in lieu of the Revenue Bonds, as provided in the Debt
Reform Act, in an aggregate principal amount not to exceed $25,000,000; and
WHEREAS, on the 17th dayof May, 2024, a notice of the adoption of the Authorizing
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Water Bonds Ordinance (the "Water Bonds Notice"), in statutory form, was published in the
Aurora Beacon-News, the same being a newspaper of general circulation in the City, and an
affidavit evidencing the publication of the Water Bonds Notice has heretofore been presented to
the Corporate Authorities and made a part of the permanent records of the City; and
WHEREAS, on the 17th day of May, 2024, the Authorizing Water Bonds Ordinance was
published in the Aurora Beacon-News, the same being a newspaper of general circulation in the
City, and an affidavit evidencing the publication of the Authorizing Water Bonds Ordinance has
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 Water Bonds Ordinance and the Water Bonds 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 Revenue Bonds or the Alternate Water Bonds be submitted to
referendum; and
WHEREAS, the Water Project constitutes a lawful corporate purpose within the meaning
of the Debt Reform Act; and
WHEREAS, the Corporate Authorities are now authorized to issue the Revenue Bonds to
the maximum aggregate ate amount of$25,000,000 or, in lieu thereof, the Alternate Water Bonds, to
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the maximum aggregate amount of$25,000,000 in accordance with the provisions of the Debt
Reform Act, and the Corporate Authorities hereby determine that it is necessary and desirable
that there be issued at this time the entire authorized amount, being not to exceed $25,000,000 of
the Alternate Water Bonds so authorized, for the purpose of providing funds to pay the costs of
the Water Project; and
WHEREAS, the Alternate Water Bonds to be issued will be payable from (i) the net
revenues derived from the operation of the System, (ii) all collections of any non-home rule
"places for eating" sales tax imposed by the City and deposited into the City's Water Fund (the
"Water Fund"), and (iii) certain moneys on deposit from time to time in the funds and accounts
held within the Water Fund (collectively, the "Pledged Water Revenues") and, if the Pledged
Water Revenues are insufficient to pay the Alternate Water Bonds, payable also from ad valorem
property taxes upon all taxable property in the City without limitation as to rate or amount (the
"Pledged Taxes"); and
WHEREAS, the Alternate Water Bonds will be issued on a parity with the Series 2023A
Bonds (as hereinafter defined), and will be secured ratably and equally by the Pledged Water
Revenues with such Series 2023A Bonds, which Series 2023A Bonds shall be the only
outstanding obligations of the City payable from the Pledged Water Revenues on a parity basis
with the Alternate Water Bonds following the payment in full on December 30, 2024 of the
City's General Obligation(Alternate Revenue Source) Refunding Bonds, Series 2014C;
WHEREAS, the Series 2023A Bonds were issued pursuant to the Series 2023A Bond
Ordinance (as hereinafter defined), in which the City expressly reserved the right to issue
"Additional Bonds" as therein defined, provided that certain conditions are met;
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WHEREAS, the Corporate Authorities have heretofore and do hereby determine in
accordance with the provisions of the Debt Reform Act that the Pledged Water Revenues will be
sufficient to provide for or pay in each year to final maturity of the Alternate Water Bonds all of
the following: (1) costs of operation and maintenance of the System, but not including
depreciation, (2) debt service on all outstanding revenue bonds payable from the Pledged Water
Revenues, (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 Pledged Water Revenues, and (5) in each year, an amount not less than 1.25 times debt
service on all (i) alternate revenue bonds payable from the Pledged Water Revenues previously
issued by the City and then outstanding, and (ii) the Alternate Water Bonds proposed to be
issued pursuant to this Ordinance; and
WHEREAS, such determination of the sufficiency of the Pledged Water Revenues is
supported by reference to the report dated the date hereof (the "Water Report"), of Speer
Financial, Inc., Chicago, Illinois ("Speer"), which Water Report has been presented to and
accepted by the Corporate Authorities and is now on file with the City Clerk; and
WHEREAS, pursuant to and in accordance with the provisions of the Bond Issue
Notification Act of the State of Illinois ("BINA"), the Mayor executed an Order on May 14,
2024 calling a public hearing (the "Water Bonds Hearing") for the 28th day of May, 2024,
concerning the intent of the Corporate Authorities to sell not to exceed $25,000,000 General
Obligation Alternate Revenue Bonds with respect to the Water Project; and
WHEREAS, notice of the Water Bonds 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 Water Bonds
Hearing in the Aurora Beacon-News, the same being a newspaper of general circulation in the
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City, and (ii) by posting at least 48 hours before the Water Bonds Hearing a copy of said
notice at the principal office of the Corporate Authorities, which notice was continuously
available to the public for the 48-hour period preceding the Water Bonds Hearing; and
WHEREAS, on the 17th day of May, 2024, notice of the Water Bonds Hearing was
published in the Aurora Beacon-News, the same being a newspaper of general circulation in
the City, and an affidavit evidencing the publication of the notice of the Water Bonds Hearing
has heretofore been presented to the Corporate Authorities and made a part of the permanent
records of the City; and
WHEREAS, the Water Bonds Hearing was opened on the 28th day of May, 2024, and at
the Water Bonds Hearing the Corporate Authorities explained the reasons for the proposed
water bond issue and permitted persons desiring to be heard an opportunity to present written
or oral testimony within reasonable time limits; and
WHEREAS, the Water Bonds Hearing was finally adjourned on the 28th day of May,
2024, and not less than seven (7) days have passed since the final adjournment of the Water
Bonds Hearing; and
WHEREAS, the Corporate Authorities have determined that it is advisable, necessary and
in the best interests of the public health, safety, welfare and convenience of the City to acquire
certain real property located within the City, including, without limitation, approximately twelve
acres of the real property known as Lot 4 in the Yorkville Business Center located within the
City, construct a new public works facility thereon, and provide for certain other capital
infrastructure projects within the City (collectively, the "Public Works Project"), all in
accordance with the preliminary plans and estimates of costs therefor heretofore presented to the
Corporate Authorities; and
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WHEREAS, the estimated costs of the Public Works Project, including, without limitation,
legal, financial, bond discount, bond registrar, paying agent and other related banking fees,
printing and publication costs and other expenses and costs, are estimated by the Corporate
Authorities to be not more than $40,000,000, but the City does not currently have sufficient
funds on hand and lawfully available to pay such costs, nor does it expect to have sufficient
funds on hand and lawfully available to pay such costs; and
WHEREAS, it is necessary and for the best interests of the City that the Public Works
Project be constructed; and
WHEREAS, pursuant to the provisions of Section 15 of the Debt Reform Act, whenever
there exists a revenue source (as defined in the Debt Reform Act) for the City, the City may issue
its "Alternate Bonds", being general obligation bonds of the City payable from such revenue
source; and
WHEREAS, for the purpose of providing funds to pay the costs of the Public Works
Project and in accordance with the provisions of Section 15 of the Debt Reform Act, the
Corporate Authorities adopted Ordinance No. 2024-18 on May 14, 2024 (the "Authorizing
Public Works Ordinance"), authorizing the issuance of the City's general obligation alternate
revenue bonds (the "Public Works Bonds"), as provided in the Debt Reform Act, in an aggregate
principal amount not to exceed $40,000,000 and payable from (i) all collections distributed to the
City pursuant to the State Revenue Sharing Act from those taxes imposed by the State of Illinois
pursuant to subsections (a) and (c) of Section 201 of the Illinois Income Tax Act, as
supplemented and amended from time to time, or substitute taxes thereof as provided by the
State of Illinois in the future, (ii) the collections by the City of all natural gas and electric utility
taxes imposed by the City pursuant to Section 8-11-2 of the Municipal Code or successor taxes
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thereto, (iii) all collections distributed to the City from the State of Illinois from those taxes
imposed by the City pursuant to the its Simplified Municipal Telecommunications Tax, or any
successor tax thereto, (iv) the collections by the City of all cable television franchise taxes
imposed bythe Citypursuant to the Municipal Code or anysuccessor taxes thereto, and (v) such
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other funds of the City as may be necessary and on hand from time to time and lawfully available
for such purpose (collectively, the"Pledged Public Works Revenues"), and, if the Pledged Public
Works Revenues are insufficient to pay the Public Works Bonds, payable also from the Pledged
Taxes; and
WHEREAS, on the 17th day of May, 2024, a notice of the adoption of the Authorizing
Public Works Ordinance (the "Public Works Notice"), in statutory form, was published in the
Aurora Beacon-News, the same being a newspaper of general circulation in the City, and an
affidavit evidencing the publication of the Public Works Notice has heretofore been presented to
the Corporate Authorities and made a part of the permanent records of the City; and
WHEREAS, on the 17th day of May, 2024, the Authorizing Public Works Ordinance was
published in the Aurora Beacon-News, the same being a newspaper of general circulation in the
City, and an affidavit evidencing the publication of the Authorizing Public Works Ordinance has
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 Public Works Ordinance and the Public Works 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 Public Works Bonds be submitted to referendum; and
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WHEREAS, pursuant to and in accordance with the provisions of BINA, the Mayor
executed an Order on May 14, 2024 calling a public hearing (the "Public Works Bonds
Hearing") for the 28th day of May, 2024, concerning the intent of the Corporate Authorities to
sell not to exceed $40,000,000 General Obligation Alternate Revenue Bonds with respect to
the Public Works Project; and
WHEREAS, notice of the Public Works Bonds 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 Water
Bonds Hearing in the Aurora Beacon-News, the same being a newspaper of general circulation
in the City, and (ii) by posting at least 48 hours before the Public Works Bonds Hearing a
copy of said notice at the principal office of the Corporate Authorities; and
WHEREAS, on the 17th day of May, 2024, notice of the Public Works Bonds Hearing
was published in the Aurora Beacon-News, the same being a newspaper of general circulation
in the City, and an affidavit evidencing the publication of the notice of the Public Works
Bonds Hearing has heretofore been presented to the Corporate Authorities and made a part of
the permanent records of the City; and
WHEREAS, the Public Works Bonds Hearing was opened on the 28th day of May, 2024,
and at the Public Works Bonds Hearing the Corporate Authorities explained the reasons for
the proposed public works bond issue and permitted persons desiring to be heard an
opportunity to present written or oral testimony within reasonable time limits; and
WHEREAS, the Public Works Bonds Hearing was finally adjourned on the 28th day of
May, 2024, and not less than seven (7) days have passed since the final adjournment of the
Public Works Bonds Hearing; and
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WHEREAS, the Public Works Project constitutes a lawful corporate purpose within the
meaning of the Debt Reform Act; and
WHEREAS, the Public Works Bonds will be payable from the Pledged Public Works
Revenues and the Pledged Taxes; and
WHEREAS, pursuant to and in accordance with the provisions of the Debt Reform Act, the
City is authorized to issue the Public Works Bonds in the aggregate principal amount of not to
exceed $40,000,000 for the purpose of providing funds to pay the costs of the Public Works
Project and all related costs and expenses incidental thereto, and the Corporate Authorities
hereby determine that it is necessary and desirable that the Public Works Bonds be issued in the
aggregate principal amount of$40,000,000; and
WHEREAS, the Corporate Authorities have heretofore and it is hereby determined that
the Pledged Public Works Revenues will be sufficient to provide or pay in each year to the final
maturity of the Public Works Bonds an amount not less than 1.25 times debt service on (i) debt
service on all outstanding alternate revenue bonds, if any, previously issued by the City and
payable from the Pledged Public Works Revenues, and (ii) the Public Works Bonds proposed to
be issued pursuant to this Ordinance; and
WHEREAS, such determination of the sufficiency of the Pledged Public Works Revenues
is supported by reference to the most recent audit of the City for the fiscal year ending April 30,
2024, which, pursuant to the Debt Reform Act, is for a fiscal year ending not earlier than
eighteen(18)months previous to the time of issuance of the Public Works Bonds; and
WHEREAS, the City has heretofore issued its General Obligation (Alternate Revenue
Source) Bonds, Series 2014A (the "2014A Bonds"), which 2014A Bonds are binding and
subsisting legal obligations of the City; and
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WHEREAS, the 2014A Bonds coming due December 1, 2025 through December 1, 2033
are subject to redemption at the option of the Cityon anydate on and after December 1,
p p2024,
at a redemptionprice ofpar, plus accrued interest to the dated fixed for redemption, as
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provided in the ordinance of the Corporate Authorities authorizing the issuance of the 2014A
Bonds; and
WHEREAS, the Corporate Authorities have considered and determined that since interest
rates are more favorable for the City at this time, it is possible, proper and advisable, and in the
best interests of the City, to refund all or a portion of the 2014A Bonds (the "2014A
Refunding") on the date and in the amounts as provided in the relevant Bond Order in order to
achieve debt service savings resulting from such favorable interest rates; and
WHEREAS, pursuant to the provisions of the Debt Reform Act, and particularly Section
15 thereof (pursuant to which alternate revenue bonds are authorized to be issued), the City
may issue its alternate revenue bonds to refund alternate revenue bonds previously issued by
the City (such as the 2014A Bonds) without meeting any of the conditions set forth in the Debt
Reform Act and Section 15 thereof, provided that the term of the refunding bonds shall not be
longer than the term of the refunded bonds and that the debt service payable in any year on the
refunding bonds shall not exceed the debt service payable in such year on the refunded bonds;
and
WHEREAS, the Corporate Authorities hereby determine that it is necessary and
desirable that there be issued at this time alternate bonds in the aggregate amount of not to
exceed $2,500,000 (the "Series 2025C Refunding Bonds") for the 2014A Refunding and in
order to effect a savings in debt service; and
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WHEREAS, the term of the Series 2025C Refunding Bonds shall not be longer than the
term of the 2014A Bonds and the debt service payable in any year on the Series 2025C
Refunding Bonds shall not exceed the debt service payable in such year on the 2014A Bonds;
and
WHEREAS, the Series 2025C Refunding Bonds will be payable from the sales taxes
received by the City pursuant to the Use Tax Act, the Service Use Tax Act, the Service
Occupation Tax Act, and the Retailer's Occupation Tax Act, each as supplemented and
amended from time to time by the General Assembly of the State of Illinois (collectively, the
"Pledged Sales Tax Revenues"), and, if the Pledged Sales Tax Revenues are insufficient to
pay the Series 2025C Refunding Bonds, payable also from the Pledged Taxes; and
WHEREAS, the Series 2025C Refunding Bonds will be issued on a parity with the
Series 2025D Refunding Bonds (as hereinafter defined) with respect to the Pledged Sales Tax
Revenues, and be secured ratably and equally by the Pledged Sales Tax Revenues with such
Series 2025D Refunding Bonds;
WHEREAS, the Series 2025C Refunding Bonds will also be issued on a parity with the
Series 2015A Bonds (as hereinafter defined) with respect to the Pledged Sales Tax Revenues,
and will be secured ratably and equally by the Pledged Sales Tax Revenues with such Series
2015A Bonds, which Series 2015A Bonds shall be the only outstanding obligations of the City
payable from the Pledged Sales Tax Revenues on a parity basis with the Series 2025C Refunding
Bonds and the Series 2025D Refunding Bonds;
WHEREAS, the Series 2015A Bonds were issued pursuant to the Series 2015A Bond
Ordinance (as hereinafter defined), in which the City expressly reserved the right to issue
"Additional Bonds" as therein defined, provided that certain conditions are met;
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WHEREAS, the estimated aggregate costs of the 2014A Refunding, plus all related costs
and expenses incidental thereto, is $2,500,000, plus investment earnings thereon; and
WHEREAS, the City does not have sufficient funds on hand and lawfully available to
provide for the 2014A Refunding and the payment of all related costs and expenses incidental
thereto; and
WHEREAS, the 2014A Refunding constitutes a lawful corporate purpose within the
meaning of the Debt Reform Act; and
WHEREAS, the City has heretofore issued its General Obligation (Alternate Revenue
Source) Refunding Bonds, Series 2014 (the "2014 Bonds"), which 2014 Bonds are binding
and subsisting legal obligations of the City; and
WHEREAS, the 2014 Bonds are subject to redemption at the option of the City on any
date on and after December 1, 2023, at a redemption price of par, plus accrued interest to the
dated fixed for redemption, as provided in the ordinance of the Corporate Authorities
authorizing the issuance of the 2014 Bonds; and
WHEREAS, the Corporate Authorities have considered and determined that since interest
rates are more favorable for the City at this time, it is possible, proper and advisable, and in the
best interests of the City, to refund all or a portion of the 2014 Bonds (the "2014 Refunding")
on the date and in the amounts as provided in the relevant Bond Order in order to achieve debt
service savings resulting from such favorable interest rates; and
WHEREAS, pursuant to the provisions of the Debt Reform Act, and particularly Section
15 thereof(pursuant to which alternate revenue bonds are authorized to be issued), the City
may issue its alternate revenue bonds to refund alternate revenue bonds previously issued by
the City (such as the 2014 Bonds) without meeting any of the conditions set forth in the Debt
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Reform Act and Section 15 thereof, provided that the term of the refunding bonds shall not be
longer than the term of the refunded bonds and that the debt service payable in any year on the
refunding bonds shall not exceed the debt service payable in such year on the refunded bonds;
and
WHEREAS, the Corporate Authorities hereby determine that it is necessary and
desirable that there be issued at this time alternate bonds in the aggregate amount of not to
exceed $1,350,000 (the "Series 2025D Refunding Bonds") for the 2014 Refunding and in
order to effect a savings in debt service; and
WHEREAS, the term of the Series 2025D Refunding Bonds shall not be longer than the
term of the 2014 Bonds and the debt service payable in any year on the Series 2025D
Refunding Bonds shall not exceed the debt service payable in such year on the 2014 Bonds;
and
WHEREAS, the Series 2025D Refunding Bonds will be payable from (a) the Pledged
Sales Tax Revenues, and (b) (i) the incremental property taxes if, as and when received, to be
derived from the US Route 34 & IL Route 47 (Countryside Shopping Center) Tax Increment
Financing Redevelopment Project Area (the "Countryside TIE Area") and to be received by
the City, and (ii) moneys on deposit in and to the credit of the various accounts of the special
tax allocation fund heretofore created for the Countryside TIF Area(collectively, the"Pledged
TIE Revenues") and, if the Pledged Sales Tax Revenues and the Pledged TIF Revenues are
insufficient to pay the Series 2025D Refunding Bonds, payable also from the Pledged Taxes;
and
WHEREAS, the Series 2025D Refunding Bonds will be issued on a parity with the
Series 2025C Refunding Bonds with respect to the Pledged Sales Tax Revenues, and be
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secured ratably and equally by the Pledged Sales Tax Revenues with the Series 2025C
Refunding Bonds;
WHEREAS, the Series 2025D Refunding Bonds will also be issued on a parity with the
Se
ries es 2015A Bonds with respect to the Pledged Sales Tax Revenues, and will be secured ratably
and equally bythe Pledged Sales Tax Revenues with such Series 2015A Bonds, which Series
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2015A Bonds shall be the only outstanding obligations of the City payable from the Pledged
Sales Tax Revenues on a parity basis with the Series 2025C Refunding Bonds and the Series
2025D Refunding Bonds;
WHEREAS, the Series 2015A Bonds were issued pursuant to the Series 2015A Bond
Ordinance, in which the City expressly reserved the right to issue "Additional Bonds" as
therein defined,provided that certain conditions are met;
WHEREAS, the estimated aggregate costs of the 2014 Refunding, plus all related costs
and expenses incidental thereto, is $1,350,000, plus investment earnings thereon; and
WHEREAS, the City does not have sufficient funds on hand and lawfully available to
provide for the 2014 Refunding and the payment of all related costs and expenses incidental
thereto; and
WHEREAS, the 2014 Refunding constitutes a lawful corporate purpose within the
meaning of the Debt Reform Act; and
WHEREAS, the Property Tax Extension Limitation Law of the State of Illinois, as
amended ("PTELL"), 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 PTELL does not include extensions made for any taxing district subject to PTELL
to pay interest or principal on bonds issued under Section 15 of the Debt Reform Act; and
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WHEREAS, the County Clerk of the County of Kendall, Illinois is therefore authorized
to extend and collect said property taxes so levied for the payment of the Water Bonds, the
Public Works Bonds, the Series 2025C Refunding Bonds and the Series 2025D Refunding
Bonds (collectively, the"Bonds"), as alternate bonds, without limitation as to rate or amount;
WHEREAS, the Corporate Authorities deem it necessary and desirable at this time to
authorize the sale of one or more series of the Bonds and to authorize the Mayor and the
Treasurer of the City to provide for the sale thereof and thereupon to execute one or more
Bond Orders (each, a"Bond Order"), all subject to the limitations hereinafter set forth; and
WHEREAS, the City shall further set forth the terms of each series of Bonds as provided
in the relevant Bond Order.
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:
"2014 Bonds" means the City's General Obligation (Alternate Revenue Source)
Refunding Bonds, Series 2014 in the original principal amount of $1,235,000 issued on
January 6, 2014.
"2014A Bonds" means the City's General Obligation (Alternate Revenue Source)
Bonds, Series 2014A in the original principal amount of $4,295,000 issued on August 5,
2014.
"2014 Refunding" means the refunding of the 2014 Bonds with the proceeds of the
Series 2025D Bonds pursuant to the terms hereof.
"2014A Refunding" means the refunding of the 2014A Bonds with the proceeds of the
Series 2025C Bonds pursuant to the terms hereof.
"2025A Bond Fund"means the 2025A Alternate Bond Fund established hereunder and
further described in Section 17 of this Ordinance.
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"2025A Pledged Revenues Account" means the 2025A Pledged Revenues Account
established hereunder and further described in Section 16 of this Ordinance.
"2025B Bond Fund"means the 2025B Alternate Bond Fund established hereunder and
further described in Section 23 of this Ordinance.
"2025C Bond Fund"means the 2025C Alternate Bond Fund established hereunder and
further described in Section 27 of this Ordinance.
"2025C Pledged Revenues Account" means the 2025C Pledged Revenues Account
established hereunder and further described in Section 27 of this Ordinance.
"2025D Bond Fund"means the 2025D Alternate Bond Fund established hereunder and
further described in Section 31 of this Ordinance.
"2025D Pledged Sales Tax Revenues Account" means the 2025D Pledged Sales Tax
Revenues Account established hereunder and further described in Section 31 of this
Ordinance.
"2025D Pledged TIF Revenues Account" means the 2025D Pledged TIF Revenues
Account established hereunder and further described in Section 31 of this Ordinance.
"Act" means the Local Government Debt Reform Act of the State of Illinois, as
amended.
"Additional Public Works Revenues Bonds" means any alternate bonds to be issued
subsequent in time to the Series 2025B Public Works Bonds in accordance with the provisions
of the Act on a parity with and sharing ratably and equally in the Pledged Public Works
Revenues with the Series 2025B Public Works Bonds.
"Additional Sales Tax Revenues Bonds" means any alternate bonds to be issued
subsequent in time to the Series 2025C Refunding Bonds and/or the Series 2025D Refunding
Bonds in accordance with the provisions of the Act on a parity with and sharing ratably and
equally in the Pledged Sales Tax Revenues with the Series 2025A Bonds, the Series 2025C
Refunding Bonds, the Series 2025D Refunding Bonds.
"Additional TIF Revenue Bonds" means any alternate bonds to be issued subsequent
in time to the Series 2025D Refunding Bonds in accordance with the provisions of the Act on
a parity with and sharing ratably and equally in the Pledged TIF Revenues with the Series
2025D Refunding Bonds.
"Additional Water Bonds" means (i) any revenue bonds to be issued subsequent in
time to the Series 2025A Water Bonds in accordance with the provisions of the Municipal
Code, and (ii) any alternate bonds to be issued subsequent in time to the Series 2025A Water
Bonds in accordance with the provisions of the Act, in either case on a parity with and sharing
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ratably and equally in all or a portion of the Pledged Water Revenues with the Series 2025A
Water Bonds and the Series 2023A Bonds.
"Additional IEPA Loans" means any revenue bonds payable from the Net Revenues
issued subsequent in time to the Series 2025A Water Bonds in connection with an IEPA Loan,
issued either subordinate to or on a parity with, and sharing ratably and equally in, the Net
Revenues with the IEPA Loans, the Series 2023A Bonds, the Series 2025A Water Bonds or
the Additional Water Bonds.
"Alternate Bond and Interest Account (Public Works 2025)" means the Alternate
Bond and Interest Account (Public Works 2025) established hereunder and further described
by Section 21 of this Ordinance.
"Alternate Bond and Interest Account (2023)"means the Alternate Bond and Interest
Account (2023) established under and further described by Section 11 of the Series 2023
Bond Ordinance.
"Alternate Bond and Interest Account(Water)"means the Alternate Bond and Interest
Account(2023) continued and renamed pursuant to Section 12 of this Ordinance.
"Bond" or "Bonds" means one or more, as applicable, of(i) the Series 2025A Water
Bonds, (ii) Series 2025B Public Works Bonds, (iii) the Series 2025C Refunding Bonds, and
(iv) the Series 2025D Refunding Bonds.
"Bond Order" means any written Bond Order hereinafter authorized to be executed by
the Designated Officers and setting forth certain details of the Bonds, the Water Project, the
Public Works Project, the 2014 Refunding and the 2014A Refunding as hereinafter provided.
"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 Amalgamated Bank of Chicago, Chicago, Illinois, a bank or
trust company having trust powers, or a successor thereto or a successor designated as Bond
Registrar hereunder, or such other registrar as may be set forth in the Bond Order.
"City"means the United City of Yorkville, Kendall County, Illinois.
"Clerk"means the Clerk of the City.
"Code"means the Internal Revenue Code of 1986, as amended.
"Corporate Authorities"means the City Council of the City.
"Countryside TIF Area" means the US Route 34 & IL Route 47 (Countryside Shopping
Center) Tax Increment Financing Redevelopment Project Area located within the City.
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"County Clerk"means the County Clerk of the County of Kendall, Illinois.
"Depository" means The Depository Trust Company, New York, New York, its
successors, or a successor depository qualified to clear securities under applicable state and
federal laws.
"Designated Officers" means the Mayor, the Treasurer, or the Clerk, or any of them
acting together, and their respective successors and assigns.
"Escrow Agent" means Amalgamated Bank of Chicago, Chicago, Illinois, as escrow
agent, or its successors and assigns
"Escrow Agreement— 2014 Refunding"means the agreement by and between the City
and the Escrow Agent authorized under Section 30 of this Ordinance with respect to the 2014
Refunding.
"Escrow Agreement — 2014A Refunding" means the agreement by and between the
City and the Escrow Agent authorized under Section 26 of this Ordinance with respect to the
2014A Refunding.
"Expense Fund (2025A)" means the fund established hereunder and further described
by Section 10 of this Ordinance.
"Expense Fund(2025B)" means the fund established hereunder and further described
by Section 19 of this Ordinance.
"Expense Fund(2025C)" means the fund established hereunder and further described
by Section 26 of this Ordinance.
"Expense Fund(2025D)" means the fund established hereunder and further described
by Section 30 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 Water Bond Ordinances" means the ordinances of the City authorizing the
issuance of bonds or other debt payable from the Pledged Water Revenues, but not including
the Series 2023A Bond Ordinance, this Ordinance or any other ordinance authorizing the
issuance of Additional Water Bonds.
"Government Securities" means bonds, notes, certificates of indebtedness, treasury
bills or other securities constituting direct obligations of the United States of America and all
securities or obligations, the prompt payment of principal and interest of which is guaranteed
by a pledge of the full faith and credit of the United States of America.
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"Gross Revenues" means all income from whatever source derived from the System,
including, without limitation, (i) investment income; (ii) connection, permit and inspection
fees and the like; and (iii) penalties and delinquency charges; but expressly excluding (a) non-
recurring income from the sale of property of the System; (b) governmental or other grants;
(c) advances from or grants made to the City; (d) capital development, reimbursement, or
recovery charges and the like; and (e) annexation or pre-annexation charges insofar as
designated by the Corporate Authorities as paid for System connection or service; and as
otherwise determined in accordance with generally accepted accounting principles for
municipal enterprise funds.
"IEPA" means the Illinois Environmental Protection Agency, or any successor agency
under the laws of the State.
"IEPA Loans" means, collectively, all from time to time Outstanding loans to the City
from the IEPA.
"IEPA Loan Account" means any loan account established under any ordinance
adopted by the Corporate Authorities from time to time with respect to an IEPA Loan or an
Additional IEPA Loan.
"Insurer" means any issuer of a municipal bond insurance or financial guaranty policy
relating to the Bonds, or any portion or series thereof, as so identified in any Bond Order.
"Mayor"means the Mayor of the City.
"Municipal Code" means the Illinois Municipal Code, as amended, and all laws
amendatory thereof and supplementary thereto.
"Net Revenues"means Gross Revenues minus Operation and Maintenance Expenses.
"Operation and Maintenance Expenses"means all expenses of operating, maintaining
and routine repair of the System, including wages, salaries, costs of materials and supplies,
power, fuel, insurance, purchase of water (including all payments by the City pursuant to long
term contracts for such services as and to the extent provided in such contracts and specifically
including all payments to the DuPage Water Commission for the purchase of water); but
excluding debt service, depreciation, or any reserve requirements; and otherwise determined in
accordance with generally accepted accounting principles for municipal enterprise funds.
"Ordinance" means this Ordinance, numbered as set forth on the title page hereof,
passed by the Corporate Authorities on the loth day of December, 2024, as supplemented and
amended.
"Outstanding"when used with reference to the Series 2015A Bonds, the Series 2025B
Public Works Bonds, the Series 2025C Refunding Bonds, the Series 2025D Refunding Bonds,
the Additional Public Works Revenues Bonds, the Additional Sales Tax Revenues Bonds or
the Additional TIF Revenue Bonds, means such of those bonds which are outstanding and
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unpaid; provided, however, such term shall not include any of the Series 2015A Bonds, the
Series 2025B Public Works Bonds, the Series 2025C Refunding Bonds, the Series 2025D
Refunding Bonds, the Additional Public Works Revenues Bonds, the Additional Sales Tax
Revenues Bonds or the Additional TIF Revenue 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 thereon, 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 direct, full
faith and credit obligations of the United States of America, 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, if any, on such the Series 2015A Bonds, the Series 2025B Public
Works Bonds, the Series 2025C Refunding Bonds, the Series 2025D Refunding Bonds, the
Additional Public Works Revenues Bonds, the Additional Sales Tax Revenues Bonds or the
Additional TIF Revenue Bonds.
"Outstanding" and "Outstanding Water Bonds", when used solely with reference to any
of the Series 2025A Water Bonds, the Series 2023A Bonds, the Additional Water Bonds, the
IEPA Loans or the Additional IEPA Loans, means such of those Series 2025A Water Bonds,
the Series 2023A Bonds, the Additional Water Bonds, the IEPA Loans or the Additional IEPA
Loans which are outstanding and unpaid; provided, however, such term shall not include any
of the Series 2025A Water Bonds, the Series 2023A Bonds, the Additional Water Bonds, the
IEPA Loans or the Additional IEPA Loans (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 thereon, 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 direct, full faith and credit
obligations of the United States of America, 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, if any, on the Series 2025A Water Bonds, the Series 2023A Bonds, the
Additional Water Bonds, the IEPA Loans and the Additional IEPA Loans.
"Paying Agent" means Amalgamated Bank of Chicago, Chicago, Illinois, a bank or
trust company having trust powers, or a successor thereto or a successor designated as Paying
Agent hereunder.
"Places for Eating Tax" means the non-home rule sales tax on the gross receipts for
prepared food and beverages sold at retail establishments for immediate consumption imposed
by the City pursuant to an ordinance adopted by the Corporate Authorities on June 27, 2023,
the revenues from which are to be deposited into the Water Fund.
"Pledged Public Works Moneys" means the Pledged Public Works Revenues and the
Series 2025B Pledged Taxes, as all of such terms are defined herein.
"Pledged Public Works Revenues"means, collectively, (i) all collections distributed to
the City pursuant to the State Revenue Sharing Act from those taxes imposed by the State of
Illinois pursuant to subsections (a) and (c) of Section 201 of the Illinois Income Tax Act, as
supplemented and amended from time to time, or substitute taxes thereof as provided by the
State of Illinois in the future, (ii) the collections by the City of all natural gas and electric
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utility taxes imposed by the City pursuant to Section 8-11-2 of the Municipal Code or
successor taxes thereto, (iii) all collections distributed to the City from the State of Illinois
from those taxes imposed by the City pursuant to the its Simplified Municipal
Telecommunications Tax, or any successor tax thereto, (iv) the collections by the City of all
cable television franchise taxes imposed by the City pursuant to the Municipal Code or any
successor taxes thereto, and (v) such other funds of the City as may be necessary and on hand
from time to time and lawfully available for such purpose.
"Pledged Revenues" means, collectively, the Pledged Water Revenues, the Pledged
Public Works Revenues, the Pledged Sales Tax Revenues and the Pledged TIF Revenues, or
each them, as the case may be.
"Pledged Sales Tax Revenues" means the sales taxes received by the City pursuant to
the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailer's
Occupation Tax Act, each as supplemented and amended from time to time by the General
Assembly of the State of Illinois.
"Pledged Taxes" means, collectively, the Series 2025A Pledged Taxes, the Series
2025B Pledged Taxes, the Series 2025C Pledged Taxes and the Series 2025D Pledged Taxes,
or each them, as the case may be.
"Pledged TIF Revenues" means, collectively, (i) the incremental property taxes if, as
and when received, to be derived from the Countryside TIF Area and to be received by the
City, and (ii) moneys on deposit in and to the credit of the various accounts of the Special Tax
Allocation Fund.
"Pledged Water Moneys" means the Pledged Water Revenues and the Series 2025A
Pledged Taxes, as all of such terms are defined herein.
"Pledged Water Revenues" means, collectively, (i) the Net Revenues, (ii) all
collections of the Places for Eating Tax, and (iii) certain moneys on deposit from time to time
in the funds and accounts held within the Water Fund.
"Policy" means a municipal bond or financial guaranty insurance policy issued by an
Insurer.
"Public Works Project" means, collectively, the acquisition of certain real property
located within the City, including, without limitation, approximately twelve (12) acres of the
real property known as Lot 4 in the Yorkville Business Center located within the City, the
construction of a new public works facility thereon, and certain other capital infrastructure
projects within the City.
"Public Works Project Fund" means the Public Works Project Fund established
hereunder and further described in Section 19(c) of this Ordinance.
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"Public Works Revenue Fund" means the Public Works Revenue Fund established
hereunder and further described in Section 20 of this Ordinance.
"Purchase Price" means, for each series of Bonds, not less than 98% of par (not
including original issue discount) as set forth in the relevant Bond Order.
"Purchaser"means Robert W. Baird and Co., Incorporated, Naperville, Illinois or such
other purchaser or purchasers of the Bonds identified in the relevant Bond Order, provided
that such other purchaser or purchasers shall be a bank or financial institution listed in the
Dealers & Underwriters or Municipal Derivatives sections of the most recent edition of The
Bond Buyer's Municipal Marketplace.
"Series 2015A Bond Ordinance" means Ordinance Number 2015-53 adopted by the
Corporate Authorities on June 23, 2015 authorizing the issuance of the Series 2015A Bonds.
"Series 2023A Bond Ordinance" means Ordinance Number 2023-24 adopted by the
Corporate Authorities on July 11, 2023 authorizing the issuance of the Series 2023A Bonds.
"Series 2015A Bonds" means the $5,575,000 original aggregate principal amount
General Obligation Bonds (Alternate Revenue Source), Series 2015A issued by the City
pursuant to the Series 2015A Bond Ordinance, less any of said bonds that are no longer
"Outstanding"hereunder.
"Series 2023A Bonds" means the $9,985,000 original aggregate principal amount
General Obligation Bonds (Alternate Revenue Source), Series 2023A issued by the City
pursuant to the Series 2023A Bond Ordinance, less any of said bonds that are no longer
"Outstanding"hereunder.
"Series 2025A Pledged Taxes" means the ad valorem taxes levied against all the
taxable property within the City without limitation as to rate or amount, pledged hereunder by
the City as security for the Series 2025A Water Bonds.
"Series 2025A Water Bond" or "Series 2025A Water Bonds" means one or more, as
applicable, of the not to exceed $25,000,000 General Obligation Bonds (Alternate Revenue
Source), Series 2025A, authorized to be issued by the City pursuant to this Ordinance or such
other designation as set forth in the relevant Bond Order.
"Series 2025B Pledged Taxes" means the ad valorem taxes levied against all the
taxable property within the City without limitation as to rate or amount, pledged hereunder by
the City as security for the Series 2025B Public Works Bonds.
"Series 2025B Public Works Bond"or "Series 2025B Public Works Bonds"means one
or more, as applicable, of the not to exceed $40,000,000 General Obligation Bonds (Alternate
Revenue Source), Series 2025B, authorized to be issued by the City pursuant to this
Ordinance or such other designation as set forth in the relevant Bond Order.
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"Series 2025C Pledged Taxes" means the ad. valorem taxes levied against all the
taxable property within the City without limitation as to rate or amount, pledged hereunder by
the City as security for the Series 2025C Refunding Bonds.
"Series 2025C Refunding Bond" or "Series 2025C Refunding Bonds" means one or
more, as applicable, of the not to exceed $2,500,000 General Obligation Refunding Bonds
(Alternate Revenue Source), Series 2025C, authorized to be issued by the City pursuant to this
Ordinance or such other designation as set forth in the relevant Bond Order.
"Series 2025C Pledged Moneys" means the Pledged Sales Tax Revenues and the
Series 2025C Pledged Taxes, as all of such terms are defined herein.
"Series 2025D Pledged Taxes" means the ad valorem taxes levied against all the
taxable property within the City without limitation as to rate or amount, pledged hereunder by
the City as security for the Series 2025D Refunding Bonds.
"Series 2025D Refunding Bond" or "Series 2025D Refunding Bonds" means one or
more, as applicable, of the not to exceed $1,350,000 General Obligation Refunding Bonds
(Alternate Revenue Source), Series 2025D, authorized to be issued by the City pursuant to this
Ordinance or such other designation as set forth in the relevant Bond Order.
"Series 2025D Pledged Moneys" means the Pledged Sales Tax Revenues, the Pledged
TIF Revenues and the Series 2025D Pledged Taxes, as all of such terms are defined herein.
"Special Tax Allocation Fund" means the Special Tax Allocation Fund for the
Countryside TIF Area heretofore established by the City for the Countryside TIF Area, and
expressly continued hereunder.
"Speer"means Speer Financial, Inc., Chicago, Illinois.
"System" refers to all property, real, personal or otherwise owned or to be owned by
the City or under the control of the City, and used for waterworks and sewerage purposes,
including any and all further extensions, improvements and additions to the System.
"Treasurer"means the Treasurer of the City.
"Water Project" means, collectively, the enhancement of the System, including
replacing existing water mains, modifying the existing raw water main and water treatment
plant and other capital improvements relating to the System, and the construction of a new
water supply line and connection to the DuPage Water Commission for a new source of water.
"Water Project Fund"means the Water Project Fund established hereunder and further
described in Section 10(c) of this Ordinance.
"Water Fund" means the Water Fund of the City continued hereunder and further
described in Section 11 of this Ordinance.
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Section 2. Incorporation of Preambles;Acceptance of Water Report. 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 thereto.
The Water Report is hereby accepted and approved by the Corporate Authorities, and it is
hereby found and determined that Speer is a feasibility analyst having a national reputation for
expertise in such matters as the Water Report.
Section 3. Determination to Issue Bonds. It is hereby found and determined that it is
necessary and in the best interests of the City to borrow money and to issue (a) the Series
2025A Water Bonds in the amount of not to exceed $25,000,000 pursuant to the Municipal
Code and the Act for the purpose of paying for the Water Project and all related costs and
expenses incidental thereto, (b) the Series 2025B Public Works Bonds in the amount of not to
exceed $40,000,000 for the purpose of paying for the Public Works Project and all related
costs and expenses incidental thereto, (c) the Series 2025C Refunding Bonds in the aggregate
amount of not to exceed $2,500,000 for the purpose of paying for the 2014A Refunding and
all related costs and expenses incidental thereto, and (d) the Series 2025D Refunding Bonds in
the aggregate amount of not to exceed $1,350,000 for the purpose of paying for the 2014
Refunding and all related costs and expenses incidental thereto, and that such borrowings of
money is necessary for the welfare of the government and affairs of the City, is a public
purpose and is in the public interest.
Section 4. Bond Details.
(a) For the purpose of providing for the payment of the costs of the Water Project,
and all related costs and expenses incidental thereto, there shall be issued and sold the Series
2025A Water Bonds in the principal amount of not to exceed $25,000,000. The Series 2025A
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Water Bonds shall each be designated "General Obligation Bonds (Alternate Revenue
Source), Series 2025A."
(b) For the purpose of providing for the payment of the costs of the Public Works
Project, and all related costs and expenses incidental thereto, there shall be issued and sold the
Series 2025B Public Works Bonds in the principal amount of not to exceed $40,000,000. The
Series 2025B Public Works Bonds shall each be designated "General Obligation Bonds
(Alternate Revenue Source), Series 2025B."
(c) For the purpose of providing for the payment of the costs of the 2014A
Refunding and all related costs and expenses incidental thereto, there shall be issued and sold
the Series 2025C Refunding Bonds in the aggregate principal amount of not to exceed
$2,500,000. The Series 2025C Refunding Bonds shall each be designated "General Obligation
Refunding Bonds (Alternate Revenue Source), Series 2025C."
(d) For the purpose of providing for the payment of the costs of the 2014 Refunding
and all related costs and expenses incidental thereto, there shall be issued and sold the Series
2025D Refunding Bonds in the aggregate principal amount of not to exceed $1,350,000. The
Series 2025D Refunding Bonds shall each be designated "General Obligation Refunding
Bonds (Alternate Revenue Source), Series 2025D."
(e) Each series of the Bonds shall be dated as provided in a Bond Order (such date
being the"Dated Date"), and shall also bear the date of authentication thereof, shall be in fully
registered form, shall be in denominations of $5,000 each and authorized integral multiples
thereof (but no single Bond shall represent installments of principal maturing on more than
one date), and shall be numbered R-1 and upward. The Series 2025A Water Bonds and the
Series 2025B Public Works Bonds shall bear interest to be payable semiannually on June 30
and December 30 in each year, commencing on June 30, 2025, or on such other dates as may
be provided in the relevant Bond Order. The Series 2025C Refunding Bonds and the Series
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2025D Refunding Bonds shall bear interest to be payable semiannually on June 1 and
December 1 in each year, commencing on June 1, 2025, or on such other dates as may be
provided in the relevant Bond Order.
(f) Each series of the Bonds shall mature serially and/or as Term Bonds (subject to
the right of prior redemption hereinafter stated) on December 30 (or on such other dates as
may be provided in the relevant Bond Order) of each of the years and in the amounts and
bearing interest at the rates percent per annum as shall be set forth in the relevant Bond Order,
provided, however, that:
(i) no Bond shall bear interest at a rate percent per annum which is in excess
of five and one-half percent(5.5%);
(ii) no Series 2025A Water Bond shall mature on a date which is later than
December 30, 2055;
(iii) no Series 2025B Public Works Bond shall mature on a date which is later
than December 30, 2048;
(iv) no Series 2025C Refunding Bond shall mature on a date which is later
than December 1, 2033 (which is the maturity date of the 2014A Bonds), and the debt
service payable in any year on the Series 2025C Refunding Bonds shall not exceed the
debt service payable in such year on the 2014A Bonds;
(v) no Series 2025D Refunding Bond shall mature on a date which is later
than December 1, 2029 (which is the maturity date of the 2014 Bonds), and the debt
service payable in any year on the Series 2025D Refunding Bonds shall not exceed the
debt service payable in such year on the 2014 Bonds;
(vi) the aggregate amount of principal payments on the Series 2025A Water
Bonds shall not exceed $2,500,000 in any year and the direct annual tax levy with
respect to the Series 2025A Water Bonds shall in no event exceed $2,750,000 per year;
and
(vii) the aggregate amount of principal payments on the Series 2025B Public
Works shall not exceed $2,700,000 in any year and the direct annual tax levy with
respect to the Series 2025B Public Works Bonds shall in no event exceed $3,000,000
per year.
(g) Each series of the Bonds shall bear interest from the Dated Date or from the
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most recent interest payment date to which interest has been paid or duly provided for, until
the principal amount of the Bonds is paid or duly provided for, such interest being computed
upon the basis of a 360-day year of twelve 30-day months. Interest on each Bond shall be paid
by check or draft of the Paying Agent, payable upon presentation in lawful money of the
United States of America, to the person in whose name such Bond is registered at the close of
business on the 15th day of the month next preceding the interest payment date. The principal
of the Bonds shall be payable in lawful money of the United States of America at the principal
office maintained for the purpose by the Paying Agent in Chicago, Illinois, or at successor
Paying Agent and address.
(h) The Bonds shall be signed by the manual or duly authorized facsimile signature
of the Mayor, and shall be attested by the manual or duly authorized facsimile signature of the
Clerk, and the corporate seal of the City shall be affixed 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.
(i) 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
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shall not be necessary that the same officer sign the certificate of authentication on all of the
Bonds issued hereunder.
Section 5. Redemption.
(a) Optional Redemption. If so provided in the Bond Order(s), the Bonds of a series
may be subject to redemption prior to maturity at the option of the City, from any available
funds, in whole or in part, in any order of their maturity as determined by the City(less than all
of the Bonds of a single maturity to be selected by the Bond Registrar and within any maturity
provided in the applicable Bond Or
der, and on anydate
by lot), on the date of redemptionpp
thereafter, at the redemption price of par plus accrued interest to the redemption date or as
otherwise provided in the applicable Bond Order.
(b) Mandatory Redemption. The Bonds of a series may be subject to mandatory
redemption as Term Bonds as set forth in the Bond Order(s). The City covenants that it will
redeem any Term Bonds pursuant to any mandatory redemption requirement for such Term
Bonds and levy taxes accordingly.
(c) Additional Bonds. Additional Public Works Revenues Bonds, Additional Sales
Tax Revenues Bonds, Additional TIF Revenue Bonds and Additional Water Bonds hereinafter
issued pursuant to the terms hereof may be redeemable at such times and upon such terms as
may be determined at the time of authorization thereof.
(d) Redemption Procedure. Any Bonds of a series that may be subject to optional or
mandatory redemption as set forth in the applicable Bond Order(s) shall be redeemed by the
City pursuant to such procedures as set forth in such Bond Order.
Section 6. Registration of Bonds; Persons Treated as Owners. (a) General. The
City shall cause the Bond Register as provided in this Ordinance to be kept at the principal
office maintained for the purpose by the Bond Registrar in Chicago, Illinois, which is hereby
constituted and appointed the registrar of the City for this issuance of the Bonds. The City is
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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.
Any Bond may be transferred or exchanged, but only in the manner, subject to the
limitations, and upon payment of the charges as set forth in this Ordinance or any Bond Order.
Upon surrender for transfer or exchange of any Bond at the principal office maintained for the
purpose by the Bond Registrar, duly endorsed by, or accompanied by a written instrument or
instruments of transfer or exchange in form satisfactory to the Bond Registrar and duly
executed by the registered owner or an attorney for such owner duly authorized in writing, the
City shall execute and the Bond Registrar shall authenticate, date and deliver in the name of
the transferee or transferees or, in the case of an exchange, the registered owner, a new fully
registered Bond or Bonds of the same maturityof authorized denominations, for a like
g
aggregate principal amount. 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 beginning at the close of business on the fifteenth (15th) day of the month next
preceding any interest payment date on such Bond and ending at the opening of business on
such interest payment date, nor to transfer or exchange any Bond after notice calling such
Bond for redemption has been mailed, nor during a period of fifteen (15) days next preceding
mailing of a notice of redemption of any Bonds.
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 the legal
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representative of such owner. 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 except in the case of the issuance of a Bond or Bonds for the unredeemed portion of a
Bond surrendered for redemption.
(b) Global Book-Entry System. The Bonds of each series shall be initially issued in
the form of a separate single fully registered Bond for each of the maturities of the Bonds as
set forth in the applicable Bond Order. Upon initial issuance, the ownership of each such Bond
shall be registered in the Bond Register in the name of "Cede & Co. ", or any successor
thereto, as nominee of the Depository. All of the Bonds from time to time shall be registered in
the Bond Register in the name of Cede & Co., as nominee of the Depository. The Bond
Registrar is authorized to execute and deliver on behalf of the City such letters to or
agreements with the Depository as shall be necessary to effectuate such book-entry system
(any such letter or agreement being referred to herein as the "Representation Letter").
Without limiting the generality of the authority given with respect to entering into such
Representation Letter, it may contain provisions relating to (a) payment procedures, (b)
transfers of the Bonds or of beneficial interests therein, (c) redemption notices and procedures
unique to the Depository, (d) additional notices or communications, and (e) amendment from
time to time to conform with changing customs and practices with respect to securities
industry transfer and payment practices.
With respect to Bonds registered in the Bond Register in the name of Cede & Co., as
nominee of the Depository, the City and the Bond Registrar shall have no responsibility or
obligation to any broker-dealer, bank or other financial institution for which the Depository
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holds Bonds from time to time as securities depository (each such broker-dealer, bank or other
financial institution being referred to herein as a "Depository Participant") or to any person
on behalf of whom such a Depository Participant holds an interest in the Bonds. Without
limiting the meaning of the immediately preceding sentence, the City and the Bond Registrar
shall have no responsibility or obligation with respect to (a) the accuracy of the records of the
Depository, Cede & Co., or any Depository Participant with respect to any ownership interest
in the Bonds, (b) the delivery to any Depository Participant or any other person, other than a
registered owner of a Bond as shown in the Bond Register, of any notice with respect to the
Bonds, including any notice of redemption, or(c) the payment to any Depository Participant or
any other person, other than a registered owner of a Bond as shown in the Bond Register, of
any amount with respect to principal of or interest on the Bonds.
The City and the Bond Registrar may treat and consider the person in whose name each
Bond is registered in the Bond Register as the absolute owner hereof for the purpose of
payment of principal and interest with respect to such Bond, for the purpose of giving notices
of redemption and other matters with respect to such Bond, for the purpose of registering
transfers with respect to such Bond, and for all other purposes whatsoever. The Bond Registrar
on theBonds onlyto or upon the order of the respective ive
shallpayallprincipal of and interest p p
registered owner of the Bonds, as shown in the Bond Register, or their respective attorneys
duly authorized in writing, and all such payments shall be valid and effective to fully satisfy
and discharge the City's obligations with respect to the payment of the principal of and interest
on the Bonds to the extent so paid.
No person other than a registered owner of a Bond as shown in the Bond Register shall
receive a Bond evidencing the obligation of the City to make payments of principal and
interest with respect to any Bond. Upon delivery by the Depository to the Bond Registrar of
written notice to the effect that the Depository has determined to substitute a new nominee in
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place of Cede & Co., and subject to the provisions hereof with respect to the payment of
interest to the registered owners of Bonds at the close of business on the applicable record
date, the name "Cede & Co." in this Ordinance shall refer to such new nominee of the
Depository.
In the event that (a) the City determines that the Depository is incapable of discharging
its responsibilities described herein and in the Representation Letter, (b) the agreement among
the City, the Bond Registrar and the Depository evidenced by the Representation Letter shall
be terminated for any reason or(c) the City determines that it is in the best interests of the City
or of the beneficial owners of the Bonds that they be able to obtain certificated Bonds, the City
shall notify the Depository and the Depository Participants of the availability of Bond
certificates, and the Bonds shall no longer be restricted to being registered in the Bond
Register in the name of Cede & Co., as nominee of the Depository. At that time, the City may
determine that the Bonds shall be registered in the name of and deposited with a successor
depository operating a book-entry system, as may be acceptable to the City, or such
depository's agent or designee, and if the City does not select such alternate book-entry
system, then the Bonds may be registered in whatever name or names registered owners of
Bonds transferring or exchanging Bonds shall designate, in accordance with the provisions
hereof
Notwithstanding any other provision of this Ordinance to the contrary, so long as any
Bond is registered in the name of Cede & Co., as nominee of the Depository, all payments
with respect to principal of and interest on such Bond and all notices with respect to such Bond
shall be made and given, respectively, in the manner provided in the Representation Letter.
Section 7. Forms of Bonds. (a) The Series 2025A Water Bonds shall be prepared in
substantially the following form:
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(Form of Series 2025A Water Bond)
REGISTERED REGISTERED
NO. $
UNITED STATES OF AMERICA
STATE OF ILLINOIS
COUNTY OF KENDALL
UNITED CITY OF YORKVILLE
GENERAL OBLIGATION BOND(ALTERNATE REVENUE SOURCE)
SERIES 2025A
Interest Maturity Dated
0
Rate: /o Date: December 30, Date: , 2025 CUSIP:
Registered Owner: Cede & Co.
Principal Amount: $
KNOW ALL MEN BY THESE PRESENTS, that the United City of Yorkville, Kendall
County, Illinois, a municipality and political subdivision of the State of 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 Dated
Date of this Bond or from the most recent interest payment date to which interest has been
paid at the Interest Rate per annum set forth above on June 30 and December 30 of each year,
commencing June 30, 2025, until said Principal Amount is paid or duly provided for. The
principal of this Bond is payable in lawful money of the United States of America upon
presentation hereof at the principal office maintained for the purpose by Amalgamated Bank
of Chicago, Chicago, Illinois, as paying agent and bond registrar (the "Bond Registrar").
Payment of interest shall be made to the Registered Owner hereof as shown on the registration
books of the City maintained by the Bond Registrar. Payment of the installments of interest
shall be made to the Registered Owner hereof as shown on the registration books of the City
maintained by the Bond Registrar, at the close of business on the 15`h day of the month next
preceding each interest payment date and shall be paid by check or draft of the Bond Registrar
or by wire transfer, 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.
This bond and the bonds of the series of which it forms a part ("Bond" and "Bonds"
respectively) are part of an authorized issue of Dollars ($ ) of like
date and tenor, and are issued pursuant to the Illinois Municipal Code, as amended (the
"Municipal Code"), and all laws amendatory thereof and supplementary thereto, and the Local
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Government Debt Reform Act of the State of Illinois, as amended (the "Act"). The Bonds are
issued pursuant to the Act for the purpose of providing for the enhancement of the City's
water supply system (the "System"), including replacing existing water mains, modifying the
existing raw water main and water treatment plant and other capital improvements relating to
the System, and the construction of a new water supply line and connection to the DuPage
Water Commission for a new source of water and paying expenses incidental thereto.
The Bonds are issued pursuant to an authorizing ordinance passed by the City Council
of the City (the "Corporate Authorities") on the 14th day of May, 2024 and pursuant to
Ordinance No. 2024- , passed by the Corporate Authorities on the 10th day of December,
2024 (together with and as supplemented by a Bond Order executed by the Mayor, the "Bond
Ordinance"), to which reference is hereby expressly made for further definitions and terms
and to all the provisions of which the owner by the acceptance of this Bond assents.
The Bonds are "alternate bonds" issued pursuant to Section 15 of Act and are payable
from (a)(i) the net revenues derived from the operation of the System, (ii) all collections of
any non-home rule "places for eating" sales tax imposed by the City and deposited into the
Water Fund, and (iii) certain moneys on deposit from time to time in the funds and accounts
held within the Water Fund (collectively, the "Pledged Water Revenues"), 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 Water Revenues and the Pledged Taxes being
collectively called the "Pledged Moneys"), all in accordance with the provisions of the Act
and the Municipal Code.
The Bonds are issued on a parity with the City's currently outstanding General
Obligation Bonds (Alternate Revenue Source), Series 2023A. The City may issue future
revenue bonds, alternate bonds or other debt payable from the Pledged Water Revenues
pursuant to the terms of the Bond Ordinance, which bonds or other debt may be issued on a
parity with the Bonds and share ratably and equally in the Pledged Water Revenues with the
Bonds, pursuant to the terms of the Bond Ordinance, provided provisions of the Act have
been satisfied.
This Bond does not and will not constitute an indebtedness of the City within the
meaning of any constitutional provision or limitation, unless the Pledged Taxes shall be
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 shall show that the Bonds shall have been paid from
the Pledged Water Revenues for a complete Fiscal Year, in accordance with the Act.
The Bonds of this issue may be subject to redemption prior to maturity at the option
of the City as set forth in the Bond Order.
[Bonds maturing on and after , , shall be subject to redemption prior
to maturity at the option of the City, from any available funds, in whole or in part, in integral
multiples of$5,000, in any order of their maturity as determined by the City (less than all of
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the Bonds of a single maturity to be selected by the Bond Registrar and within any maturity
by lot), on and on any date thereafter, at the redemption price of par plus
accrued interest to the redemption date.]
[Bonds due on and are subject to mandatory redemption,
in integral multiples of$5,000 selected by lot by the Bond Registrar, at a redemption price of
par plus accrued interest to the redemption date, without premium, on [June][December] 30
of the years and in the amounts as follows:
For the Term Bonds due 30, 20
YEAR AMOUNT($)
20
20
with $ remaining to be paid at maturity in 20_.]
This Bond is transferable by the registered owner hereof in person or by his attorney
duly authorized in writing at the principal office maintained for the purpose by 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.
The Bonds are issued in fully registered form in the denomination of $5,000 each or
authorized integral multiples thereof. This Bond may be exchanged at the principal office
maintained for the purpose by 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
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 fifteenth (15th) day of the month
next preceding any interest payment date on such Bond and ending at the opening of business
on such interest payment date, nor to transfer or exchange any Bond after notice calling such
Bond for redemption has been mailed, nor during a period of fifteen (15) days next preceding
mailing of a notice of redemption of any Bonds.
The City 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 nor the Bond
Registrar shall be affected by any notice to the contrary.
It is hereby certified and recited that all conditions, acts and things required to be done
precedent to and in the issuance of this Bond, have existed and have been properly done,
happened and been performed in regular and due form and time as required by law; that the
indebtedness of the City, represented by the Bonds, does not exceed any limitation imposed by
law; and that provision has been made for the collection of the Pledged Water 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 covenants and agrees that it will properly account for said
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Pledged Moneys and will comply with all the covenants of and maintain the funds and
accounts as provided by the Bond Ordinance.
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.
IN WITNESS 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 the Mayor of the City and attested by the manual or duly authorized facsimile
signature of the Clerk of said City, and its corporate seal to be affixed hereto or printed
hereon, all as of the Dated Date identified above.
(Facsimile Signature)
Mayor
(SEAL)
Attest:
(Facsimile Signature)
City Clerk
Date of Authentication: , 2025
CERTIFICATE Bond Registrar and Paying Agent:
OF Amalgamated Bank of Chicago,
AUTHENTICATION Chicago, Illinois
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 2025A, of the United City of
Yorkville, Kendall County, Illinois.
Amalgamated Bank of Chicago,
as Bond Registrar
By: (Manual Signature)
Authorized Officer
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(ASSIGNMENT)
FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto
(Name and Address of Assignee)
the within Bond and does hereby irrevocably constitute and appoint
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 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.
(End of Form of Series 2025A Water Bond)
(b) The Series 2025B Public Works Bonds shall be prepared in substantially the
following form:
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(Form of Series 2025B Public Works Bond)
REGISTERED REGISTERED
No. $
UNITED STATES OF AMERICA
STATE OF ILLINOIS
COUNTY OF KENDALL
UNITED CITY OF YORKVILLE
GENERAL OBLIGATION BOND(ALTERNATE REVENUE SOURCE)
SERIES 2025B
Interest Maturity Dated
Rate: % Date: December 30, Date: , 2025 CUSIP:
Registered Owner: Cede & Co.
Principal Amount: $
KNow ALL MEN BY THESE PRESENTS, that the United City of Yorkville, Kendall
County, Illinois, a municipality and political subdivision of the State of 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 Dated
Date of this Bond or from the most recent interest payment date to which interest has been
paid at the Interest Rate per annum set forth above on June 30 and December 30 of each year,
commencing June 30, 2025, until said Principal Amount is paid or duly provided for. The
principal of this Bond is payable in lawful money of the United States of America upon
presentation hereof at the principal office maintained for the purpose by Amalgamated Bank
of Chicago, Chicago, Illinois, as paying agent and bond registrar (the "Bond Registrar").
Payment of interest shall be made to the Registered Owner hereof as shown on the registration
books of the City maintained by the Bond Registrar. Payment of the installments of interest
shall be made to the Registered Owner hereof as shown on the registration books of the City
maintained by the Bond Registrar, at the close of business on the 15t" day of the month next
preceding each interest payment date and shall be paid by check or draft of the Bond Registrar
or by wire transfer, 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.
This bond and the bonds of the series of which it forms a part ("Bond" and "Bonds"
respectively) are part of an authorized issue of Dollars ($ ) of like
date and tenor, and are issued pursuant to the Illinois Municipal Code, as amended (the
"Municipal Code"), and all laws amendatory thereof and supplementary thereto, and the Local
-40-
Government Debt Reform Act of the State of Illinois, as amended (the "Act"). The Bonds are
issued pursuant to the Act for the purpose of paying the cost of the acquisition of certain real
property located within the City, including, without limitation, approximately twelve acres of
the real property known as Lot 4 in the Yorkville Business Center located within the City, the
construction of a new public works facility thereon, and for certain other capital infrastructure
projects 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 14th day of May, 2024 and pursuant to
Ordinance No. 2024- , passed by the Corporate Authorities on the loth day of December,
2024 (together with and as supplemented by a Bond Order executed by the Mayor, the "Bond
Ordinance"), to which reference is hereby expressly made for further definitions and terms
and to all the provisions of which the owner by the acceptance of this Bond assents.
Under the Municipal Code and the Bond Ordinance, the Pledged Public Works
Revenues, as defined herein and in the Bond Ordinance, shall be deposited into the Public
Works Tax Revenue Fund of the City (the "Revenue Fund") and transferred to the Alternate
Bond and Interest Account (Public Works 2025) in amounts sufficient to pay debt service on
the Bonds, which Account shall be used only and has been pledged for paying the principal of
and interest owed on the Bonds.
The Bonds are payable from (a) (i) all collections distributed to the City pursuant to
the State Revenue Sharing Act from those taxes imposed by the State of Illinois pursuant to
subsections (a) and (c) of Section 201 of the Illinois Income Tax Act, as supplemented and
amended from time to time, or substitute taxes thereof as provided by the State of Illinois in
the future, (ii) the collections by the City of all natural gas and electric utility taxes imposed
by the City pursuant to Section 8-11-2 of the Municipal Code or successor taxes thereto, (iii)
all collections distributed to the City from the State of Illinois from those taxes imposed by
the City pursuant to the its Simplified Municipal Telecommunications Tax, or any successor
tax thereto, (iv) the collections by the City of all cable television franchise taxes imposed by
the City pursuant to the Municipal Code or any successor taxes thereto, and (v) such other
funds of the City as may be necessary and on hand from time to time and lawfully available
for such purpose (collectively, the "Pledged Public Works Revenues"), 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 Public Works Revenues and the Pledged Taxes
being collectively called the "Pledged Moneys"), all in accordance with the provisions of the
Act and the Municipal Code.
Under the Act and the Bond Ordinance, the Pledged Public Works Revenues shall be
deposited into and segregated in the Alternate Bond and Interest Account (Public Works
2025) of the Revenue Fund, and the Pledged Taxes shall be deposited into and segregated in
the Alternate Bond Fund (Public Works 2025), each as created or continued 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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Additional Bonds payable from the Pledged Public Works Revenues may be issued
pursuant to the terms of the Bond Ordinance. The Additional Bonds shall share ratably and
equally in the Pledged Public Works Revenues with the Bonds, provided, however, that no
Additional Bonds shall be issued except in accordance with the provisions of the Act.
This Bond does not and will not constitute an indebtedness of the City within the
meaning of any constitutional provision or limitation, unless the Pledged Taxes shall be
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 shall show that the Bonds shall have been paid from
the Pledged Public Works Revenues for a complete Fiscal Year, in accordance with the Act.
The Bonds of this issue may be subject to redemption prior to maturity at the option
of the City as set forth in the Bond Order.
[Bonds maturing on and after , , shall be subject to redemption prior
to maturity at the option of the City, from any available funds, in whole or in part, in integral
multiples of$5,000, in any order of their maturity as determined by the City (less than all of
the Bonds of a single maturity to be selected by the Bond Registrar and within any maturity
by lot), on and on any date thereafter, at the redemption price of par plus
accrued interest to the redemption date.]
[Bonds due on and are subject to mandatory redemption,
in integral multiples of$5,000 selected by lot by the Bond Registrar, at a redemption price of
par plus accrued interest to the redemption date, without premium, on [June][December] 30
of the years and in the amounts as follows:
For the Term Bonds due 30, 20
YEAR AMOUNT ($)
20
20
with $ remaining to be paid at maturity in 20_.]
This Bond is transferable by the registered owner hereof in person or by his attorney
duly authorized in writing at the principal office maintained for the purpose by 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.
The Bonds are issued in fully registered form in the denomination of$5,000 each or
authorized integral multiples thereof. This Bond may be exchanged at the principal office
maintained for the purpose by the Bond Registrar for a like aggregate principal amount of
-42-
Bonds of the same maturity of other authorized denominations, upon the terms set forth in the
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 fifteenth (15th) day of the month
next preceding any interest payment date on such Bond and ending at the opening of business
on such interest payment date, nor to transfer or exchange any Bond after notice calling such
Bond for redemption has been mailed, nor during a period of fifteen (15) days next preceding
mailing of a notice of redemption of any Bonds.
The City 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 nor the Bond
Registrar shall be affected by any notice to the contrary.
It is hereby certified and recited that all conditions, acts and things required to be done
precedent to and in the issuance of this Bond, have existed and have been properly done,
happened and been performed in regular and due form and time as required by law; that the
indebtedness of the City, represented by the Bonds, does not exceed any limitation imposed by
law; and that provision has been made for the collection of the Pledged Public Works
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 covenants and agrees that it will properly account
for said Pledged Moneys and will comply with all the covenants of and maintain the funds and
accounts as provided by the Bond Ordinance.
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.
IN WITNESS 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 the Mayor of the City and attested by the manual or duly authorized facsimile
signature of the Clerk of said City, and its corporate seal to be affixed hereto or printed
hereon, all as of the Dated Date identified above.
(Facsimile Signature)
Mayor
(SEAL)
Attest:
(Facsimile Signature)
City Clerk
Date of Authentication: , 2025
-43-
CERTIFICATE Bond Registrar and Paying Agent:
OF Amalgamated Bank of Chicago,
AUTHENTICATION Chicago, Illinois
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 2025B, of the United City of
Yorkville, Kendall County, Illinois.
Amalgamated Bank of Chicago,
as Bond Registrar
By: (Manual Signature)
Authorized Officer
(ASSIGNMENT)
FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto
(Name and Address of Assignee)
the within Bond and does hereby irrevocably constitute and appoint
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 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.
(End of Form of Series 2025E Public Works Bond)
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(c) The Series 2025C Refunding Bonds shall be prepared in substantially the
following form:
-45-
(Form of Series 2025C Refunding Bond)
REGISTERED REGISTERED
No. $
UNITED STATES OF AMERICA
STATE OF ILLINOIS
COUNTY OF KENDALL
UNITED CITY OF YORKVILLE
GENERAL OBLIGATION REFUNDING BOND(ALTERNATE REVENUE SOURCE)
SERIES 2025C
Interest Maturity Dated
Rate: % Date: December 30, Date: , 2025 CUSIP:
Registered Owner: Cede & Co.
Principal Amount: $
KNOW ALL MEN BY THESE PRESENTS, that the United City of Yorkville, Kendall
County, Illinois, a municipality and political subdivision of the State of 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 Dated
Date of this Bond or from the most recent interest payment date to which interest has been
paid at the Interest Rate per annum set forth above on June 1 and December 1 of each year,
commencing June 1, 2025, until said Principal Amount is paid or duly provided for. The
principal of this Bond is payable in lawful money of the United States of America upon
presentation hereof at the principal office maintained for the purpose by Amalgamated Bank
of Chicago, Chicago, Illinois, as paying agent and bond registrar (the "Bond Registrar").
Payment of interest shall be made to the Registered Owner hereof as shown on the registration
books of the City maintained by the Bond Registrar. Payment of the installments of interest
shall be made to the Registered Owner hereof as shown on the registration books of the City
maintained by the Bond Registrar, at the close of business on the 15th day of the month next
preceding each interest payment date and shall be paid by check or draft of the Bond Registrar
or by wire transfer, 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.
This bond and the bonds of the series of which it forms a part ("Bond" and "Bonds"
respectively) are part of an authorized issue of Dollars ($ ) of like
date and tenor, and are issued pursuant to the Illinois Municipal Code, as amended (the
"Municipal Code"), and all laws amendatory thereof and supplementary thereto, and the Local
-46-
Government Debt Reform Act of the State of Illinois, as amended (the "Act"). The Bonds are
issued pursuant to the Act for the purpose of paying the cost of refunding certain outstanding
alternate revenue bonds previously issued by the City and paying expenses incidental thereto.
The Bonds are issued pursuant to Ordinance No. 2024-_,passed by the City Council
of the City on the 10th day of December, 2024 (together with and as supplemented by a Bond
Order executed by the Mayor, the "Bond Ordinance"), to which reference is hereby expressly
made for further definitions and terms and to all the provisions of which the owner by the
acceptance of this Bond assents.
Under the Municipal Code and the Bond Ordinance, the Pledged Sales Tax Revenues,
as defined herein and in the Bond Ordinance, shall be deposited into 2025C Pledged
Revenues Account of the City (the "Revenue Fund") in amounts sufficient to pay debt service
on the Bonds, which Account shall be used only and has been pledged for paying the
principal of and interest owed on the Bonds.
The Bonds are payable from (a) the sales taxes received by the City pursuant to the
Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailer's
Occupation Tax Act, each as supplemented and amended from time to time by the General
Assembly of the State of Illinois (collectively, the "Pledged Sales Tax Revenues"), 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 Sales Tax Revenues and the Pledged Taxes
being collectively called the "Pledged Moneys"), all in accordance with the provisions of the
Act and the Municipal Code.
Under the Act and the Bond Ordinance, the Pledged Sales Tax Revenues shall be
deposited into and segregated in the Revenue Fund, and the Pledged Taxes shall be deposited
into and segregated in the 2025C Alternate Bond Fund, each as created or continued 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.
The Bonds are issued on a parity with (i) the City's General Obligation Refunding
Bonds (Alternate Revenue Source), Series 2025D (the "Series 2025D Bonds"), and (ii) the
City's currently outstanding General Obligation Bonds (Alternate Revenue Source), Series
2015A (the "Series 2015A Bonds") with respect to the Pledged Sales Tax Revenues. The City
may issue future revenue bonds, alternate bonds or other debt payable from the Pledged Sales
Tax Revenues pursuant to the terms of the Bond Ordinance, which bonds or other debt may
be issued on a parity with the Bonds and share ratably and equally in the Pledged Sales Tax
Revenues with the Bonds, pursuant to the terms of the Bond Ordinance, provided provisions
of the Act have been satisfied. Additional Bonds payable from the Pledged Sales Tax
Revenues may be issued pursuant to the terms of the Bond Ordinance. The Additional Bonds
shall share ratably and equally in the Pledged Sales Tax Revenues with the Series 2025D
Bonds, the Series 2015A Bonds and the Bonds, provided, however, that no Additional Bonds
shall be issued except in accordance with the provisions of the Act.
-47-
This Bond does not and will not constitute an indebtedness of the City within the
meaning of any constitutional provision or limitation, unless the Pledged Taxes shall be
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 shall show that the Bonds shall have been paid from
the Pledged Sales Tax Revenues for a complete Fiscal Year, in accordance with the Act.
The Bonds of this issue may be subject to redemption prior to maturity at the option
of the City as set forth in the Bond Order.
[Bonds maturing on and after , , shall be subject to redemption prior
to maturity at the option of the City, from any available funds, in whole or in part, in integral
multiples of$5,000, in any order of their maturity as determined by the City (less than all of
the Bonds of a single maturity to be selected by the Bond Registrar and within any maturity
by lot), on and on any date thereafter, at the redemption price of par plus
accrued interest to the redemption date.]
[Bonds due on and are subject to mandatory redemption,
in integral multiples of$5,000 selected by lot by the Bond Registrar, at a redemption price of
par plus accrued interest to the redemption date, without premium, on [June][December] 30
of the years and in the amounts as follows:
For the Term Bonds due 30, 20
YEAR AMOUNT ($)
20
20
with$ remaining to be paid at maturity in 20_.]
This Bond is transferable by the registered owner hereof in person or by his attorney
duly authorized in writing at the principal office maintained for the purpose by 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.
The Bonds are issued in fully registered form in the denomination of $5,000 each or
authorized integral multiples thereof. This Bond may be exchanged at the principal office
maintained for the purpose by 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
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 fifteenth (15th) day of the month
next preceding any interest payment date on such Bond and ending at the opening of business
-48-
on such interest payment date, nor to transfer or exchange any Bond after notice calling such
Bond for redemption has been mailed, nor during a period of fifteen (15) days next preceding
mailing of a notice of redemption of any Bonds.
The City 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 nor the Bond
Registrar shall be affected by any notice to the contrary.
It is hereby certified and recited that all conditions, acts and things required to be done
precedent to and in the issuance of this Bond, have existed and have been properly done,
happened and been performed in regular and due form and time as required by law; that the
indebtedness of the City, represented by the Bonds, does not exceed any limitation imposed by
law; and that provision has been made for the collection of the Pledged Sales Tax 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 covenants and agrees that it will properly account for said
Pledged Moneys and will comply with all the covenants of and maintain the funds and
accounts as provided by the Bond Ordinance.
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.
IN WITNESS 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 the Mayor of the City and attested by the manual or duly authorized facsimile
signature of the Clerk of said City, and its corporate seal to be affixed hereto or printed
hereon, all as of the Dated Date identified above.
(Facsimile Signature)
Mayor
(SEAL)
Attest:
(Facsimile Signature)
City Clerk
Date of Authentication: , 2025
CERTIFICATE Bond Registrar and Paying Agent:
OF Amalgamated Bank of Chicago,
Chicago, Illinois
AUTHENTICATION
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This Bond is one of the Bonds described in
the within mentioned ordinance and is one of
the General Obligation Refunding Bonds
(Alternate Revenue Source), Series 2025C,
of the United City of Yorkville, Kendall
County, Illinois.
Amalgamated Bank of Chicago,
as Bond Registrar
By: (Manual Signature)
Authorized Officer
(ASSIGNMENT)
FOR VALUE RECEIVED,the undersigned sells, assigns and transfers unto
(Name and Address of Assignee)
the within Bond and does hereby irrevocably constitute and appoint
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 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.
(End of Form of Series 2025C Refunding Bond)
(d) The Series 2025D Refunding Bonds shall be prepared in substantially the
following form:
-50-
(Form of Series 2025D Refunding Bond)
REGISTERED REGISTERED
No. $
UNITED STATES OF AMERICA
STATE OF ILLINOIS
COUNTY OF KENDALL
UNITED CITY OF YORKVILLE
GENERAL OBLIGATION REFUNDING BOND(ALTERNATE REVENUE SOURCE)
SERIES 2025D
Interest Maturity Dated
Rate: % Date: December 30, Date: , 2025 CUSIP:
Registered Owner: Cede & Co.
Principal Amount: $
KNOW ALL MEN BY THESE PRESENTS, that the United City of Yorkville, Kendall
County, Illinois, a municipality and political subdivision of the State of 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 Dated
Date of this Bond or from the most recent interest payment date to which interest has been
paid at the Interest Rate per annum set forth above on June 1 and December 1 of each year,
commencing June 1, 2025, until said Principal Amount is paid or duly provided for. The
principal of this Bond is payable in lawful money of the United States of America upon
presentation hereof at the principal office maintained for the purpose by Amalgamated Bank
of Chicago, Chicago, Illinois, as paying agent and bond registrar (the "Bond Registrar").
Payment of interest shall be made to the Registered Owner hereof as shown on the registration
books of the City maintained by the Bond Registrar. Payment of the installments of interest
shall be made to the Registered Owner hereof as shown on the registration books of the City
maintained by the Bond Registrar, at the close of business on the 15th day of the month next
preceding each interest payment date and shall be paid by check or draft of the Bond Registrar
or by wire transfer, 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.
This bond and the bonds of the series of which it forms a part ("Bond" and "Bonds"
respectively) are part of an authorized issue of Dollars ($ ) of like
date and tenor, and are issued pursuant to the Illinois Municipal Code, as amended (the
"Municipal Code"), and all laws amendatory thereof and supplementary thereto, and the Local
-51-
Government Debt Reform Act of the State of Illinois, as amended (the "Act"). The Bonds are
issued pursuant to the Act for the purpose of paying the cost of refunding certain outstanding
alternate revenue bonds previously issued by the City and paying expenses incidental thereto.
The Bonds are issued pursuant to Ordinance No. 2024- , passed by the City Council
of the City on the loth day of December, 2024 (together with and as supplemented by a Bond
Order executed by the Mayor, the "Bond Ordinance"), to which reference is hereby expressly
made for further definitions and terms and to all the provisions of which the owner by the
acceptance of this Bond assents.
Under the Municipal Code and the Bond Ordinance, the Pledged Sales Tax Revenues
and the Pledged TIF Revenues, as said terms are defined herein and in the Bond Ordinance,
shall be deposited into the 2025D Pledged Sales Tax Revenues Account of the City (the
"Sales Tax Revenue Fund") and the 2025D Pledged TIF Revenues Account (the "TIF
Revenue Fund") in amounts sufficient to pay debt service on the Bonds, which Account shall
be used only and has been pledged for paying the principal of and interest owed on the Bonds.
The Bonds are payable from (a) the sales taxes received by the City pursuant to the
Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailer's
Occupation Tax Act, each as supplemented and amended from time to time by the General
Assembly of the State of Illinois (collectively, the "Pledged Sales Tax Revenues"), (b) (i) the
incremental property taxes if, as and when received, to be derived from the US Route 34 & IL
Route 47 (Countryside Shopping Center) Tax Increment Financing Redevelopment Project
Area (the "Countryside TIF Area") and to be received by the City, and (ii) moneys on deposit
in and to the credit of the various accounts of the special tax allocation fund heretofore created
for the Countryside TIF Area (collectively, the "Pledged TIF Revenues"), and (c) 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 Sales Tax Revenues, the Pledged TIF Revenues
and the Pledged Taxes being collectively called the "Pledged Moneys"), all in accordance
with the provisions of the Act and the Municipal Code.
Under the Act and the Bond Ordinance, the Pledged Sales Tax Revenues and the
Pledged TIF Revenues shall be deposited into and segregated in the Sales Tax Revenue Fund
and the TIF Revenue Fund, and the Pledged Taxes shall be deposited into and segregated in
the 2025D Alternate Bond Fund, each as created or continued bythe Bond Ordinance.ace.
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.
The Bonds are issued on a parity with (i) the City's General Obligation Refunding
Bonds (Alternate Revenue Source), Series 2025C (the "Series 2025C Bonds"), and (ii) the
City's currently outstanding General Obligation Bonds (Alternate Revenue Source), Series
2015A (the "Series 2015A Bonds") with respect to the Pledged Sales Tax Revenues. The City
may issue future revenue bonds, alternate bonds or other debt payable from the Pledged Sales
Tax Revenues pursuant to the terms of the Bond Ordinance, which bonds or other debt may
be issued on a parity with the Bonds and share ratably and equally in the Pledged Sales Tax
-52-
Revenues with the Bonds, pursuant to the terms of the Bond Ordinance, provided provisions
of the Act have been satisfied. The City may also issue future revenue bonds, alternate bonds
or other debt payable from the Pledged TIF Revenues pursuant to the terms of the Bond
Ordinance, which bonds or other debt may be issued on a parity with the Bonds and share
ratably and equally in the Pledged TIF Revenues with the Bonds, pursuant to the terms of the
Bond Ordinance, provided provisions of the Act have been satisfied. Additional Bonds
payable from the Pledged Sales Tax Revenues and/or the Pledged TIF Revenues may be
issued pursuant to the terms of the Bond Ordinance. The Additional Bonds shall share ratably
and equally in the Pledged Sales Tax Revenues with the Series 2025C Bonds, the Series
2015A Bonds and the Bonds, provided, however, that no Additional Bonds shall be issued
except in accordance with the provisions of the Act. The Additional Bonds shall share ratably
and equally in the Pledged TIF Revenues with the Bonds, provided, however, that no
Additional Bonds shall be issued except in accordance with the provisions of the Act.
This Bond does not and will not constitute an indebtedness of the City within the
meaning of any constitutional provision or limitation, unless the Pledged Taxes shall be
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 shall show that the Bonds shall have been paid from
the Pledged Sales Tax Revenues and the Pledged TIF Revenues for a complete Fiscal Year,
in accordance with the Act.
The Bonds of this issue may be subject to redemption prior to maturity at the option
of the City as set forth in the Bond Order.
[Bonds maturing on and after , , shall be subject to redemption prior
to maturity at the option of the City, from any available funds, in whole or in part, in integral
multiples of$5,000, in any order of their maturity as determined by the City (less than all of
the Bonds of a single maturity to be selected by the Bond Registrar and within any maturity
by lot), on and on any date thereafter, at the redemption price of par plus
accrued interest to the redemption date.]
[Bonds due on and are subject to mandatory redemption,
in integral multiples of$5,000 selected by lot by the Bond Registrar, at a redemption price of
par plus accrued interest to the redemption date, without premium, on [June][December] 30
of the years and in the amounts as follows:
For the Term Bonds due 30, 20 :
YEAR AMOUNT ($)
20
20
with$ remaining to be paid at maturity in 20_.]
-53-
This Bond is transferable by the registered owner hereof in person or by his attorney
duly authorized in writing at the principal office maintained for the purpose by 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.
The Bonds are issued in fully registered form in the denomination of$5,000 each or
authorized integral multiples thereof. This Bond may be exchanged at the principal office
maintained for the purpose by 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
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 fifteenth (15th) day of the month
next preceding any interest payment date on such Bond and ending at the opening of business
on such interest payment date, nor to transfer or exchange any Bond after notice calling such
Bond for redemption has been mailed, nor during a period of fifteen (15) days next preceding
mailing of a notice of redemption of any Bonds.
The City 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 nor the Bond
Registrar shall be affected by any notice to the contrary.
It is hereby certified and recited that all conditions, acts and things required to be done
precedent to and in the issuance of this Bond, have existed and have been properly done,
happened and been performed in regular and due form and time as required by law; that the
indebtedness of the City, represented by the Bonds, does not exceed any limitation imposed by
law; and that provision has been made for the collection of the Pledged Sales Tax Revenues
and the Pledged TIF 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 covenants and agrees that it
will properly account for said Pledged Moneys and will comply with all the covenants of and
maintain the funds and accounts as provided by the Bond Ordinance.
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.
IN WITNESS 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 the Mayor of the City and attested by the manual or duly authorized facsimile
signature of the Clerk of said City, and its corporate seal to be affixed hereto or printed
hereon, all as of the Dated Date identified above.
(Facsimile Signature)
Mayor
-54-
(SEAL)
Attest:
(Facsimile Signature)
City Clerk
Date of Authentication: , 2025
CERTIFICATE Bond Registrar and Paying Agent:
OF Amalgamated Bank of Chicago,
AUTHENTICATION Chicago, Illinois
This Bond is one of the Bonds described in
the within mentioned ordinance and is one
of the General Obligation Refunding Bonds
(Alternate Revenue Source), Series 2025D,
of the United City of Yorkville, Kendall
County, Illinois.
Amalgamated Bank of Chicago,
as Bond Registrar
By: (Manual Signature)
Authorized Officer
(ASSIGNMENT)
FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto
(Name and Address of Assignee)
the within Bond and does hereby irrevocably constitute and appoint
attorney to transfer the said Bond on the books kept for registration thereof with full power of
substitution in the premises.
Dated:
-55-
Signature guaranteed:
NOTICE: The signature to this 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.
(End of Form of Series 2025D Refunding Bond)
Section 8. Sale of Bonds. The Bonds shall be executed as in this Ordinance
provided as soon after the passage hereof as may be, shall be deposited with the Treasurer, and
shall be by the Treasurer delivered to the Purchaser, upon receipt of the Purchase Price
therefor and upon the terms provided herein and in the Bond Order(s). Authority is hereby
delegated to the Mayor and the Treasurer to sell all, but not less than all, of the Bonds to the
Purchaser at a negotiated sale and at a purchase price of not less than 98% of par upon their
finding that the terms of the Bonds are fair and reasonable in view of current conditions in the
bond markets and that the Bonds meet the terms and requirements of this Ordinance. The sale
of the Bonds shall be evidenced by one or more Bond Orders which shall be signed by the
Mayor or Treasurer. The Clerk is further directed to make available to the Corporate
Authorities a copy of the executed Bond Order at the first regularly scheduled meeting of the
Corporate Authorities following the execution of the same, but such action shall be for
information purposes only, and the Corporate Authorities shall have no right or authority at
such time to approve or reject such sale as evidenced in the Bond Order. Nothing in this
Section 8 shall require the Designated Officers to sell the Bonds if in their judgment the
conditions in the bond markets shall have markedly deteriorated from the time of adoption
hereof, but the Designated Officers shall have the authority to sell the Bonds in any event so
long as the limitations set forth in this Ordinance and the conditions of this Section shall have
been met. The Designated Officials shall also file with the County Clerk one or more Bond
Orders or like document including a statement of property taxes to be levied.
-56-
The Designated Officers as shall be appropriate shall be and are hereby authorized and
directed to approve or execute, or both, the Bond Order(s) and such other documents of sale of
the Bonds as may be necessary, including, without limitation, a Preliminary(or Deemed Final)
Official Statement and the Official Statement. The Designated Officers are hereby authorized
to execute, without further official action or direction by the Corporate Authorities, such
additional documents and closing documents as shall be required to effectuate the delivery of
the Bonds, including, without limitation, a Tax Agreement (as hereinafter defined), any bond
purchase agreement(s), the Continuing Disclosure Undertaking (as hereinafter defined), and
closing documents and certificates.
The Mayor or the Treasurer are authorized and directed to execute one or more bond
purchase agreements (the "Purchase Contract") in connection with the sale of the Bonds, in
the name of and on behalf of the City. The Purchase Contract shall be substantially in the form
of bond purchase agreements commonly used in transactions similar to that described in this
Ordinance, with such changes as necessary to reflect the terms and provisions of the Bonds,
this Ordinance, the Bond Order(s) and such other changes as the Mayor or Treasurer shall
determine are necessary or desirable in connection with the sale of the Bonds, including
whether to purchase bond insurance and the related terms. No person holding any office of the
City, either by election or appointment, shall, to the best of the knowledge and belief of the
Corporate Authorities, after due inquiry, be in any manner financially interested, either
directly in his or her own name or indirectly in the name of any other person, association, trust
or corporation, in the Purchase Contract.
The use by the Purchaser of any Preliminary Official Statement and any Official
Statement relating to the Bonds (the "Official Statement") is hereby ratified, approved and
authorized; the execution and delivery of the Official Statement is hereby authorized; and the
officers of the Corporate Authorities are hereby authorized to take any action as may be
-57-
required on the part of the City to consummate the transactions contemplated by the Purchase
Contract, this Ordinance, the Bond Order, the Preliminary Official Statement and the Official
Statement.
The selection and retention of Croke Fairchild Duarte & Beres LLC, Chicago, Illinois,
to serve as bond counsel in connection with the issuance of the Bonds is hereby ratified,
confirmed and approved.
As an additional limitation on the sale of the Series 2025C Refunding Bonds and the
Series 2025D Refunding Bonds, (a) Speer must provide a certificate delivered at the closing of
the Series 2025C Refunding Bonds that the refunding of the 2014A Bonds will provide an
aggregate present value debt service savings to the City resulting from the issuance of the
Series 2025C Bonds to refund the 2014A Bonds of not less than two percent (2%) of the par
value of the refunded 2014A Bonds, and (b) Speer must provide a certificate delivered at the
closing of the Series 2025D Refunding Bonds that the refunding of the 2014 Bonds will
provide an aggregate present value debt service savings to the City resulting from the issuance
of the Series 2025D Bonds to refund the 2014 Bonds of not less than two percent (2%) of the
par value of the refunded 2014 Bonds. Each such report shall demonstrate the amount of such
savings and state that such savings target has been met.
Section 9. Treatment of Bonds as Debt. (a) The Series 2025A Water Bonds shall be
payable from the Pledged Water Moneys and shall not constitute an indebtedness of the City
within the meaning of any constitutional provision or limitation, unless the Series 2025A
Pledged Taxes shall be extended pursuant to the general obligation, full faith and credit
promise supporting the Series 2025A Water Bonds, as set forth herein, in which case the
amount of the Series 2025A Water 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 shall show that the Series 2025A Water Bonds shall be
-58-
been paid from the Pledged Water Revenues for a complete Fiscal Year, in accordance with
the Act. The City reserves the right to issue Additional Water Bonds pursuant to the terms set
forth in Section 13 hereof
(b) The Series 2025B Public Works Bonds shall be payable from the Pledged Public
Works Moneys and shall not constitute an indebtedness of the City within the meaning of any
constitutional provision or limitation, unless the Series 2025B Pledged Taxes shall be
extended pursuant to the general obligation, full faith and credit promise supporting the Series
2025B Public Works Bonds, as set forth herein, in which case the amount of the Series 2025B
Public Works 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 shall show that the Series 2025B Public Works Bonds shall be been paid from the
Pledged Public Works Revenues for a complete Fiscal Year, in accordance with the Act. The
City reserves the right to issue Additional Public Works Revenues Bonds from time to time
payable from the Pledged Public Works Revenues, and any such Additional Public Works
Revenues Bonds shall share ratably and equally in the Pledged Public Works Revenues with
the Series 2025B Public Works Bonds; provided, however, that no Additional Public Works
Revenues 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 Pledged Public Works Revenues shall have been
met for the Outstanding Series 2025B Public Works Bonds.
(c) The Series 2025C Refunding Bonds shall be payable from the Series 2025C
Pledged Moneys and shall not constitute an indebtedness of the City within the meaning of
any constitutional provision or limitation, unless the Series 2025C Pledged Taxes shall be
extended pursuant to the general obligation, full faith and credit promise supporting the Series
2025C Refunding Bonds, as set forth herein, in which case the amount of the Series 2025C
-59-
Refunding 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 shall show that the Series 2025C Refunding Bonds shall be been paid from the Pledged
Sales Tax Revenues for a complete Fiscal Year, in accordance with the Act. The City reserves
the right to issue Additional Sales Tax Revenues Bonds from time to time payable from the
Pledged Sales Tax Revenues, and any such Additional Sales Tax Revenues Bonds shall share
ratably and equally in the Pledged Sales Tax Revenues with the Series 2025C Refunding
Bonds, the Series 2025D Refunding Bonds and the Series 2015A Bonds; provided, however,
that no Additional Sales Tax Revenues 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 Pledged Sales Tax
Revenues shall have been met for the Outstanding Series 2025C Refunding Bonds, the
Outstanding Series 2025D Refunding Bonds and the Outstanding Series 2015A Bonds.
(d) The Series 2025D Refunding Bonds shall be payable from the Series 2025D
Pledged Moneys and shall not constitute an indebtedness of the City within the meaning of
any constitutional provision or limitation, unless the Series 2025D Pledged Taxes shall be
extended pursuant to the general obligation, full faith and credit promise supporting the Series
2025D Refunding Bonds, as set forth herein, in which case the amount of the Series 2025D
Refunding 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 shall show that the Series 2025D Refunding Bonds shall be been paid from the Pledged
Sales Tax Revenues and the Pledged TIF Revenues for a complete Fiscal Year, in accordance
with the Act. The City reserves the right to issue Additional Sales Tax Revenues Bonds from
time to time payable from the Pledged Sales Tax Revenues, and any such Additional Sales
Tax Revenues Bonds shall share ratably and equally in the Pledged Sales Tax Revenues with
-60-
the Series 2025C Refunding Bonds, the Series 2025D Refunding Bonds and the Series 2015A
Bonds; provided, however, that no Additional Sales Tax Revenues 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 Pledged Sales Tax Revenues shall have been met for the Outstanding Series
2025C Refunding Bonds, the Outstanding Series 2025D Refunding Bonds and the
Outstanding Series 2015A Bonds. The City further reserves the right to issue Additional TIF
Revenue Bonds from time to time payable from the Pledged TIF Revenues, and any such
Additional TIF Revenue Bonds shall share ratably and equally in the Pledged TIF Revenues
with the Series 2025D Refunding Bonds; provided, however, that no Additional TIF Revenue
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 Pledged TIF Revenues shall have been met for the
Outstanding Series 2025D Refunding Bonds.
Section 10. Use of Series 2025A Water Bond Proceeds. The proceeds derived from
the sale of the Series 2025A Water Bonds shall be used as follows:
(a) Accrued interest, if any, received by the City upon the sale of the Series 2025A
Water Bonds shall be remitted by the Treasurer for deposit into the 2025A Pledged Revenues
Account and used to pay first interest coming due on the Series 2025A Water Bonds.
(b) The City shall then allocate from the Series 2025A Water Bond proceeds the
sum necessary for expenses incurred in the issuance of the Series 2025A Water Bonds which
shall be deposited into an "Expense Fund (2025A)" to be maintained by the Treasurer and
disbursed for such issuance expenses from time to time in accordance with usual City
procedures for the disbursement of funds, which disbursements are hereby expressly
authorized. Moneys from the Series 2025A Water Bond proceeds not disbursed from the
Expense Fund (2025A) within six (6) months shall be transferred by the City for deposit into
the Water Project Fund, and any deficiencies in the Expense Fund (2025A) shall be paid by
disbursement from the Water Project Fund.
(c) The remaining Series 2025A Water Bond proceeds shall be set aside in a
separate fund hereby created and designated as the "Water Project Fund" (the "Water Project
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Fund"), which the City shall maintain as a separate and segregated account. Moneys in said
fund shall be withdrawn and disbursed by the City from time to time as needed for the
payment of costs of the Water Project, and paying the fees and expenses incidental thereto not
paid out of the Expense Fund (2025A).
(d) Funds on deposit in the Water Project Fund may be invested by the Treasurer in
any lawful manner. All investment earnings in the Water Project Fund shall first be reserved
and transferred to such other account as and to the extent necessary to pay any "excess
arbitrage profits" or "penalty in lieu of rebate" under Section 148 of the Code to maintain the
tax-exempt status of the Series 2025A Water Bonds, and the remainder shall be retained in the
Water Project Fund and for payment of costs of the Water Project.
(e) If the Water Project has been completed and accepted, the engineer or architect
or City officer in responsible charge of the Water Project shall certify to the Corporate
Authorities the fact that the work has been completed and accepted, and upon approval of such
certification by the Corporate Authorities, funds (if any) remaining in the Water Project Fund
shall be credited by the Treasurer to the 2025A Bond Fund for payment of the Series 2025A
Water Bonds; and the Water Project Fund shall be closed.
Section 11. Continuation of Water Fund and Accounts Thereof Upon the issuance of
any of the Series 2025A Water Bonds, the System shall continue to be operated on a Fiscal
Year basis. All of the Gross Revenues shall be set aside as collected and be deposited into a
separate fund and in an account in a bank designated by the Corporate Authorities, which fund
is hereby expressly continued and is designated as the "Water Fund" (the "Water Fund") of
the City, which shall constitute a trust fund for the purpose, among others, of carrying out the
covenants, terms, and conditions of the Series 2023A Bond Ordinance, this Ordinance, the
relevant Bond Order and any Future Water Bond Ordinances, and shall be used only in paying
Operation and Maintenance Expenses, providing an adequate depreciation fund, paying the
principal of and interest on all bonds and other debt of the City which by their terms are
payable from the Net Revenues, providing for the continuation or establishment of and
expenditure from the respective accounts as hereinafter described, and for such other System-
related purposes as may be provided by law and contract. In addition to the Gross Revenues,
the revenues received from the collection of the Places for Eating Tax shall be deposited into
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the Water Fund and credited thereto on or before the first (1st) day of each month by the
Treasurer,beginning on February 1, 2025.
Section 12. Flow of Funds in Water Fund. There shall be and there are hereby
continued or created, as the case may be, separate accounts in the Water Fund to be known as
the "Operation and Maintenance Account," the "Alternate Bond and Interest Account
(Water)" (originally referred to as Alternate Bond and Interest Account (2023) under the
Series 2023A Bond Ordinance), the "Depreciation Account," the "Places for Eating Tax
Account," and the "Surplus Account (2025A)," to which there shall be credited on or before
the first (1st) day of each month by the Treasurer, without any further official action or
direction, in the order in which said accounts are hereinafter mentioned, all moneys held in the
Water Fund, in accordance with the following provisions:
(a) Operation and Maintenance Account: There shall be deposited and credited to or
retained in the Operation and Maintenance Account an amount sufficient, when added to the
amount then on deposit in said Account, to establish or maintain a balance to an amount not
less than the amount considered necessary to pay Operation and Maintenance Expenses for the
then current and the next succeeding month.
(b) Alternate Bond and Interest Account (Water): There next shall be deposited and
credited to the Alternate Bond and Interest Account (Water) and held, in cash and
investments, in each month a fractional amount of the interest becoming due on the next
succeeding interest payment date on all Outstanding Water Bonds and also a fractional
amount of the principal becoming due on the next succeeding principal maturity date of all of
the Outstanding Water Bonds until there shall have been accumulated and held, in cash and
investments, in the Alternate Bond and Interest Account (Water) on or before the last day of
the month preceding such payment date of interest or maturity date of principal, an amount
sufficient to pay such principal or interest, or both, of all Outstanding Water Bonds. Pursuant
to Section 12(d), funds in the Places of Eating Tax Account shall be transferred to the
Alternate Bond and Interest Account (Water) from time to time in such amounts as the City
may deem necessary for the purpose of paying principal or interest, or both, on any interest
payment date or maturity date of principal on all Outstanding Water Bonds payable from the
Pledged Water Revenues.
In computing the fractional amount to be set aside each month in the Alternate Bond
and Interest Account (Water), the fraction shall be so computed that sufficient funds will be
set aside in said Account (i) in order to abate the Pledged Water Taxes in accordance with the
provisions of this Ordinance, and (ii) be available for the prompt payment of such principal of
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and interest on all Outstanding Water Bonds as will become due and shall be not less than
one-fifth of the interest becoming due on the next succeeding interest payment date and not
less than one-tenth of the principal becoming due on the next succeeding principal payment
date on all Outstanding Water Bonds until there is sufficient money in said Account to pay
such principal or interest, or both.
Credits to the Alternate Bond and Interest Account (Water) may be suspended in any
Fiscal Year at such time as there shall be a sufficient sum, held in cash and investments, in
said Account to meet principal and interest requirements in said Account for the balance of
such Fiscal Year, but such credits shall again be resumed at the beginning of the next Fiscal
Year.
All moneys in said Account shall be used only for the purpose of paying interest and
principal of Outstanding Water Bonds.
Series 2025A Pledged Taxes on deposit in the Alternate Bond and Interest Account
(Water) shall be fully spent to pay the principal of and interest on the Series 2025A Water
Bonds for which such taxes were levied and collected prior to use of any other moneys on
deposit in said Account. Series 2025A Pledged Taxes on deposit in the Alternate Bond and
Interest Account (Water) shall only be used to pay the principal of and interest on the Series
2025A Water Bonds for which such taxes were levied and collected.
(c) Depreciation Account: There shall be deposited in and credited to the
Depreciation Account in each month after the required payments have been made into the
accounts described above, such amounts as the City may deem necessary in order to provide
an adequate depreciation for the System.
Amounts to the credit of said Depreciation Account shall be used for(i) the payment of
the cost of extraordinary maintenance, necessary repairs and replacements, or contingencies,
the payment for which no other funds are available, in order that the System may at all times
be able to render efficient service, and (ii) the payment of principal of or interest on any
Outstanding Water Bonds at any time when there are no other funds available for that purpose
in order to prevent a default and shall be transferred to the Alternate Bond and Interest
Account (Water) or an IEPA Loan Account, as applicable, for such purpose.
Whenever an amount is withdrawn from such Account for the purpose stated in clause
(ii) of the preceding paragraph, the amount so transferred shall be added to the amount to be
next and thereafter credited to said Depreciation Account until full reimbursement to said
Account has been made. Each expenditure to be made from such Account for a purpose stated
in clause (i) of the preceding paragraph shall be made only after a registered professional
engineer employed for that purpose has certified that such expenditure is necessary to the
continued effective and efficient operation of the System.
(d) Places for Eating Tax Account: There shall be deposited into and credited to the
Places for Eating Tax Account in each month the collections from the Places for Eating Tax.
Amounts in said Account shall be used only for the purpose of paying principal or interest, or
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both, on any interest payment date or maturity date of principal on any Outstanding Water
Bonds payable from the Pledged Water Revenues, and shall be transferred to the Alternate
Bond and Interest Account (Water) from time to time in such amounts as the City may deem
necessary for such purpose.
(e) Surplus Account(2025A): At the end of the Fiscal Year, all moneys remaining in
the Water Fund, after crediting the required amounts to the respective accounts hereinabove
provided for, and after making up any deficiency in the accounts described in subsections (a)
to (c), inclusive, shall be credited to the Surplus Account (2025A). Funds in the Surplus
Account (2025A) shall first be used first to make up any subsequent deficiencies in any of the
accounts hereinabove named and then, at the discretion of the Corporate Authorities, shall be
used for one or more of the following purposes without any priority among them:
(1) For the purpose of making transfers to the Water Fund generally to be applied
and treated as Net Revenues when transferred; or
(2) For the purpose of constructing or acquiring repairs, replacements, renewals,
improvements or extensions to the System; or
(3) For the purpose of calling and redeeming Outstanding Water Bonds which are
callable at the time; or
(4) For the purpose of purchasing Outstanding Water Bonds at the time at a price of
not to exceed par and accrued interest to the date of purchase and the then applicable
redemption premium, if any, thereon; 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, renewals,
improvements and extensions to the System; or
(6) For any other lawful System purpose.
(f) Investments. Money to the credit of the Water Fund prior to the monthly
accounting and to the credit of the Operations and Maintenance Account may be invested
pursuant to any authorization granted to municipal corporations by Illinois statute or court
decision. All interest on any funds so invested may be credited to the Water Fund and is
hereby deemed and allocated as expended with the next expenditure(s) of money from the
Water Fund, or may be credited to the account for which the investment was made;provided,
however, the City shall credit such interest in such manner as to not cause the Series 2025A
Water Bonds to be "arbitrage bonds" within the meaning of Section 148 of the Code and the
related Treasury Regulations.
(g) Future Water Bond Ordinances. The Corporate Authorities may, at their
discretion, adopt Future Water Bond Ordinances which create additional accounts in the
Water Fund for the payment and security of water revenue bonds. Amounts in the Water Fund
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shall be credited to and transferred from said accounts in accordance with the terms of such
Future Water Bond Ordinances.
Section 13. Additional Water Bonds, Subordinate WaterBo
nds and Future Water
Bond Ordinances. Notwithstanding anything in this Ordinance to the contrary, the City
reserves the right to:
(a) issue Additional Water Bonds from time to time payable from the Pledged
Water Revenues, and any such Additional Water Bonds shall share ratably and equally in the
Pledged Water Revenues with the Series 2023A Water Bonds and the Series 2025A Water
Bonds; provided, however, that no Additional Water 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
Pledged Water Revenues shall have been met for the Outstanding Water Bonds;
(b) issue Additional IEPA Loans from time to time payable from the Pledged Water
Revenues, and any such Additional IEPA Loans may either be subordinate to or share ratably
and equally in the Pledged Water Revenues with the Series 2023A Water Bonds, the Series
2025A Water Bonds, the Additional Water Bonds and the IEPA Loans;
(c) issue revenue bonds from time to time payable from the Pledged Water
Revenues that are subordinate to the Series 2023A Water Bonds, the Series 2025A Water
Bonds, the Additional Water Bonds, IEPA Loans and Additional IEPA Loans, and are payable
from the money remaining in the Surplus Account (2025A) after making required deposits
into the Alternate Bond and Interest Account(Water); and
(d) adopt Future Water Bond Ordinances to provide for the funding of accounts in
the Water Fund having a prior and superior lien on the Pledged Water Revenues to the lien of
the Alternate Bond and Interest Account (Water). Such accounts may include an account or a
series of accounts for the payment of and reserves for the Additional Water Bonds, the IEPA
Loans, the Additional IEPA Loans or other obligations of the City payable from the Pledged
Water Revenues; operating reserve accounts; renewal, replacement, depreciation, emergency
reserve and the like accounts; rate stabilization and like accounts; or capital project accounts.
Any such Future Bond Ordinances, or if not applicable, future ordinances of the City, may
provide for the Series 2023A Water Bonds and the Series 2025A Water Bonds (and
Additional Water Bonds) to be payable from such other or renamed account of the fund or
funds related to the System as may be therein described, provided, however, that, in all events,
the covenant to provide sufficient Pledged Water Revenues accumulating as herein provided
shall continue to be met.
Section 14. General Covenants Regarding the System. The City covenants and
agrees with the owners of the Outstanding Water Bonds, so long as there are any Outstanding
Water Bonds, as follows:
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(a) The City will maintain the System in good repair and working order, will
operate the same efficiently and faithfully, and will punctually perform all duties with respect
thereto required by the Constitution and laws of the State and of the United States of America.
(b) The City will establish and maintain at all times reasonable fees, charges and
rates for the use and service of the System, and will provide for the collection thereof and the
segregation and application of the revenues of the System in the manner provided by this
Ordinance, sufficient at all times to pay Operation and Maintenance Expenses, to provide an
adequate depreciation fund, to pay the principal of and interest on all bonds of the City which
by their terms are payable solely from the revenues of the System, and to provide for the
creation and maintenance of the respective accounts as provided in this Ordinance; provided,
however, that the City need not charge itself for such services if in the previous Fiscal Year,
Pledged Water Revenues, not including any payments made by the City, shall have met the
requirements of this Ordinance.
(c) There shall be charged against all users of the System such rates and amounts for
water services as shall be adequate to meet the requirements of this subsection.
(d) Whenever the coverage requirement in (b) above is not achieved or Series
2025A Pledged Taxes are extended and collected as provided in this Ordinance, the City
covenants to have prepared as soon as practicable a rate and management study for the System
by an independent engineer or consultant (experienced with respect to the System) employed
for that purpose.
(e) The City from time to time will make all needful and proper repairs,
replacements, additions, and betterments to the System so that it may at all times be operated
properly and advantageously; and when any necessary equipment or facility shall have been
worn out, destroyed, or otherwise is insufficient for proper use, it shall be promptly replaced
so that the value and efficiency of the System shall be at all times fully maintained.
(f) The City will establish such rules and regulations for the control and operation
of the System necessary for the safe, lawful, efficient and economical operation thereof.
(g) The City will make and keep proper books and accounts (separate and apart
from all other records and accounts of said City), in which complete entries shall be made of
all transactions relating to the System, and hereby covenants that within ninety (90) days
following the close of each Fiscal Year, it will cause the books and accounts of the System to
be audited by independent certified public accountants. Said audit will be available for
inspection by the owners of any of the Series 2025A Water Bonds. Each such audit, in
addition to whatever matters may be thought proper by the accountants to be included therein,
shall, without limiting the generality of the foregoing, include the following:
(i) A statement in detail of income and expenditures of the System for such
Fiscal Year.
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(ii) A balance sheet as of the end of such Fiscal Year, including a statement
of the amount held in each of the accounts of the Water Fund.
(iii) A list of all insurance policies in force at the end of the Fiscal Year,
setting out as to each policy the amount of the policy, the risks covered, the name of the
insurer, and the expiration date of the policy.
(iv) The number of System customers and users served by the System at the
end of the Fiscal Year, the quantity of water supplied by the System and a summary of
rates in effect at the end of such Fiscal Year for services of the System and any changes
in such rates effective during such Fiscal Year.
(v) The accountant's comment regarding the manner in which the City has
carried out the accounting requirements of this Ordinance, and the accountant's
recommendations for any changes or improvements in the operation of the System.
(h) The City will keep the books and accounts for the System in accordance with
generally accepted fund reporting practices for municipal enterprise funds; provided, however,
that the monthly credits to the Alternate Bond and Interest Account (Water), the IEPA Loan
Account and the Depreciation Account shall be in cash and said funds shall be held separate
and apart in cash and investments. For the purpose of determining whether sufficient cash and
investments are on deposit in such accounts under the terms and requirements of this
Ordinance, investments shall be valued at the lesser of cost or the market price on the
valuation date thereof, which valuation date shall be not less frequently than annually.
(i) The City will take no action in relation to the System which would unfavorably
affect the security of the Outstanding Water Bonds or the prompt payment of the principal and
interest thereon. Any amounts received from the sale of property of the System shall be
deposited to the credit of the Depreciation Account.
(j) Any owner of a Series 2025A Water Bond may proceed by civil action to
compel performance of all duties required by law and this Ordinance, including the making
and collecting of sufficient charges and rates for the services supplied by the System and the
application of the income and revenue therefrom.
(k) The City will carry insurance on the System of the kinds and in the amounts
which are usually carried by private parties operating similar properties, covering such risks as
shall be recommended by a competent consulting engineer or insurance consultant employed
by the City for the purpose of making such recommendations. All moneys received for loss
under such insurance policies shall be deposited into the Depreciation Account and used in
making good the loss or damage in respect of which they were paid, either by repairing the
property damaged or making replacement of the property destroyed, or for other necessary
capital improvements and provision for making good such loss or damage shall be made
within ninety (90) days from the date of the loss. The payment of premiums for all insurance
policies required under the provisions of this covenant shall be considered an Operation and
Maintenance Expense. The proceeds derived from any and all policies for workers'
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compensation or public liability shall be paid into the Operation and Maintenance Account
and used in paying the claims on account of which they were received.
(1) The City covenants, to the extent permitted by law, that the City will not grant a
franchise or other rights for the operation of any competing water system within the City or
the area served by the System.
(m) Upon request, the City will provide annual financial statements, including the
comprehensive annual financial report, if one is prepared, to any registered owner of the
Series 2025A Water Bonds and the Outstanding Water Bonds.
Section 15. General Covenants Regarding the Series 2025A Water Bonds. The City
covenants and agrees with the owners of the Series 2025A Water Bonds, so long as there are
any Outstanding Series 2025A Water Bonds, as follows:
(a) For the purpose of providing funds required to pay the interest on the Series
2025A Water Bonds promptly when and as the same falls due, and to pay and discharge the
principal thereof at maturity, the City covenants and agrees with the purchasers and the
owners of the Series 2025A Water Bonds that the City will deposit the Pledged Water
Revenues into the Water Fund. The Pledged Water Revenues are hereby pledged to the
payment of the Series 2025A Water Bonds and the City covenants and agrees to provide for,
budget, collect and apply the Pledged Water Revenues to the payment of the Series 2025A
Water Bonds and the provision of not less than an additional .25 times debt service, all in
accordance with Section 15 of the Act.
(b) The City will punctually pay or cause to be paid from the Alternate Bond and
Interest Account(Water) and from the 2025A Bond Fund(as hereinafter defined)the principal
and interest to become due in respect to the Series 2025A Water Bonds in strict conformity
with the terms of the Series 2025A Water Bonds, this Ordinance and the relevant Bond Order,
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
Alternate Bond and Interest Account (Water), the 2025A Pledged Revenues Account and the
2025A Bond Fund any and all lawful claims which, if unpaid, might become a lien or charge
upon the Pledged Water Moneys, or any part thereof, or upon any funds in the hands of the
Bond Registrar, or which might impair the securityof the Series 2025A Water Bonds. Nothing 0 of
g g p g
contained herein 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 adopt a budget and approve appropriations for the Water Fund
prior to the beginning of each Fiscal Year, subject to all applicable State laws, providing for
the payment of all sums to be due in such Fiscal Year so as to comply with the terms of this
Ordinance. The budget may include in its estimate of income the use of available surplus
moneys or other funds of the City appropriated for such purposes. If during such Fiscal Year
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there are extraordinary receipts or payments of unusual cost, the City will adopt an amended
budget for the remainder of such Fiscal Year, providing for receipts or payments pursuant
hereto.
(e) The City will preserve and protect the security of the Series 2025A Water Bonds
and the rights of the registered owners of the Series 2025A Water 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 Series 2025A Water Bonds by the City, the Series 2025A Water 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 Series 2025A Water Bonds of
the rights and benefits provided herein.
(g) As long as any Series 2025A Water Bonds are 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 levy the Series 2025A Pledged Taxes and to collect and to segregate the Pledged Water
Revenues and the Series 2025A Pledged Taxes. The City and its officers will comply with all
present and future applicable laws in order to assure that the Series 2025A Pledged Taxes can
be levied and extended and that the Pledged Water Moneys may be collected and deposited as
provided in this Ordinance.
(h) Once issued, the Series 2025A Water 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 Water Revenues, from the
levy of the Series 2025A Pledged Taxes as provided in the Act.
Section 16. 2025A Pledged Revenues Account. There is hereby created a special fund
of the City, which fund shall held separate and apart from all other funds and accounts of the
City and shall be known as the "2025A Pledged Revenues Account" (the "2025A Pledged
Revenues Account"). The purpose of the 2025A Pledged Revenues Account is to provide a
fund to receive and disburse the Pledged Water Revenues from time to time for the payment
of the Series 2025A Water Bonds. All payments with respect to the Series 2025A Water
Bonds from the Series 2025A Pledged Taxes shall be made directly from the 2025A Bond
Fund (as hereinafter defined). The 2025A Pledged Revenues Account constitutes a trust fund
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established for the purpose of carrying out the covenants, terms and conditions imposed upon
the City by this Ordinance.
Pledged Water Revenues, other than that portion of the Pledged Water Revenues
required for the payment of the Series 2023A Bonds pursuant to the Series 2023A Bond
Ordinance, shall be withdrawn from the Water Fund by the City from time to time and shall be
deposited into the 2025A Pledged Revenues Account in a timely fashion to permit the
abatement of Series 2025A Pledged Taxes as described in Section 18 of this Ordinance and to
provide for the timely payment of the principal of and interest on the Series 2025A Water
Bonds.
Section 17. 2025A Alternate Bond Fund. There is hereby created a special fund of
the City, which fund shall be held by the Paying Agent separate and apart from all other funds
and accounts of the City and shall be known as the "2025A Alternate Bond Fund" (the "2025A
Bond Fund"). The purpose of the 2025A Bond Fund is to provide a fund to receive and
disburse the Series 2025A Pledged Taxes for any (or all) of the Series 2025A Water Bonds.
The 2025A Bond Fund constitutes a trust fund established for the purpose of carrying out the
covenants, terms and conditions imposed upon the City by this Ordinance. Any Series 2025A
Pledged Taxes received by the City with respect to the Series 2025A Water Bonds shall
promptly be deposited into the 2025A Bond Fund.
Section 18. Abatement of Series 2025A Pledged Taxes. Whenever funds are or will
be available to pay any principal of or interest on the Series 2025A Water Bonds when due, so
as to enable the abatement of the Series 2025A Pledged Taxes levied for the same, the
Corporate Authorities shall direct the deposit of such funds into the Water Fund in an amount
sufficient to pay such principal of or interest on the Series 2025A Water Bonds in the next
succeeding bond year and shall direct the abatement of the Series 2025A Pledged Taxes.
Proper notification of such abatement shall be filed with the County Clerk in a timely manner
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to effect such abatement. The Corporate Authorities covenant that they will abate the levy of
the Series 2025A Pledged Taxes only to the extent of the funding of the Water Fund from the
Pledged Water Revenues or other available funds.
Section 19. Use of Series 2025B Public Works Bond Proceeds. The proceeds derived
from the sale of the Series 2025B Public Works Bonds shall be used as follows:
(a) Accrued interest, if any, received by the City upon the sale of the Series 2025B
Public Works Bonds shall be remitted by the Treasurer for deposit into the Alternate Bond and
Interest Account (Public Works 2025) and used to pay first interest coming due on the Series
2025B Public Works Bonds.
(b) The City shall then allocate from the Series 2025B Public Works Bond proceeds
the sum necessary for expenses incurred in the issuance of the Series 2025B Public Works
Bonds which shall be deposited into an "Expense Fund (2025B)" to be maintained by the
Treasurer and disbursed for such issuance expenses from time to time in accordance with
usual City procedures for the disbursement of funds, which disbursements are hereby
expressly authorized. Moneys from the Series 2025B Public Works Bond proceeds not
disbursed from the Expense Fund (2025B) within six (6) months shall be transferred by the
City for deposit into the Public Works Project Fund, and any deficiencies in the Expense Fund
(2025B) shall be paid by disbursement from the Public Works Project Fund.
(c) The remaining Series 2025B Public Works Bond proceeds shall be set aside in a
separate fund hereby created and designated as the "Public Works Project Fund" (the "Public
Works Project Fund"), which the City shall maintain as a separate and segregated account.
Moneys in said fund shall be withdrawn and disbursed by the City from time to time as needed
for the payment of costs of the Public Works Project, and paying the fees and expenses
incidental thereto not paid out of the Expense Fund (2025B).
(d) Funds on deposit in the Public Works Project Fund may be invested by the
Treasurer in any lawful manner. All investment earnings in the Public Works Project Fund
shall first be reserved and transferred to such other account as and to the extent necessary to
pay any "excess arbitrage profits" or"penalty in lieu of rebate"under Section 148 of the Code
to maintain the tax-exempt status of the Series 2025B Public Works Bonds, and the remainder
shall be retained in the Public Works Project Fund and for payment of costs of the Public
Works Project.
(e) If the Public Works Project has been completed and accepted, the engineer or
architect or City officer in responsible charge of the Public Works Project shall certify to the
Corporate Authorities the fact that the work has been completed and accepted, and upon
approval of such certification by the Corporate Authorities, funds (if any) remaining in the
Public Works Project Fund shall be credited by the Treasurer to the 2025B Bond Fund for
payment of the Series 2025B Public Works Bonds; and the Public Works Project Fund shall
be closed.
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Section 20. Public Works Tax Revenue Fund. There shall be and there is hereby
created the "Public Works Tax Revenue Fund" (the "Public Works Revenue Fund"). All of the
Pledged Public Works Revenues shall be set aside as collected and be deposited into the
Public Works Revenue Fund. The Pledged Public Works Revenues shall be immediately
deposited upon receipt by the City into the Public Works Revenue Fund.
Section 21. Flow of Funds for Public Works Revenue Fund. There shall be and there
is hereby created two separate and segregated accounts in the Public Works Revenue Fund
known as the "Alternate Bond and Interest Account (Public Works 2025)" (the "Alternate
Bond and Interest Account (Public Works 2025)") and the "Surplus Account (2025B)" (the
"Surplus Account (2025B)"). There shall be credited to the Alternate Bond and Interest
Account (Public Works 2025) and the Surplus Account (2025B) 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 Public
Works Revenue Fund, in accordance with the following provisions:
(a) Alternate Bond and Interest Account (Public Works 2025). All moneys in the
Public Works Revenue Fund shall be credited first to the Alternate Bond and Interest Account
(Public Works 2025), as follows. There shall be paid into the Alternate Bond and Interest
Account (Public Works 2025) in each month the amount of the interest becoming due on the
next succeeding interest payment date on the Outstanding Series 2025B Bonds and the amount
of the principal becoming due on the next succeeding principal maturity date or mandatory
sinking fund redemption date of the Outstanding Series 2025B Bonds until there shall have
been accumulated in the Alternate Bond and Interest Account (Public Works 2025) 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 the Outstanding Series 2025B 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 the Outstanding Series 2025B Bonds.
(b) Surplus Account (2025B). Any funds remaining in the Public Works Revenue
Fund after making the aforesaid deposits to the credit of the Alternate Bond and Interest
Account (Public Works 2025) shall be transferred to the Surplus Account (2025B). Amounts
in the Surplus Account (2025B) shall be used, first, to make up any subsequent deficiencies in
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the Alternate Bond and Interest Account (Public Works 2025); and then, for the remainder of
all surplus Pledged Public Works 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 the Outstanding Series 2025B Bonds
payable from the Pledged Public Works Revenues which are callable at the time; or
2. For the purpose of purchasing the Outstanding Series 2025B Bonds payable
from the Pledged Public Works Revenues.
(c) Release of Pledged Public Works Revenues. After there has been accumulated in
the Surplus Account (2025B) an amount equal to 100% of the principal of and interest to
accrue on the Outstanding Series 2025B Bonds for the next succeeding Bond Year (June 30
and December 30), any remaining Pledged Public Works Revenues, may be released at the
discretion of the Corporate Authorities and used for any lawful public purpose.
(d) Investment of Public Works Revenue Fund. Money to the credit of the Public
Works Revenue Fund may be invested pursuant to any authorization granted to municipal
corporations by Illinois statute or court decision.
Section 22. Account Excesses. Any amounts to the credit of the accounts created by
Sections 20, 21 and 23 of 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 Public Works Revenue Fund as it may in its sole discretion designate.
Section 23. 2025B Alternate Bond Fund. There is hereby created a special fund of
the City, which fund shall be held by the Paying Agent separate and apart from all other funds
and accounts of the City and shall be known as the "2025B Alternate Bond Fund" (the "2025B
Bond Fund"). The purpose of the 2025B Bond Fund is to provide a fund to receive and
disburse the Series 2025B Pledged Taxes for any (or all) of the Series 2025B Public Works
Bonds. The 2025B Bond Fund constitutes a trust fund established for the purpose of carrying
out the covenants, terms and conditions imposed upon the City by this Ordinance. Any Series
2025B Pledged Taxes received by the City shall promptly be deposited into the 2025B Bond
Fund.
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Section 24. General Covenants Regarding the Series 2025E Public Works Bonds.
The City covenants and agrees with the owners of the Outstanding Series 2025B Public Works
Bonds, so long as there are any Outstanding Series 2025B Public Works Bonds, as follows:
(a) The City hereby pledges the Pledged Public Works Revenues to the payment of
the Series 2025B Public Works Bonds, and the Corporate Authorities covenant and agree to
provide for, collect and apply the Pledged Public Works Revenues to the payment of the
Series 2025B Public Works Bonds, and the provision of not less than an additional 0.25 times
debt service on the Series 2025B Public Works Bonds, all in accordance with Section 15 of
the Act. The determination of the sufficiency of the Pledged Public Works 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 Alternate Bond and
Interest Account (Public Works 2025) and from the 2025B Bond Fund the principal of,
interest on and premium, if any, to become due in respect to the Series 2025B Public Works
Bonds in strict conformity with the terms of the Series 2025B Public Works Bonds, this
Ordinance and the relevant Bond Order, 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
Alternate Bond and Interest Account (Public Works 2025) and the 2025B Bond Fund any and
all lawful claims which, if unpaid, might become a lien or charge upon the Pledged Public
Works Moneys, or any part thereof, or upon any funds in the hands of the Paying Agent, or
which might impair the security of the Series 2025B Public Works 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, the Pledged Public Works Revenues,
related Series 2025B Pledged Taxes, the Alternate Bond and Interest Account (Public Works
2025) and the 2025B 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 percent
(10%) of the principal amount of the Outstanding Series 2025B Public Works Bonds or their
representatives authorized in writing.
(e) The City will preserve and protect the security of the Series 2025B Public Works
Bonds and the rights of the registered owners of the Series 2025B Public Works 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 Series 2025B Public Works Bonds by the City, the
Series 2025B Public Works Bonds shall be incontestable by the City.
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(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 Series 2025B Public Works
Bonds of the rights and benefits provided in this Ordinance.
(g) As long as any Series 2025B Public Works Bonds are Outstanding, the City will
continue to deposit the Pledged Public Works Revenues from the Public Works Revenue Fund
to the Alternate Bond and Interest Account (Public Works 2025) and, if necessary, the Series
2025B Pledged Taxes to the 2025B Bond Fund. The City covenants and agrees with the
purchasers of the Series 2025B Public Works Bonds and with the registered owners thereof
that so long as any Series 2025B Public Works 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 levy the Series 2025B Pledged Taxes and to collect and to segregate the Pledged
Public Works Moneys. The City and its officers will comply with all present and future
applicable laws in order to assure that the Series 2025B Pledged Taxes can be levied and
extended and that the Pledged Public Works Revenues and the Series 2025B Pledged Taxes
may be collected and deposited to the Alternate Bond and Interest Account (Public Works
2025) and the 2025B Bond Fund, respectively, as provided herein.
(h) Once issued, the Series 2025B Public Works 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 Public Works
Revenues, from the levy of the Series 2025B Pledged Taxes as provided in the Act.
(i) Within six (6) months following the close of each Fiscal Year, the City will
cause 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 holders of any of the Series 2025B Public Works Bonds.
Section 25. Abatement of Series 2025B Pledged Taxes. As provided in the Act,
whenever the Pledged Public Works Revenues shall have been determined by the Treasurer to
provide in any calendar year an amount not less than 1.25 times debt service of all outstanding
Series 2025B Public Works Bonds in the next succeeding Bond Year (June 30 and December
30) and whenever monies have been deposited to the credit of the Alternate Bond and Interest
Account (Public Works 2025) in an amount sufficient to pay debt service on all outstanding
Series 2025B Public Works Bonds in the next succeeding bond year, the Treasurer shall, prior
to the time the Series 2025B Pledged Taxes levied in such calendar year are extended, direct
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the abatement of the Series 2025B Pledged Taxes, and proper notification of such abatement
shall be filed with the County Clerk in a timely manner to effect such abatement.
Section 26. Use of Series 2025C Refunding Bond Proceeds. The proceeds derived from
the sale of the Series 2025C Refunding Bonds shall be used as follows:
(a) Accrued interest, if any, received by the City upon the sale of the Series
2025C Refunding Bonds shall be remitted by the Treasurer for deposit into the 2025C
Pledged Revenues Account of the 2025C Bond Fund, and used to pay first interest
coming due on the Series 2025C Refunding Bonds or be deposited into the Escrow
Account (2014A) as set forth in the Escrow Agreement—2014A Refunding.
(b) The City shall then allocate from the Series 2025C Refunding Bond
proceeds the sum necessary for expenses incurred in the issuance of the Series 2025C
Refunding Bonds which shall be deposited into an "Expense Fund (2025C)" to be
maintained by the Treasurer and disbursed for such issuance expenses from time to time
in accordance with usual City procedures for the disbursement of funds, which
disbursements are hereby expressly authorized. Moneys not disbursed from the Expense
Fund (2025C) within six (6) months shall be transferred by the City for deposit in the
2025C Pledged Revenues Account, and any deficiencies in the Expense Fund (2025C)
shall be paid by disbursement from the 2025C Pledged Revenues Account.
(c) The balance of the proceeds of the sale of the Series 2025C Refunding
Bonds, together with such money in the debt service fund for the 2014A Bonds as may be
advisable for the purpose, shall be used to provide for the 2014A Refunding, and to that
end, shall be irrevocably deposited into a separate and segregated escrow account to be
established pursuant to the Escrow Agreement— 2014A Refunding to be executed by the
Designated Officers, which Escrow Agreement — 2014A Refunding shall be in form as
provided by Bond Counsel and approved by the City Attorney and as set forth in the
applicable Bond Order. The Designated Officers are hereby authorized and directed to
sign the Escrow Agreement in such form, with such changes, insertions, omissions and
additions as they shall reasonably determine appropriate and necessary to constitute
official approval thereof by the Corporate Authorities, it being the express intent of the
Corporate Authorities that no further official action shall be required to approve same.
(d) In accordance with the redemption provisions of Ordinance No. 2014-32
adopted by the Corporate Authorities on July 22, 2014, pursuant to which the 2014A
Bonds were issued, the City does hereby make provision for the payment of and does call
(subject only to the delivery of the Series 2025C Refunding Bonds) for redemption and
payment of that portion of the 2014A Bonds which are to be called for redemption prior
to maturity as set forth in the Escrow Agreement — 2014A Refunding. Pursuant to the
Escrow Agreement—2014A Refunding, the Escrow Agent shall refund the 2014A Bonds
on the redemption date or dates set forth therein.
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(e) Escrow TheAgent, the Purchaser or Speer be and the same hereby are each
authorized to act as agent for the City in the purchase of the Government Securities
described and set forth in the Escrow Agreement — 2014A Refunding. The City may, at
its option, obtain a verification of an accountant as to the sufficiency of the funds
deposited into the Escrow Account (2014A) under the Escrow Agreement — 2014A
Refunding to accomplish the 2014A Refunding.
Section 27. 2025C Alternate Bond Fund. There is hereby created a special fund of
the City, which fund shall be held by the Paying Agent separate and apart from all other funds
and accounts of the City and shall be known as the"2025C Alternate Bond Fund" (the "2025C
Bond Fund"). The purpose of the 2025C Bond Fund is to provide a fund to receive and
disburse the Pledged Sales Tax Revenues for the Series 2025C Bonds and to receive and
disburse the Series 2025C Pledged Taxes for any (or all) of the Series 2025C Refunding
Bonds. There are hereby created two accounts of the 2025C Bond Fund, designated the
"2025C Pledged Revenues Account" and the "Series 2025C Pledged Taxes Account". All
Pledged Sales Tax Revenues as required for the Series 2025C Bonds shall be deposited to the
credit of the 2025C Pledged Revenues Account, and all Series 2025C Pledged Taxes shall be
deposited to the credit of the Series 2025C Pledged Taxes Account. The 2025C Bond Fund
and its respective accounts constitute a trust fund established for the purpose of carrying out
the covenants, terms and conditions imposed upon the City by this Ordinance. The Series
2025C Bonds are secured by a pledge of all of the moneys on deposit in the 2025C Bond
Fund, and such pledge is irrevocable until the Series 2025C Refunding Bonds have been paid
in full or until the obligations of the City are discharged under this Ordinance.
Any Series 2025C Pledged Taxes received by the City shall promptly be deposited into
the Series 2025C Pledged Taxes Account of the 2025C Bond Fund. Series 2025C Pledged
Taxes on deposit to the credit of the Series 2025C Pledged Taxes Account shall be fully spent
to pay the principal of and interest on the Series 2025C Refunding Bonds for which such taxes
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were levied and collected prior to the use of any moneys on deposit in the 2025C Pledged
Revenues Account of the 2025C Bond Fund.
All Pledged Sales Tax Revenues, other than that portion of the Pledged Sales Tax
Revenues required for the payment of(i) the Series 2025D Refunding Bonds pursuant to this
Ordinance and (ii) the Series 2015A Bonds pursuant to the Series 2015A Bond Ordinance, as
required for the Series 2025C Refunding Bonds shall be credited to the 2025C Pledged
Revenues Account of the 2025C Bond Fund and held, in cash and investments, on or before
the first day of each month by the Treasurer, without any further action or direction. Each
monthly deposit shall be a fractional amount of the interest becoming due on the next
succeeding interest payment date on all Series 2025C Refunding Bonds and also a fractional
amount of the principal becoming due on the next succeeding maturity date on all Series
2025C Refunding Bonds until there shall have been accumulated and held, in cash and in
investments, in the 2025C Pledged Revenues Account on or before the month preceding such
maturity date of interest or maturity date of principal, an amount sufficient to pay such
principal or interest, or both.
In computing the fractional amount to be set aside each month in the 2025C Pledged
Revenues Account, the fraction shall be so computed that a sufficient amount will be set aside
in said Account and will be available for the prompt payment of such principal of and interest
on all Series 2025C Refunding Bonds and shall be not less than one-sixth of the interest
becoming due on the succeeding interest payment date and not less than one-twelfth of the
principal becoming due on the next succeeding principal payment date of all Series 2025C
Refunding Bonds outstanding until there is sufficient money in said Account to pay such
principal or interest, or both.
Credits to the 2025C Pledged Revenues Account need not be made at such time as there
shall be a sufficient sum, held in cash and investments, in said Account to meet principal and
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interest requirements in said Account on the next two (2) succeeding debt service payment
dates on the Series 2025C Refunding Bonds outstanding.
Notwithstanding any of the foregoing, if the Corporate Authorities determine that there
are Pledged Sales Tax Revenues that will not be needed to either pay debt service on the
Series 2025C Refunding Bonds or permit the abatement of the taxes levied in the applicable
Bond Order, such Pledged Sales Tax Revenues are not required to be deposited into the 2025C
Bond Fund or, if such Pledged Sales Tax Revenues are on deposit therein, the same may at the
direction of the Corporate Authorities and to the extentpermitted bylaw, be transferred to
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another account or fund of the City.
Section 28. General Covenants Regarding the Series 2025C Refunding Bonds. The
City covenants and agrees with the owners of the Outstanding Series 2025C Refunding Bonds,
so long as there are any Outstanding Series 2025C Refunding Bonds, as follows:
(a) The City hereby pledges the Pledged Sales Tax Revenues to the payment of the
Series 2025C Refunding Bonds, and the Corporate Authorities covenant and agree to provide
for, collect and apply the Pledged Sales Tax Revenues to the payment of the Series 2025C
Refunding Bonds, and the provision of not less than an additional 0.25 times debt service on
the Series 2025C Refunding Bonds, all in accordance with Section 15 of the Act. The
determination of the sufficiency of the Pledged Sales Tax 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 2025C Pledged
Revenues Account and from the 2025C Bond Fund the principal of, interest on and premium,
if any, to become due in respect to the Series 2025C Refunding Bonds in strict conformity
with the terms of the Series 2025C Refunding Bonds, this Ordinance and the relevant Bond
Order, 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
2025C Pledged Revenues Account and the 2025C Bond Fund any and all lawful claims which,
if unpaid, might become a lien or charge upon the Series 2025C 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 Series 2025C Refunding Bonds. Nothing herein contained shall require the City
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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, the Pledged Sales Tax Revenues,
related Series 2025C Pledged Taxes, the 2025C Pledged Revenues Account and the 2025C
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 percent (10%) of the
principal amount of the Outstanding Series 2025C Refunding Bonds or their representatives
authorized in writing.
(e) The City will preserve and protect the security of the Series 2025C Refunding
Bonds and the rights of the registered owners of the Series 2025C Refunding 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 Series 2025C Refunding Bonds by the City, the Series
2025C Refunding 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 Series 2025C Refunding
Bonds of the rights and benefits provided in this Ordinance.
(g) As long as any Series 2025C Refunding Bonds are Outstanding, the City will
continue to deposit the Pledged Sales Tax Revenues into the 2025C Pledged Revenues
Account of the 2025D Bond Fund and, if necessary, the Series 2025C Pledged Taxes to the
2025C Bond Fund. The City covenants and agrees with the purchasers of the Series 2025C
Refunding Bonds and with the registered owners thereof that so long as any Series 2025C
Refunding 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 levy the Series 2025C
Pledged Taxes and to collect and to segregate the Series 2025C Pledged Moneys. The City and
its officers will comply with all present and future applicable laws in order to assure that the
Series 2025C Pledged Taxes can be levied and extended and that the Pledged Sales Tax
Revenues and the Series 2025C Pledged Taxes may be collected and deposited to the 2025C
Pledged Revenues Account and the 2025C Bond Fund, respectively, as provided herein.
(h) Once issued, the Series 2025C Refunding 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 Sales Tax Revenues,
from the levy of the Series 2025C Pledged Taxes as provided in the Act.
(i) Within six (6) months following the close of each Fiscal Year, the City will
cause 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 holders of any of the Series 2025C Refunding Bonds.
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Section 29. Abatement of Series 2025C Pledged Taxes. As provided in the Act,
whenever the Pledged Sales Tax Revenues shall have been determined by the Treasurer to
provide in any calendar year an amount not less than 1.25 times debt service of all outstanding
Series 2025C Refunding Bonds in the next succeeding Bond Year (June 1 and December 1)
and whenever monies have been deposited to the credit of the 2025C Pledged Revenues
Account in an amount sufficient to pay debt service on all outstanding Series 2025C
Refunding Bonds in the next succeeding bond year, the Treasurer shall, prior to the time the
Series 2025C Pledged Taxes levied in such calendar year are extended, direct the abatement of
the Series 2025C Pledged Taxes, and proper notification of such abatement shall be filed with
the County Clerk in a timely manner to effect such abatement.
Section 30. Use of Series 2025D Refunding Bond Proceeds. The proceeds derived
from the sale of the Series 2025D Refunding Bonds shall be used as follows:
(a) Accrued interest, if any, received by the City upon the sale of the Series 2025D
Refunding Bonds shall be remitted by the Treasurer for deposit into the 2025D Pledged Sales
Tax Revenues Account of the 2025D Bond Fund, and used to pay first interest coming due on
the Series 2025D Refunding Bonds or be deposited into the Escrow Account (2014) as set
forth in the Escrow Agreement—2014 Refunding.
(b) The City shall then allocate from the Series 2025D Refunding Bond proceeds
the sum necessary for expenses incurred in the issuance of the Series 2025D Refunding Bonds
which shall be deposited into an "Expense Fund (2025D)" to be maintained by the Treasurer
and disbursed for such issuance expenses from time to time in accordance with usual City
procedures for the disbursement of funds, which disbursements are hereby expressly
authorized. Moneys not disbursed from the Expense Fund (2025D) within six (6) months shall
be transferred by the City for deposit in the 2025D Pledged Sales Tax Revenues Account, and
any deficiencies in the Expense Fund (2025D) shall be paid by disbursement from the 2025D
Pledged Sales Tax Revenues Account.
(c) The balance of the proceeds of the sale of the Series 2025D Refunding Bonds,
together with such money in the debt service fund for the 2014 Bonds as may be advisable for
the purpose, shall be used to provide for the 2014 Refunding, and to that end, shall be
irrevocably deposited into a separate and segregated escrow account to be established pursuant
to the Escrow Agreement—2014 Refunding to be executed by the Designated Officers, which
Escrow Agreement — 2014 Refunding shall be in form as provided by Bond Counsel and
approved by the City Attorney and as set forth in the applicable Bond Order. The Designated
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Officers are hereby authorized and directed to sign the Escrow Agreement in such form, with
such changes, insertions, omissions and additions as they shall reasonably determine
appropriate and necessary to constitute official approval thereof by the Corporate Authorities,
it being the express intent of the Corporate Authorities that no further official action shall be
required to approve same.
(d) In accordance with the redemption provisions of Ordinance No. 2013-60
adopted by the Corporate Authorities on October 22, 2013, pursuant to which the 2014 Bonds
were issued, the City does hereby make provision for the payment of and does call (subject
only to the delivery of the Series 2025D Refunding Bonds) for redemption and payment of
that portion of the 2014 Bonds which are to be called for redemption prior to maturity as set
forth in the Escrow Agreement — 2014 Refunding. Pursuant to the Escrow Agreement — 2014
Refunding, the Escrow Agent shall refund the 2014 Bonds on the redemption date or dates set
forth therein.
(e) The Escrow Agent, the Purchaser or Speer be and the same hereby are each
authorized to act as agent for the City in the purchase of the Government Securities described
and set forth in the Escrow Agreement—2014 Refunding. The City may, at its option, obtain a
verification of an accountant as to the sufficiency of the funds deposited into the Escrow
Account (2014) under the Escrow Agreement — 2014 Refunding to accomplish the 2014
Refunding.
Section 31. 2025D Alternate Bond Fund. There is hereby created a special fund of
the City, which fund shall be held by the Paying Agent separate and apart from all other funds
and accounts of the City and shall be known as the "2025D Alternate Bond Fund" (the
"2025D Bond Fund"). The purpose of the 2025D Bond Fund is to provide a fund to receive
and disburse the Pledged Sales Tax Revenues and the Pledged TIF Revenues for the Series
2 2 D 0 5 Bonds and to receive and disburse the Series 2025D Pledged Taxes for any (or all) of
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the Series 2025D Refunding Bonds. There are hereby created three accounts of the 2025D
Bond Fund, designated the "2025D Pledged Sales Tax Revenues Account", the "2025D
Pledged TIF Revenues Account" and the "Series 2025D Pledged Taxes Account". All Pledged
Sales Tax Revenues as required for the Series 2025D Bonds shall be transferred by the
Treasurer and deposited to the credit of the 2025D Pledged Sales Tax Revenues Account, all
Pledged TIF Revenues as required for the Series 2025D Bonds shall be transferred bythe
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Treasurer from the Special Tax Allocation Fund and deposited to the credit of the 2025D
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Pledged TIF Revenues Account, and all Series 2025D Pledged Taxes shall be deposited to the
credit of the Series 2025D Pledged Taxes Account. The 2025D Bond Fund and its respective
accounts constitute a trust fund established for the purpose of carrying out the covenants,
terms and conditions imposed upon the City by this Ordinance. The Series 2025D Bonds are
secured by a pledge of all of the moneys on deposit in the 2025D Bond Fund, and such pledge
is irrevocable until the Series 2025D Refunding Bonds have been paid in full or until the
obligations of the City are discharged under this Ordinance.
The Special Tax Allocation Fund is hereby continued as a special fund of the City.
Moneys on deposit in the Special Tax Allocation Fund shall, as and if available, and at the
times and in the amounts as provided in this Ordinance, be transferred to the 2025D Pledged
TIF Revenues Account. The Treasurer is hereby authorized and directed to make such
transfers from time to time, first, of Pledged TIF Revenues, and, if such Pledged TIF
Revenues are insufficient then to make transfers of Pledged Sales Tax Revenues, as may be
necessary, to assure the full and timely abatement of the Series 2025D Pledged Taxes, it being
the express intent of the Corporate Authorities that the Pledged TIF Revenues, and, if such
Pledged TIF Revenues are insufficient, the Pledged Sales Tax Revenues, or any portion
thereof, shall be the source of payment of the interest on and principal of the Series 2025D
Refunding Bonds.
Any Series 2025D Pledged Taxes received by the City shall promptly be deposited into
the Series 2025D Pledged Taxes Account of the 2025D Bond Fund. Series 2025D Pledged
Taxes on deposit to the credit of the Series 2025D Pledged Taxes Account shall be fully spent
to pay the principal of and interest on the Series 2025D Refunding Bonds for which such taxes
were levied and collected prior to the use of any moneys on deposit in the 2025D Pledged
Sales Tax Revenues Account and the 2025D Pledged TIF Revenues Account of the 2025D
Bond Fund.
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All Pledged TIF Revenues as required for the Series 2025D Bonds shall be transferred
from the Special Tax Allocation Fund and credited to the 2025D Pledged TIF Revenues
Account of the 2025D Bond Fund and held, in cash and investments, on or before the first day
of each month by the Treasurer, without any further action or direction. Each monthly deposit
shall be a fractional amount of the interest becoming due on the next succeeding interest
payment date on all Series 2025D Refunding Bonds and also a fractional amount of the
principal becoming due on the next succeeding maturity date on all Series 2025D Refunding
Bonds until there shall have been accumulated and held, in cash and in investments, in the
2025D Pledged TIF Revenues Account on or before the month preceding such maturity date
of interest or maturity date of principal, an amount sufficient to pay such principal or interest,
or both.
All Pledged Sales Tax Revenues, other than that portion of the Pledged Sales Tax
Revenues required for the payment of(i) the Series 2025C Refunding Bonds pursuant to this
Ordinance and (ii) the Series 2015A Bonds pursuant to the Series 2015A Bond Ordinance, as
required for the Series 2025D Bonds shall be credited to the 2025D Pledged Sales Tax
Revenues Account of the 2025D Bond Fund and held, in cash and investments, on or before
the first day of each month by the Treasurer, without any further action or direction. Each
monthly deposit shall be a fractional amount of the interest becoming due on the next
succeeding interest payment date on all Series 2025D Refunding Bonds and also a fractional
amount of the principal becoming due on the next succeeding maturity date on all Series
2025D Refunding Bonds until there shall have been accumulated and held, in cash and in
investments, in the 2025D Pledged Sales Tax Revenues Account on or before the month
preceding such maturity date of interest or maturity date of principal, an amount sufficient to
pay such principal or interest, or both.
In computing the fractional amount to be set aside each month in the 2025D Pledged
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TIF Revenues Account and/or the 2025D Pledged Sales Tax Revenues Account, the fraction
shall be so computed that a sufficient amount will be set aside in said Accounts and will be
available for the prompt payment of such principal of and interest on all Series 2025D
Refunding Bonds and shall be not less than one-sixth of the interest becoming due on the
succeeding interest payment date and not less than one-twelfth of the principal becoming due
on the next succeeding principal payment date of all Series 2025D Refunding Bonds
outstanding until there is sufficient money in said Accounts to pay such principal or interest,
or both.
Credits to the 2025D Pledged TIF Revenues Account and/or the 2025D Pledged Sales
Tax Revenues Account need not be made at such time as there shall be a sufficient sum, held
in cash and investments, in said Accounts to meet principal and interest requirements in said
Accounts on the next two (2) succeeding debt service payment dates on the Series 2025D
Refunding Bonds outstanding.
Notwithstanding any of the foregoing, if the Corporate Authorities determine that there
are Pledged Sales Tax Revenues that will not be needed to either pay debt service on the
Series 2025D Refunding Bonds or permit the abatement of the taxes levied in the applicable
Bond Order, such Pledged Sales Tax Revenues are not required to be deposited into the 2025D
Bond Fund or, if such Pledged Sales Tax Revenues are on deposit therein, the same may at the
direction of the Corporate Authorities and to the extent permitted by law, be transferred to
another account or fund of the City.
Section 32. General Covenants Regarding the Series 2025D Refunding Bonds. The
City covenants and agrees with the owners of the Outstanding Series 2025D Refunding Bonds,
so long as there are any Outstanding Series 2025D Refunding Bonds, as follows:
(a) The City hereby pledges the Pledged TIF Revenues and the Pledged Sales Tax
Revenues to the payment of the Series 2025D Refunding Bonds, and the Corporate Authorities
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covenant and agree to provide for, collect and apply the Pledged TIF Revenues and the
Pledged Sales Tax Revenues to the payment of the Series 2025D Refunding Bonds, and the
provision of not less than an additional 0.25 times debt service on the Series 2025D Refunding
Bonds, all in accordance with Section 15 of the Act. The City hereby pledges to first apply all
available Pledged TIF Revenues to the payment of the Series 2025D Refunding Bonds, and, if
such amounts of such Pledged TIF Revenues are insufficient, to apply the Pledged Sales Tax
Revenues to the payment of the Series 2025D Refunding Bonds. The determination of the
sufficiency of the Pledged TIF Revenues and/or the Pledged Sales Tax 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 2025D Pledged
Revenues Account and from the 2025D Bond Fund the principal of, interest on and premium,
if any, to become due in respect to the Series 2025D Refunding Bonds in strict conformity
with the terms of the Series 2025D Refunding Bonds, this Ordinance and the relevant Bond
Order, 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
2025D Pledged TIF Revenues Account, the 2025D Pledged Sales Tax Revenues Account and
the 2025D Bond Fund any and all lawful claims which, if unpaid, might become a lien or
charge upon the Series 2025D 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 Series 2025D Refunding
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, the Pledged TIF Revenues, the
Pledged Sales Tax Revenues, related Series 2025D Pledged Taxes, the 2025D Pledged TIF
Revenues Account, the 2025D Pledged Sales Tax Revenues Account and the 2025D 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 percent (10%) of the principal
amount of the Outstanding Series 2025D Refunding Bonds or their representatives authorized
in writing.
(e) The City will preserve and protect the security of the Series 2025D Refunding
Bonds and the rights of the registered owners of the Series 2025D Refunding 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 Series 2025D Refunding Bonds by the City, the Series
2025D Refunding 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
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better assuring and confirming unto the registered owners of the Series 2025D Refunding
Bonds of the rights and benefits provided in this Ordinance.
(g) As long as any Series 2025D Refunding Bonds are Outstanding, the City will
continue to deposit, first, the Pledged TIF Revenues into the 2025D Pledged TIF Revenues
Account of the 2025D Bond Fund, and, if necessary, the Pledged Sales Tax Revenues into the
2025D Pledged Sales Tax Revenues Account of the 2025D Bond Fund and, if necessary, the
Series 2025D Pledged Taxes to the 2025D Bond Fund. The City covenants and agrees with the
purchasers of the Series 2025D Refunding Bonds and with the registered owners thereof that
so long as any Series 2025D Refunding 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 levy the Series 2025D Pledged Taxes and to collect and to segregate the Series 2025D
Pledged Moneys. The City and its officers will comply with all present and future applicable
laws in order to assure that the Series 2025D Pledged Taxes can be levied and extended and
that the Pledged TIF Revenues, the Pledged Sales Tax Revenues and the Series 2025D
Pledged Taxes may be collected and deposited to the 2025D Pledged TIF Revenues Account,
the 2025D Pledged Sales Tax Revenues Account and the 2025D Bond Fund, respectively, as
provided herein.
(h) Once issued, the Series 2025D Refunding 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 TIF Revenues and the
Pledged Sales Tax Revenues, from the levy of the Series 2025D Pledged Taxes as provided in
the Act.
(i) Within six (6) months following the close of each Fiscal Year, the City will
cause 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 holders of any of the Series 2025D Refunding Bonds.
Section 33. Abatement of Series 2025D Pledged Taxes. As provided in the Act,
whenever the Pledged TIF Revenues and the Pledged Sales Tax Revenues shall have been
determined by the Treasurer to provide in any calendar year an amount not less than 1.25
times debt service of all outstanding Series 2025D Refunding Bonds in the next succeeding
Bond Year (June 1 and December 1) and whenever monies have been deposited to the credit
of the 2025D Pledged TIF Revenues Account and the 2025D Pledged Revenues Account in
an amount sufficient to pay debt service on all outstanding Series 2025D Refunding Bonds in
the next succeeding bond year, the Treasurer shall, prior to the time the Series 2025D Pledged
Taxes levied in such calendar year are extended, direct the abatement of the Series 2025D
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Pledged Taxes, and proper notification of such abatement shall be filed with the County Clerk
in a timely manner to effect such abatement.
Section 34. Pledged Taxes; Tax Levy. For the purpose of providing additional funds
required to pay the interest and principal on the Bonds promptly when and as the same falls
due, and to pay and discharge the principal thereof at maturity, 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 sufficient for that purpose as
provided in the relevant Bond Order; and there be and there hereby is hereby levied on all of
the taxable property in the City the direct annual taxes as provided in the relevant Bond
Order,provided, however, that the aggregate amount of Series 2025A Pledged Taxes levied
for any one year with respect to the Series 2025A Water Bonds shall not exceed $2,750,000
and the aggregate amount of Series 2025B Pledged Taxes levied for any one year with
respect to the Series 2025B Public Works Bonds shall not exceed $3,000,000.
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 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 levied pursuant to the relevant Bond Order; and when the Pledged Taxes shall have
been collected, reimbursement shall be made to said funds in the amount so advanced.
The City covenants and agrees with the Purchaser and registered owners of the Bonds
that so long as any of the 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
respective Pledged Revenues or to levy and collect the respective Pledged Taxes. The City
and its officers will comply with all present and future applicable laws in order to assure that
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the Pledged Revenues will be available and that the Pledged Taxes will be levied, extended
and collected as provided herein, and deposited into the applicable fund or account as set
forth in this Ordinance.
Section 35. Filing with County Clerk. Promptly, as soon as this Ordinance and each
Bond Order becomes effective, a copy of this Ordinance and each Bond Order, each as
certified by the City Clerk, shall be filed with the County Clerk; and said County Clerk shall
in and for each of the levy years as provided in the relevant Bond Order ascertain the rate
percent required to produce the aggregate Pledged Taxes provided by such Bond Orders to be
levied in each of said years; and said 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 the applicable fund or account as set
forth in this Ordinance, 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 corporate purposes 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 Alternate Bond and Interest Account (Water)
and the 2025A Bond Fund, the 2025A Bond Fund shall be fully depleted before moneys to
the credit of the Alternate Bond and Interest Account(Water) shall be used to pay principal of
and interest on the Series 2025A Water Bonds.
Section 36. Defeasance of Bonds. Any Bond which (a) is paid and cancelled, (b)
which has 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
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Registrar or similar institution to pay, taking into account investment earnings on such
obligations, all principal of and interest on the Bond 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 applicable Pledged Revenues or the
applicable Pledged Taxes and shall no longer have the benefits of any covenant for the
registered owner of the outstanding Bond as set forth herein as such relates to lien and
security of the outstanding Bond in the applicable Pledged Revenues or the applicable
Pledged Taxes. All covenants relative to the tax-exempt status of the Bond; and payment,
registration, transfer, and exchange, are expressly continued for the Bond whether an
outstanding Bond or not.
Section 37. Taxes Previously Levied for Series 2014 Bonds and Series 2014A Bonds.
The taxes previously levied for the years 2024 (collectible in 2025) and thereafter to pay the
Series 2014 Bonds and the Series 2014A Bonds may be abated as set forth in a Certificate of
Tax Reduction to be executed and delivered by the Designated Officers upon the sale of the
Bonds and the refunding of the 2014A Bonds and the 2014 Bonds. The Designated Officers
are hereby expressly authorized to file an abatement certificate or certificates with the County
Clerk, without further official action of the Corporate Authorities, to effectuate such
abatement.
Section 38. Continuing Disclosure Undertaking. Any Designated Officer is hereby
authorized, empowered and directed to execute and deliver a Continuing Disclosure
Undertaking, in customary form as approved by Bond Counsel and approved by the City
Attorney, to effect compliance with Rule 15c2-12 adopted by the Securities and Exchange
Commission under the Securities Exchange Act of 1934, as amended. When such Continuing
Disclosure Undertaking is executed and delivered on behalf of the City, it will be binding on
the City and the officers, agents, and employees of the City, and the same are hereby
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authorized 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 such Continuing Disclosure
Undertaking as executed and delivered. Notwithstanding any other provisions hereof, (a) the
sole remedies for failure to comply with such 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 thereunder, and (b) the failure of
the City to comply with the Continuing Disclosure Undertaking shall not be considered an
event of default under the Bonds or this Ordinance.
Section 39. General Tax Covenants. The City agrees to comply with, and as of the
date hereof reasonably expects that it will comply with, all provisions of the Code which, if not
complied with by the City, would cause any of the Bonds not to be tax-exempt. As used herein,
"tax-exempt"means, with respect to the Bonds, the status of interest paid and received thereon
as not includible in the gross income of the owners thereof under the Code for federal income
tax purposes except to the extent that such interest is taken into account in computing an
adjustment used in determining the federal alternative minimum tax. It shall not be an event of
default under this Ordinance if the interest on any of the Bonds is not tax-exempt pursuant to
any provision of the Code which is not currently in effect and in existence on the date of the
issuance of the Bonds.
In furtherance 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 certificates or agreements as may be
prepared by counsel approving the Bonds, including, without limitation, a Tax Certificate; (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
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(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.
The City further certifies and covenants as follows with respect to the requirements of
Section 148(f) of the Code, relating to the rebate of"excess arbitrage profits" (the "Rebate
Requirement")to the United States:
(A) Unless an applicable exception to the Rebate Requirement is available to
the City, the City will meet the Rebate Requirement.
(B) Relating to applicable exceptions, the Treasurer or the Mayor is hereby
authorized to make such elections under the Code as either 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.
(C) 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 "2025 Bonds Rebate [or
Penalty, if applicable] Fund" (the "148 Compliance Fund") for the Bonds, or any series
thereof, and such officers shall further, not less frequently than annually, cause to be
transferred to the 148 Compliance 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.
(D) Interest earnings in the applicable 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 148 Compliance Fund for the purposes herein provided; and proceeds
of the Bonds and other funds of the City are also hereby authorized to be used to meet the
Rebate Requirement or to pay the Penalty, but only if necessary after application of
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investment earnings as aforesaid and only as appropriated by the Corporate Authorities.
The Corporate Authorities also certify and further covenant with the Purchaser and the
holders and registered owners of the Bonds from time to time outstanding that so long as any
of the Bonds remain unpaid, moneys on deposit in any fund or account in connection with the
Bonds, whether or not such moneys were derived from the proceeds of the sale of the Bonds
or from any other source, will not be used in a manner which will cause the Bonds to be
"arbitrage bonds" within the meaning of Section 148 of the Code, and any lawful regulations
promulgated thereunder, as the same presently exist, or may from time to time hereafter be
amended, supplemented or revised. The Corporate Authorities reserve the right, however, to
make any investment of moneys on deposit in any fund or account in connection with the
Bonds permitted by state law, if, when and to the extent that said Section 148 or regulations
promulgated thereunder shall be repealed or relaxed or shall be held void by final decision of a
court of competent jurisdiction, but only if any investment made by virtue of such repeal,
relaxation or decision would not, in the opinion of an attorney at law or a firm of attorneys of
nationally recognized standing in matters pertaining to tax-exempt bonds, result in the
inclusion of interest on the Bonds in gross income for federal income tax purposes.
The Corporate Authorities are hereby authorized and directed to make such further
covenants, estimates, representation, or assurances as may be necessary or advisable to the
end that the Bonds not be "arbitrage bonds" as aforesaid.
The City also certifies and further covenants with the purchasers and registered owners
of the Series 2025C Refunding Bonds from time to time outstanding that the proceeds of the
Series 2025C Refunding Bonds shall be devoted to and used with due diligence for the 2014A
Refunding in accordance with the provisions of the Escrow Agreement — 2014A Refunding,
and that moneys on deposit in any fund or account in connection with the Series 2025C
Refunding Bonds, whether or not such moneys were derived from the proceeds of the sale of
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the Series 2025C Refunding Bonds or from any other source, will not be used in a manner
which will cause the Series 2025C Refunding Bonds to be "arbitrage bonds" within the
meaning of Code Section 148 and any lawful regulations promulgated thereunder, as the same
presently exist or may from time to time hereafter be amended, supplemented or revised.
The City also certifies and further covenants with the purchasers and registered owners
of the Series 2025D Refunding Bonds from time to time outstanding that the proceeds of the
Series 2025D Refunding Bonds shall be devoted to and used with due diligence for the 2014
Refunding in accordance with the provisions of the Escrow Agreement—2014 Refunding, and
that moneys on deposit in any fund or account in connection with the Series 2025D Refunding
Bonds, whether or not such moneys were derived from the proceeds of the sale of the Series
2025D Refunding Bonds or from any other source, will not be used in a manner which will
cause the Series 2025D Refunding Bonds to be "arbitrage bonds" within the meaning of Code
Section 148 and any lawful regulations promulgated thereunder, as the same presently exist or
may from time to time hereafter be amended, supplemented or revised.
Section 40. Not Private Activity Bonds. None of the Bonds is or shall be a "private
activity bond" as defined in Section 141(a) of the Code. In support of such conclusion, the
City certifies, represents and covenants as follows:
(a) Not more than five percent (5%) of the net proceeds and investment earnings of
the Bonds is to be used, directly or indirectly, in any activity carried on by any person other
than a state or local governmental unit.
(b) Not more than five percent (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.
(c) 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.
(d) No direct or indirect payments were or are to be made on any of the 2014 Bonds
or the 2014A Bonds with respect to any private business use by any person other than a state
or local governmental unit.
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(e) None of the proceeds of the 2014 Bonds or the 2014A Bonds was or is, to be
used, directly or indirectly, to make or finance loans to persons other than a state or local
governmental unit.
(f) No user of the Water Project, the Public Works Project or the public capital
infrastructure financed or refinanced with the proceeds of the 2014 Bonds or the 2014A
Bonds (collectively, the "Prior Projects") 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 or has been a user of the Water
Project, the Public Works Project or the Prior Projects as a result of(i) ownership or(ii) actual
or beneficial use pursuant to a lease, a management or incentive payment contract, or (iii) any
other arrangement.
Section 41. Series 2025A Water Bonds Not Arbitrage Bonds. The Series 2025A
Water Bonds shall not be "arbitrage bonds" under Section 148 of the Code; and the City
hereby certifies, represents, and covenants as follows:
(a) With respect to the Water Project, the City has heretofore incurred or within six
(6) months after delivery of the Series 2025A Water Bonds expects to incur substantial
binding obligations to be paid for with money received from the sale of the Series 2025A
Water Bonds, said binding obligations comprising binding contracts for the Water Project in
not less than the amount of five percent (5%) of the proceeds of the Series 2025A Water
Bonds allocable to the Water Project.
(b) More than eighty-five percent (85%) of the proceeds of the Series 2025A Water
Bonds allocable to the Water Project will be expended on or before three (3) years for the
purpose of paying the costs of the Water Project.
(c) All of the principal proceeds of the Series 2025A Water Bonds allocable to the
Water Project and investment earnings thereon will be used, needed, and expended for the
purpose of paying the costs of the Water Project including expenses incidental thereto.
(d) Work on the Water Project is expected to proceed with due diligence to
completion.
(e) Except for the 2025A Bond Fund, the City has not created or established and
will not create or establish any sinking fund reserve fund or any other similar fund to provide
for the payment of the Series 2025A Water Bonds. The 2025A Bond Fund has been
established and will be funded in a manner primarily to achieve a proper matching of revenues
and debt service and will be depleted at least annually to an amount not in excess of 1/12th the
particular annual debt service on the Series 2025A Water Bonds. Money deposited into the
2025A Bond Fund will be spent within a thirteen (13) month period beginning on the date of
deposit, and investment earnings in the 2025A Bond Fund will be spent or withdrawn from the
2025A Bond Fund within a one(1) year period beginning on the date of receipt.
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(f) Amounts of money related to the Series 2025A Water Bonds required to be
invested at a yield not materially higher than the yield on the Series 2025A Water Bonds, as
determined pursuant to such tax certifications or agreements as the City officers may make in
connection with the issuance of the Series 2025A Water Bonds, shall be so invested; and
appropriate City officers are hereby authorized to make such investments.
Section 42. Series 2025B Public Works Bonds Not Arbitrage Bonds. The Series
2025B Public Works Bonds shall not be "arbitrage bonds"under Section 148 of the Code; and
the City hereby certifies, represents, and covenants as follows:
(a) With respect to the Public Works Project, the City has heretofore incurred or
within six (6) months after delivery of the Series 2025B Public Works Bonds expects to incur
substantial binding obligations to be paid for with money received from the sale of the Series
2025B Public Works Bonds, said binding obligations comprising binding contracts for the
Public Works Project in not less than the amount of five percent (5%) of the proceeds of the
Series 2025B Public Works Bonds allocable to the Public Works Project.
(b) More than eighty-five percent (85%) of the proceeds of the Series 2025B Public
Works Bonds allocable to the Public Works Project will be expended on or before three (3)
years for the purpose of paying the costs of the Public Works Project.
(c) All of the principal proceeds of the Series 2025B Public Works Bonds allocable
to the Public Works Project and investment earnings thereon will be used, needed, and
expended for the purpose of paying the costs of the Public Works Project including expenses
incidental thereto.
(d) Work on the Public Works Project is expected to proceed with due diligence to
completion.
(e) Except for the 2025B Bond Fund, the City has not created or established and
will not create or establish any sinking fund reserve fund or any other similar fund to provide
for the payment of the Series 2025B Public Works Bonds. The 2025B Bond Fund has been
established and will be funded in a manner primarily to achieve a proper matching of revenues
and debt service and will be depleted at least annually to an amount not in excess of 1/12th the
particular annual debt service on the Series 2025B Public Works Bonds. Money deposited into
the 2025A Bond Fund will be spent within a thirteen (13) month period beginning on the date
of deposit, and investment earnings in the 2025B Bond Fund will be spent or withdrawn from
the 2025B Bond Fund within a one(1)year period beginning on the date of receipt.
(f) Amounts of money related to the Series 2025B Public Works Bonds required to
be invested at a yield not materially higher than the yield on the Series 2025B Public Works
Bonds, as determined pursuant to such tax certifications or agreements as the City officers
may make in connection with the issuance of the Series 2025B Public Works Bonds, shall be
so invested; and appropriate City officers are hereby authorized to make such investments.
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Section 43. Registered Form. The City recognizes that Section 149(a) of the Code
requires the Bonds to be issued and to remain in fully registered form in order to be and
remain tax-exempt. In this connection, the City agrees that it will not take any action to permit
the Bonds to be issued in, or converted into, bearer or coupon form.
Section 44. Insurance. Upon a finding by the Authorized Officers that the purchase
of a Policy for all or any series or portion of the Bonds is likely to facilitate the marketing and
sale of such Bonds and permit completion of such sale in a timely fashion, and that such
Policy is available at an acceptable premium, as set forth in any Bond Order, the Designated
Officers are hereby expressly authorized to accept the commitment of an Insurer to issue a
commitment to provide a Policy in connection with the issuance and delivery of the Bonds.
The terms, provisions, conditions and requirements of said Insurer set forth in said
commitment as a condition to its issuance of such Policy shall be as attached to such Bond
Order as Exhibit A thereto and shall thereupon be incorporated into this Ordinance by this
reference as if set out at this place in full.
Section 45. List of Bondholders. The Bond Registrar shall maintain a list of the
names and addresses of the owners of all Bonds and upon any transfer shall add the name and
address of the new owner and eliminate the name and address of the transferor owner.
Section 46. Opinion of Counsel Exception. The City reserves the right to use or
invest moneys in connection with the Bonds in any manner, notwithstanding the tax-related
covenants set forth herein, provided it shall first have received an opinion from Croke
Fairchild Duarte & Beres LLC, or any other attorney or a firm of attorneys of nationally
recognized standing as bond counsel, to the effect that use or investment of such moneys as
contemplated is valid and proper under applicable law and this Ordinance and, further, will
not adversely affect the tax-exempt status for the Bonds.
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Section 47. Duties of Bond Registrar. If requested by the Bond Registrar or the
Paying Agent, or both, any Designated Officer is authorized to execute the Bond Registrar's
standard form of agreement between the City and the Bond Registrar or Paying Agent with
respect to the obligations and duties of the Bond Registrar hereunder which may include the
following:
(a) to act as bond registrar, paying agent, authenticating agent and transfer
agent as provided herein;
(b) to maintain a list of the owners of the Bonds as set forth herein and to
furnish such list to the City upon request,but otherwise to keep such list confidential;
(c) to give notice of redemption of Bonds as provided herein;
(d) to cancel and/or destroy Bonds which have been paid at maturity or upon
earlier redemption or submitted for exchange or transfer;
(e) to furnish the City at least annually a certificate with respect to Bonds
cancelled and/or destroyed; and
(f) 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.
Section 48. 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. No consent or waiver, express or implied, to or of any breach
or default in the performance of any obligation under this Ordinance shall constitute a consent
or waiver to or of any other breach or default in the performance of the same or any other
obligation.
Section 49. Severability. If any section, paragraph, clause or provision of this
Ordinance shall be held invalid, the invalidity of such section, paragraph, clause or provision
shall not affect any of the other provisions of this Ordinance.
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Section 50. Repealer. All ordinances, resolutions or orders, or parts thereof, in
conflict with the provisions of this Ordinance are to the extent of such conflict hereby
repealed.
Section 51. Effective Date. This Ordinance shall be in full force and effect forthwith
and immediately upon its passage.
Passed by the Corporate Authorities on December 10, 2024 by a roll call vote as follows:
AYES: Funkhouser, Tarulis, Transier, Soling, Marek, Corneils, Koch, and Plocher
NAYS:
ABSENT:
UNITED CITY OF YORKVILLE,
KENDALL C Y,ILLINOIS
By: T /
y �/
-.-.
Mayor
APPROVED this 10th day of December, 2024.
Attest:
C4 . 14.0..zwunid
\./ ity Clerk
-100
MINUTES of a regular public meeting of the City Council
of the United City of Yorkville, Kendall County, Illinois,
held at the City Council Chambers of the City Hall, located
at 651 Prairie Pointe Drive, Yorkville, Illinois, in said City
at 7 o'clock P.M., on the l Oth day of December, 2024.
* *
The Mayor called the meeting to order and directed the City Clerk to call the roll.
Upon roll call, the Mayor and the following Aldermen answered present at said location:
Koch, Transier, Plocher, Soling, Funkhouser, Marek, Tarulis, and Corneils
The following were absent
The Mayor announced that the next item of business before the City Council was the
consideration of an ordinance authorizing the issuance of(a) not to exceed $25,000,000 General
Obligation Bonds (Alternate Revenue Source), Series 2024A for the purpose of improvements to
the City's water system, (b) not to exceed $40,000,000 General Obligation Bonds (Alternate
Revenue Source), Series 2024B for the purpose of providing certain public works facilities, (c)
not to exceed $2,500,000 General Obligation Refunding Bonds (Alternate Revenue Source),
Series 2024C for the purpose of for the purpose of refunding certain of the City's outstanding
alternate revenue source bonds, and (d) not to exceed $1,350,000 General Obligation Refunding
Bonds (Alternate Revenue Source), Series 2024D for the purpose of for the purpose of refunding
certain of the City's outstanding alternate revenue source bonds. Thereupon, Alderman
presented, and there was made available to the Aldermen and interested members of the public
the following ordinance (the "Bond Ordinance"):
AN ORDINANCE of the United City of Yorkville, Kendall
County, Illinois, authorizing and providing for the issuance
of one or more series of general obligation alternate
revenue bonds in the aggregate principal amount of not to
exceed $68,850,000 for the purposes of paying the costs of
enhancing the City's water delivery system, paying the
costs of the acquisition of one or more parcels of real
property and the construction of a new public works
facility thereon, and refunding certain of the City's
outstanding alternate revenue bonds, authorizing the
execution of one or more bond orders, and providing for
the imposition of taxes to pay the same and for the
collection, segregation and distribution of certain City
revenues for the payment of said bonds.
Alderman Marek moved and Alderman Koch seconded the motion that the
Bond Ordinance as presented be adopted.
A City Council discussion of the matter followed. During the City Council discussion,
the Mayor gave a public recital of the nature of the matter, which included a reading of the
title of the Bond Ordinance and statements that (i) the Bond Ordinance provided for the
issuance of alternate bonds for the purpose of providing funds for certain improvements to the
City's water system and certain public works projects and paying the costs of refunding
certain existing alternate revenue bond issues of the City, (ii) the bonds are issuable without
referendum pursuant to the Illinois Municipal Code, as amended, and the Local Government
Debt Reformed Act, as amended, (iii) the Bond Ordinance provides for the levy of taxes to
pay the bonds, although the intent of the City is that the bonds will be paid from the revenues
described in the Bond Ordinance, and (iv) that the Bond Ordinance provides certain details
for the bonds, including tax-exempt status covenants for the bonds, provisions for terms and
form of the bonds, and appropriations.
After a full and complete discussion thereof, the Mayor directed that the roll be called
for a vote upon the motion to adopt the Bond Ordinance.
Upon the roll being called, the following Aldermen:
Funkhouser, Tarulis, Transier, Soling, Marek, Corneils, Koch, and Plocher voted
AYE, and the following Aldermen: voted NAY.
Whereupon the Mayor declared the motion carried and the Bond Ordinance adopted
and approved and signed the same in open meeting and directed the City Clerk to record the
same in full in the records of the City Council of the United City of Yorkville, Kendall
County, Illinois.
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.
, ga
C' y Clerk, United City of
orkville, Kendall County,
Illinois
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 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 thereof(the "City Council").
I do further certify that the foregoing constitutes a full, true and complete transcript of
the minutes of the meeting of the City Council held on the 10th day of December, 2024,
insofar as same relates to the adoption of Ordinance No. 2024 -76 entitled:
AN ORDINANCE of the United City of Yorkville, Kendall County,
Illinois, authorizing and providing for the issuance of one or more
series of general obligation alternate revenue bonds in the aggregate
principal amount of not to exceed $68,850,000 for the purposes of
paying the costs of enhancing the City's water delivery system,
paying the costs of the acquisition of one or more parcels of real
property and the construction of a new public works facility thereon,
and refunding certain of the City's outstanding alternate revenue
bonds, authorizing the execution of one or more bond orders, and
providing for the imposition of taxes to pay the same and for the
collection, segregation and distribution of certain City revenues for
the payment of said 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 City Council on the adoption of said
ordinance were taken openly, that the vote on the adoption of said ordinance was taken
openly, that said meeting was held at a specified time and place convenient to the public, that
notice of said meeting was duly given to all of the news media requesting such notice, that
said meeting was called and held in strict accordance with the provisions of the Illinois
Municipal Code, as amended, and the Open Meetings Act of the State of Illinois, as amended,
and that the City Council has complied with all of the applicable provisions of said Code and
said Act and its procedural rules in the adoption of said ordinance.
IN WITNESS WHEREOF, I hereunto affix my official signature and the seal of the
City this 10th day of December, 2024.
AA ^^ n
JAIL) 6 V
1P•rk, United City of Yorkville,
(SEAL) ' endall County, Illinois
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 The County of Kendall, Illinois, and as such official I do further certify that on the 13 day of
December, 2024, there was filed in my office a duly certified copy of an ordinance entitled:
AN ORDINANCE of the United City of Yorkville, Kendall
County, Illinois, authorizing and providing for the
issuance of one or more series of general obligation
alternate revenue bonds in the aggregate principal amount
of not to exceed $68,850,000 for the purposes of paying
the costs of enhancing the City's water delivery system,
paying the costs of the acquisition of one or more parcels
of real property and the construction of a new public works
facility thereon, and refunding certain of the City's
outstanding alternate revenue bonds, authorizing the
execution of one or more bond orders, and providing for
the imposition of taxes to pay the same and for the
collection, segregation and distribution of certain City
revenues for the payment of said bonds,
duly adopted by the City Council of the United City of Yorkville, Kendall County, Illinois, on the
10th day of December, 2024, and that the same has been deposited in the official files and records
of my office.
this3 IN WITNESS WHEREOF, I hereunto affix my official signature and the seal of said County,
day of December, 2024.
(A' ‘,"/WtAL
Linty Clerk of The County of
0`vOTY C4�`,, Kendall, Illinois
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:OFFICIAL-
SEAIE
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•
, CC°it..,T'\,0.vv - FILED -
DEC 13 2024
COUNTY CLERK
ail�� ,"'"cf KENDALL COUNTY