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Ordinance 2024-54 UNITED CITY OF YORKVILLE KENDALL COUNTY, ILLINOIS ORDINANCE NO. 2024-54 AN ORDINANCE AUTHORIZING THE UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS TO BORROW FUNDS FROM THE PUBLIC WATER SUPPLY LOAN PROGRAM Passed by the City Council of the United City of Yorkville, Kendall County, Illinois This 12th day of November,2024 STATE OF ILLINOIS Published in pamphlet form by the COUNTY OF KENDALL authority of the Mayor and City Council - FILED - of the United City of Yorkville, Kendall DEC 17 2024 County, Illinois on November 15, 2024. COUNTY CLERK C���� KENDALL COUNTY Ordinance No. 2024-54 AN ORDINANCE AUTHORIZING THE UNITED CITY OF YORKVIL.LE, KENDALL COUNTY,ILLINOIS TO BORROW FUNDS FROM THE PUBLIC WATER SUPPLY LOAN PROGRAM WHEREAS, the United City of Yorkville, Kendall County, Illinois (the "City") is duly organized and validly existing non-home rule municipality created in accordance with the Constitution of Illinois of 1970 and the laws of the State; and WHEREAS, the City operates its public water supply system ("the System") and in accordance with the provisions of the Illinois Municipal Code, 65 ILCS 5/11-129-1 and the Local Government Debt Reform Act, 30 ILCS 350/1 (collectively, "the Act'), and WHEREAS, the MAYOR AND CITY COUNCIL of the City("the Corporate Authorities") have determined that it is advisable, necessary and in the best interests of public health, safety and welfare to improve the System, including the following: Construction of a North Receiving Station and North Tank together with any land or rights in land and all electrical, mechanical or other services necessary, useful or advisable to the construction and replacement of water mains ("the Project'), all in accordance with the plans and specifications prepared by consulting engineers of the City; which Project has a useful life of fifty(50) years ; and WHEREAS, the estimated cost of construction and installation of the Project, including engineering, legal, financial and other related expenses is $15,665,000, and there are insufficient funds on hand and lawfully available to pay these costs; and WHEREAS, the loan shall bear an interest rate as defined by 35 Ill. Adm. Code 662, which does not exceed the maximum rate authorized by the Bond Authorization Act, as amended, 30 ILCS 305/0.01 et seq., at the time of the issuance of the loan; and Ordinance No.2024-54 Page 2 WHEREAS, the principal and interest payment shall be payable semi-annually, and the loan shall mature in thirty (30) years, which is within the period of useful life of the Project; and WHEREAS, the costs are expected to be paid for with a loan to the City from the Public Water Supply Loan Program through the Illinois Environmental Protection Agency, the loan to be repaid from: (i) the net revenues derived from the operation of the water supply system; (ii) all collections of any non-home rule "places of eating" tax imposed and collected by the City and deposited into the City's Water Fund; and(iii) certain moneys on deposit from time to time in the funds and accounts held within the Water Fund (collectively, "Pledged Revenues"). The loan is authorized to be accepted at this time pursuant to the Act; and WHEREAS, in accordance with the provisions of the Act, the City is authorized to borrow funds from the Public Water Supply Loan Program in the aggregate principal amount of $ 15,665,000 to provide funds to pay the costs of the Project; WHEREAS, the loan to the City shall be made pursuant to a Loan Agreement, including certain terms and conditions, between the City and the Illinois Environmental Protection Agency; NOW THEREFORE, be it ordained by the Corporate Authorities of the United City of Yorkville,Kendall County, Illinois, as follows: SECTION 1. INCORPORATION OF PREAMBLES The Corporate Authorities hereby find that the recitals contained in the preambles are true and correct, and incorporate them into this Ordinance by this reference. SECTION 2. DETERMINATION TO BORROW FUNDS It is necessary and in the best interests of the City to construct the Project for the public health, safety and welfare, in accordance with the plans and specifications, as described; that the Ordinance No. 2024-54 Page 3 System continues to be operated in accordance with the provision of the Act; and that for the purpose of constructing the Project, it is hereby authorized that funds be borrowed by the City in an aggregate principal amount (which can include construction period interest financed over the term of the loan) not to exceed $15,665,000. SECTION 3. PUBLICATION This Ordinance, together with a Notice in the statutory form (attached hereto as Exhibit A), shall be published once within ten days after passage in The Beacon, a newspaper published and of general circulation in the City, and if no petition, signed by electors numbering 10% or more of the registered voters in the City (i.e., 1,667) asking that the question of improving the System as provided in this Ordinance and entering into the Loan Agreement therefore be submitted to the electors of the City, is filed with the City Clerk within 30 days after the date of publication of this Ordinance and notice, then this Ordinance shall be in full force and effect. A petition form shall be provided by the City Clerk to any individual requesting one. SECTION 4. ADDITIONAL ORDINANCES If no petition meeting the requirements of the Act and other applicable laws is filed during the 30-day petition period, then the Corporate Authorities may adopt additional ordinances or proceedings supplementing or amending this Ordinance providing for entering into the Loan Agreement with the Illinois Environmental Protection Agency, prescribing all the details of the Loan Agreement, and providing for the collection, segregation and distribution of the Pledged Revenues, so long as the maximum amount of the Loan Agreement as set forth in this Ordinance is not exceeded and there is no material change in the Project or purposes described herein. Any additional ordinances or proceedings shall in all instances become effective in accordance with the Act or other applicable law. This Ordinance, together with such Ordinance No.2024-54 Page 4 additional ordinances or proceedings, shall constitute complete authority for entering into the Loan Agreement under applicable law. However, notwithstanding the above, the City may not adopt additional ordinances or amendments which provide for any substantive or material change in the scope and intent of this Ordinance, including but not limited to interest rate, preference, or priority of any other ordinance with this Ordinance, parity of any other ordinance with this Ordinance, or otherwise alter or impair the obligation of the City to pay the principal and interest due to the Public Water Supply Loan Program without the written consent of the Illinois Environmental Protection Agency. SECTION 5. LOAN NOT INDEBTEDNESS OF THE CITY Repayment of the loan to the Illinois Environmental Protection Agency by the City pursuant to this Ordinance is to be solely from the revenue derived from the Pledged Revenues, and the loan does not constitute an indebtedness of the City within the meaning of any constitutional or statutory limitation. SECTION 6. APPLICATION FOR LOAN The City Administrator is hereby authorized to make application to the Illinois Environmental Protection Agency for a loan through the Public Water Supply Loan Program, in accordance with the loan requirements set out in 35 Ill. Adm. Code 662. SECTION 7. ACCEPTANCE OF LOAN AGREEMENT The Corporate Authorities hereby authorize acceptance of the offer of a loan through the Public Water Supply Loan Program, including all terms and conditions of the Loan Agreement as well as all special conditions contained therein and made a part thereof by reference. The Corporate Authorities further agree that the loan funds awarded shall be used solely for the Ordinance No. 2024-54 Page 5 purposes of the Project as approved by the Illinois Environmental Protection Agency in accordance with the terms and conditions of the Loan Agreement. SECTION 8. OUTSTANDING BONDS The City has outstanding bonds, payable from revenues of the system, that are senior to the loan authorized by this Ordinance, and the City establishes an account, coverage and reserves equivalent to the account(s), coverage(s) and reserve(s) as the senior lien holders in accordance with 35 Ill. Adm. Code 662.350(a)(9)(C)(PWS). SECTION 9. AUTHORIZATION OF MAYOR TO EXECUTE LOAN AGREEMENT The Mayor is hereby authorized and directed to execute the Loan Agreement with the Illinois Environmental Protection Agency. The Corporate Authorities may authorize by resolution a person other than the Mayor for the sole purpose of authorizing or executing any documents associated with payment requests or reimbursements from the Illinois Environmental Protection Agency in connection with this loan. SECTION 10. SEVERABILITY If any section, paragraph, clause or provision of this Ordinance is held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of this Ordinance. SECTION 11. REPEALER All ordinances, resolutions or orders, or parts thereof, which conflict with the provisions of this Ordinance are, to the extent of such conflict, hereby repealed. THE REST OF THIS PAGE IS INTENTIONALLY LEFT BLANK Ordinance No.2024-54 Page 6 PASSED by the Corporate Authorities on November 12, 2024. Approved November 15, 2024. MAYOR United City of Yorkville Kendall, County, Illinois KEN KOCH AYE DAN TRANSIER AYE ARDEN JOE PLOCHER AYE CRAIG SOLING AYE CHRIS FUNKHOUSER AYE MATT MAREK AYE SEAVER TARULIS AYE RUSTY CORNEILS AYE PUBLISHED in The Beacon on November 17, 202 4. RECORDED in the City's Records on November 15, 202 4. ATTEST: V `0/L 6 Cl Clerk ited City of Yorkville Kendall County, Illinois Ordinance No. 2024-54 Page 7 Exhibit A NOTICE OF INTENT TO BORROW FUNDS AND RIGHT TO FILE PETITION NOTICE IS HEREBY GIVEN that, pursuant to Ordinance Number 2024-54, adopted on November 12, 2024, the United City of Yorkville,Kendall County, Illinois (the"ENTITY"), intends to enter into a Loan Agreement with the Illinois Environmental Protection Agency in an aggregate principal amount not to exceed $15,665,000 and bearing annual interest at an amount not to exceed the maximum rate authorized by law at the time of execution of the Loan Agreement, for the purpose of paying the cost of certain improvement to the public water supply system of the City. A complete copy of the Ordinance accompanies this notice. NOTICE IS HEREBY FURTHER GIVEN that if a petition signed by 1,667 or more electors of the City (being equal to 10% of the registered voters in the City), requesting that the question of improving the public water supply system and entering into the Loan Agreement is submitted to the City Clerk within 30 days after the publication of this Notice, the question of improving the public water supply system of the City as provided in the Ordinance and Loan Agreement shall be submitted to the electors of the City at the next election to be held under general election law on April 1, 2025. A petition form is available fro the office of the City Clerk. it Clerk ed City of Yorkville Kendall County, Illinois CERTIFICATION I, Jori Behland, do hereby certify that I am the duly elected, qualified and acting Clerk of the United City of Yorkville. I do further certify that the above and foregoing, identified as Ordinance Number 2024-54, is a true, complete and correct copy of an ordinance otherwise identified as AN ORDINANCE AUTHORIZING THE UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS TO BORROW FUNDS FROM THE PUBLIC WATER SUPPLY LOAN PROGRAM, passed by the City Council of the United City of Yorkville on the 12r" day of November, 202 4 , and approved by the Mayor of the United City of Yorkville on the same said date, the original of which is part of the books and records within my control as Clerk of the United City of Yorkville. eP'yt`O&C Dated this I day of P . 2024. NO REFERENDUM CERTIFICATE I, the undersigned, do hereby certify that I am the duly qualified, and acting City Clerk of the United City of Yorkville, Kendall County, Illinois (the "ENTITY"), and as such officer I am the keeper of the books, records, files and journal of proceedings of the City and of the MAYOR and CITY COUNCIL of the City. I do further certify that Ordinance Number 2024-54, being the Ordinance entitled: AN ORDINANCE AUTHORIZING THE UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS TO BORROW FUNDS FROM THE PUBLIC WATER SUPPLY LOAN PROGRAM (the -Ordinance") was presented to and passed by the MAYOR and CITY COUNCIL of the City at its legally convened meeting held on the 12"' day of November, 2024 and signed by the MAYOR of the City on said day. I do further certify that the Ordinance was duly and properly published in The Beacon, a newspaper published and of general circulation within the City, on the 17t" day of November,2024, being a date within ten days from the date of passage of the Ordinance. I do further certify that publication of the Ordinance was accompanied by a separate publication of notice of(1) the specific number of voters required to sign the petition requesting the question of constructing improvements to the public water supply system as provided in the Ordinance; (2) the time in which such petition must have been filed; and (3) the date of the prospective referendum. I do further certify that I did make available and provide to any individual so requesting a petition form, which petition form provided for submission to the electors of the City of the question as set forth therein. Such petition forms were available from me continuously from November 17,2024, up to and including December 16, 2024. I do further certify that no Petition has been filed in my office within 30 days after publication of the ordinance or as of the time of the signing hereof as provided by statute asking that the question of improving the public water supply system as provided in the Ordinance and the Loan Agreement therefore be submitted to the electors of the City. IN WITNESS WHEREOF I have hereunto affixed my official signature and the corporate seal of the United City of Yorkville, Kendall County, Illinois, this 17th day of December 2024. City erk ni d City of Yorkville Kendall County,Illinois (SEAL)