O-81-99 10/25/1999VILLAGE OF LEMONT
ORDINANCE NO. 2- 9/
AN ORDINANCE AUTHORIZING THE ISSUANCE OF $142,435
GENERAL OBLIGATION REFUNDING BONDS, SERIES 1999
OF THE VILLAGE OF LEMONT, ILLINOIS
ADOPTED BY THE
PRESIDENT AND BOARD OF TRUSTEES
OF THE VILLAGE OF LEMONT
This 25th day of October , 1999.
Published in pamphlet form by
authority of the President and
Board of Trustees of the Village of
Lemont, Counties of Cook, Will, and
DuPage, Illinois this 25th
day of October , 1999
ORDINANCE NO.0 /- 6/7
ORDINANCE AUTHORIZING THE ISSUANCE OF $142,435 GENERAL
OBLIGATION REFUNDING BONDS, SERIES 1999, OF
THE VILLAGE OF LEMONT, ILLINOIS
BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE
VILLAGE OF LEMONT, ILLINOIS AS FOLLOWS:
Section 1. Authority and Purpose. This ordinance is adopted pursuant to Section
8 -5 -16 of the Illinois Municipal Code, 65 Illinois Compiled Statutes 5/8 -5 -16, for the purpose
of refunding the principal of and interest on the General Obligation Refunding Bonds
(Alternate Revenue Source) Series 1994 (The "Series 1994 Bonds "), of the Village of
Lemont, Illinois, due and payable on December 1, 1999 (the "Prior Debt "). The amount of
the Prior Debt is $142,435 consisting of maturing principal in the amount of $120,000 and
interest on all of the series 1994 Bonds in the amount of $22,435. The Series 1994 Bonds
were issued on November 9, 1994, prior to the date on which the Village became subject
to the provisions of the Property Tax Extension Limitation law.
Section 2. Authorization and Terms of Bonds. The sum of $142,435 is
appropriated to meet part of the estimated cost of refunding the Prior Debt and the costs
of issuance of the bonds herein authorized. Pursuant to Section 8 -5 -16 of the Illinois
Municipal Code and the Local Government Debt Reform Act, 30 Illinois Compiled Statutes
350, and for the purpose of financing said appropriation, general obligation bonds of the
Village are authorized to be issued and sold in an aggregate principal amount of $142,435.
Said bonds shall be designated "General Obligation Refunding Bonds, Series 1999."
Bonds shall be issuable in the denominations of $5,000 or any integral multiple
thereof and may bear such identifying numbers or letters as shall be useful to facilitate the
registration, transfer and exchange of bonds. Unless otherwise determined in the order
to authenticate the bonds, each bond delivered upon the original issuance of the bonds
shall be dated as of December 1, 1999. Each bond thereafter issued upon any transfer,
exchange or replacement of bonds shall be dated so that no gain or Toss of interest shall
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result from such transfer, exchange or replacement.
The bonds shall mature (without option of prior redemption) on December 1, 2000.
Each bond shall bear interest from its date, at the rate of five percent per annum computed
on the basis of a 360 day year consisting of twelve 30 day months and payable at maturity.
The principal of and interest on the bonds shall be payable in lawful money of the
United States of America upon presentation and surrender at the office of the Village of
Lemont, 418 Main Street, Lemont, Illinois.
Section 3. Sale and Delivery. The bonds are sold to Village of Lemont Working
Cash Fund as purchaser, at a price of $142,435 and accrued interest from their date to the
date of delivery and payment therefor.
The Village President, Village Clerk and other officials of the Village are authorized
and directed to do and perform, or cause to be done or performed for or on behalf of the
Village each and every thing necessary for the issuance of the bonds, including the proper
execution and delivery of the bonds.
Section 4. Execution and Authentication. Each bond shall be executed in the
name of the Village by the manual or authorized facsimile signature of its Village President
and the corporate seal of the Village, or a facsimile thereof, shall be thereunto affixed or
otherwise reproduced thereon and attested by the manual or authorized facsimile signature
of its Village Clerk.
In case any officer whose signature, or a facsimile of whose signature, shall appear
on any bond shall cease to hold such office before the issuance of the bond, such bond
shall nevertheless be valid and sufficient for all purposes, the same as if the person whose
signature, or a facsimile thereof, appears on such bond had not ceased to hold such office.
Any bond may be signed, sealed or attested on behalf of the Village by any person who,
on the date of such act, shall hold the proper office, notwithstanding that at the date of
such bond such person may not have held such office. No recourse shall be had for the
payment of any bonds against any officer who executes the bonds.
Each bond shall bear thereon a certificate of authentication executed manually by
the bond registrar. No bond shall be entitled to any right or benefit under this ordinance
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or shall be valid or obligatory of any purpose until such certificate of authentication shall
have been duly executed by the bond registrar.
Section 5. Transfer, Exchange and Registry. The bonds shall be negotiable,
subject to the provisions for registration of transfer contained herein. Each bond shall be
transferable only upon the registration books maintained by the Village for that purpose at
the office of the bond registrar, by the registered owner thereof in person or by his attorney
duly authorized in writing, upon surrender thereof together with a written instrument of
transfer satisfactory to the bond registrar and duly executed by the registered owner or his
duly authorized attorney. Upon the surrender for transfer of any such bond, the Village
shall execute and the bond registrar shall authenticate and deliver a new bond or bonds
registered in the name of the transferee, of the same aggregate principal amount, maturity
and interest rate as the surrendered bond. Bonds, upon surrender thereof at the office of
the bond registrar, with a written instrument satisfactory to the bond registrar, duly
executed by the registered owner or his attorney duly authorized in writing, may be
exchanged for an equal aggregate principal amount of bonds of the same maturity and
interest rate and of the denominations of $5,000 or any integral multiple thereof.
For every such exchange or registration of transfer of bonds, the Village or the bond
registrar may make a charge sufficient for the reimbursement of any tax, fee or other
governmental charge required to be paid with respect to such exchange or transfer, which
sum or sums shall be paid by the person requesting such exchange or transfer as a
condition precedent to the exercise of the privilege of making such exchange or transfer.
No other charge shall be made for the privilege of making such transfer or exchange. The
provisions of the Illinois Bond Replacement Act shall govern the replacement of lost,
destroyed or defaced bonds.
The Village may deem and treat the person in whose name any bond shall be
registered upon the registration books as the absolute owner of such bond, whether such
bond shall be overdue or not, for the purpose of receiving payment of, or on account of,
the principal or interest thereon and for all other purposes whatsoever, and all such
payments so made to any such registered owner or upon his order shall be valid and
effectual to satisfy and discharge the liability upon such bond to the extent of the sum or
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sums so paid, and neither the Village nor the bond registrar shall be affected by any notice
to the contrary.
Section 6. General Obligations. The full faith and credit of the Village are hereby
irrevocably pledged to the punctual payment of the principal of and interest on the bonds.
The bonds shall be direct and general obligations of the Village, and the Village shall be
obligated to levy ad valorem taxes upon all the taxable property in the Village for the
payment of the bonds and the interest thereon, without limitation as to rate or amount.
Section 7. Form of Bonds. The bonds shall be issued as fully registered bonds
and shall be in substantially the following form, the blanks to be appropriately completed
when the bonds are printed:
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No.
United States of America
State of Illinois
Counties of Cook, DuPage and Will
VILLAGE OF LEMONT
GENERAL OBLIGATION REFUNDING BOND,
SERIES 1999
INTEREST RATE MATURITY DATE DATED DATE
4.78% December 1, 2000 December 1, 1999
REGISTERED OWNER: Village of Lemont Working Cash Fund
PRINCIPAL AMOUNT: $142,435
The VILLAGE OF LEMONT, a municipal corporation of the State of Illinois,
acknowledges itself indebted and for value received hereby promises to pay to the
registered owner of this bond, or registered assigns, the principal amount specified above
on the maturity date specified above, and to pay interest on such principal amount from the
date hereof at the interest rate per annum specified above, computed on the basis of a 360
day year consisting of twelve 30 day months and payable at maturity. This bond, as to
principal and interest when due, will be payable in lawful money of the United States of
America upon presentation and surrender of this bond at the office of the Village of
Lemont, 418 Main Street, Lemont, Illinois, as bond registrar, or its successor (the "Bond
Registrar"). The full faith and credit of the Village are irrevocably pledged for the punctual
payment of the principal of and interest on this bond according to its terms.
This bond is one of a series of bonds issued in the aggregate principal amount of
$142,435, which are authorized and issued under and pursuant to Section 8 -5 -16 of the
Illinois Municipal Code and the Local Government Debt Reform Act and under and in
accordance with an ordinance adopted by the President and Board of Trustees of the
Village on October 25th , 1999 and entitled: "Ordinance Authorizing the Issuance of
$142,435 General Obligation Refunding Bonds, Series 1999, of the Village of Lemont,
Illinois."
This bond is transferable only upon such registration books by the registered owner
hereof in person, or by his attorney duly authorized in writing, upon surrender hereof at the
office of the Bond Registrar together with a written instrument of transfer satisfactory to the
Bond Registrar duly executed by the registered owner or by his duly authorized attorney,
and thereupon a new registered bond or bonds, in the authorized denominations of $5,000
or any integral multiple thereof and of the same aggregate principal amount, maturity and
interest rate as this bond shall be issued to the transferee in exchange therefor. In like
manner, this bond may be exchanged for an equal aggregate principal amount of bonds
of the same maturity and interest rate and of any of such authorized denominations. The
Village may make a charge sufficient for the reimbursement of any tax, fee or other
governmental charge required to be paid with respect to the transfer or exchange of this
bond. No other charge shall be made for the privilege of making such transfer or
exchange. The Village may treat and consider the person in whose name this bond is
registered as the absolute owner hereof for the purpose of receiving payment of, or on
account of, the principal and interest due hereon and for all other purposes whatsoever.
This bond shall not be valid or become obligatory for any purpose until the certificate
of authentication hereon shall have been duly executed.
It is hereby certified, recited and declared that all acts, conditions and things
required to be done, exist and be performed precedent to and in the issuance of this bond
in order to make it a legal, valid and binding obligation of the Village have been done, exist
and have been performed in regular and due time, form and manner as required by law,
and that the series of bonds of which this bond is one, together with all other indebtedness
of the Village, is within every debt or other limit prescribed by law.
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IN WITNESS WHEREOF, the Village of Lemont has caused this bond to be executed in
its name and on its behalf by the manual or facsimile signature of its Village President, and
its corporate seal, or a facsimile thereof, to be hereunto affixed or otherwise reproduced
hereon and attested by the manual or facsimile signature of its Village Clerk.
Dated: October 25th , 1999
CERTIFICATE OF AUTHENTICATION
This bond is one of the General
Obligation Refunding Bonds, Series
1999, described in the within -
mentioned Ordinance
Village of Lemont
As Bond Registrar
By:
Authorized Signer
VIL
GE OF LEMONT
)
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e President
Attest:
illage Clerk
ASSIGNMENT
For value received the undersigned sells, assigns and transfers unto
the within bond and hereby irrevocably constitutes and appoints
as attorney to transfer the said bond on the books kept for registration thereof, with full
power of substitution in the premises.
Dated:
Signature Guarantee:
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Section 8. Levy and Extension of Taxes. For the purpose of providing the money
required to pay the interest on the bonds when and as the same falls due and to pay and
discharge the principal thereof as the same shall mature, there is hereby levied upon all
the taxable property in the Village, in the 1999 tax levy year, a direct annual tax sufficient
to produce for that purpose, in addition to all other taxes, the sum of $149,244.
Interest or principal coming due any time when there shall be insufficient funds on
hand to pay the same shall be paid promptly when due from current funds on hand in
advance of the collection of the taxes herein levied; and when said taxes shall have been
collected, reimbursement shall be made to the said funds in the amounts thus advance.
As soon as this ordinance becomes effective, a copy thereof certified by the Village
Clerk, which certificate shall recite that this ordinance has been duly adopted, shall be filed
with the County Clerk of Cook County, Illinois, the County Clerk of DuPage County, Illinois
and the County Clerk of Will County, Illinois, who are each hereby directed to ascertain the
rate per cent required to produce the aggregate tax hereinbefore provided to be levied in
the year 1999, and to extend the same for collection on the tax books in connection with
other taxes levied in said year, in and by the Village for general corporate purposes of the
Village, and in said year such annual tax shall be levied and collected in like manner as
taxes for general corporate purposes for said year are levied and collected and, when
collected, such taxes shall be used for the purpose of paying the principal of and interest
on the bonds herein authorized as the same become due and payable.
Section 9. Debt Service Fund. Moneys derived from taxes herein levied are
appropriated and set aside for the purpose of paying principal of and interest on the bonds
when and as the same come due. All of such moneys, and all other moneys to be used
for the payment of the principal of and interest on the bonds, shall be deposited
in the "1999 Debt Service Fund ", which is hereby established as a special fund of the
Village and shall be administered as a bona fide debt service fund under the Internal
Revenue Code of 1986. All accrued interest received upon the issuance of the bonds shall
be deposited in the 1999 Debt Service Fund.
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Section 10. Bond Proceeds Fund. All of the proceeds of sale of the bonds
(exclusive of accrued interest) shall be deposited in the "1999 Bond Proceeds Fund ", which
is hereby established as a special fund of the Villge. Moneys in the 1999 Bond Proceeds
Fund shall be used for the purposed specified in Section 1 of this ordinance and for the
payment of costs of issuance of the bonds, but may hereafter be reappropriated and used
for other purposes if such reappropriation is permitted under Illinois law and will not
adversely affect the exclusion from gross income for federal income tax purposes of
interest on the bonds.
Section 11. Investment Regulations. No investment shall be made of any moneys
in the 1999 Debt Service Fund or the 1999 Bond Proceeds Fund except in accordance with
the tax covenants set forth in Section 12 of this ordinance. All income derived from such
investments in respect of moneys or securities in any Fund shall be credited in each case
to the Fund in which such moneys or securities are held.
Any moneys in any Fund that are subject to investment yield restrictions may be
invested in United States Treasury Securities, State and Local Government Series,
pursuant to the regulations of the United States Treasury Department, Bureau of Public
Debt, or in any tax - exempt bond that is not an "investment property" within the meaning
of Section 148(b)(2) of the Internal Revenue Code of 1986. The Village Treasurer and
agents designated by him are hereby authorized to submit, on behalf of the Village,
subscriptions for such United States Treasury Securities and to request redemption of such
United States Treasury Securities.
Section 12. Tax Covenants. The Village shall not take, or omit to take, any action
lawful and within its power to take, which action or omission would cause interest on any
bond to become subject to federal income taxes in addition to federal income taxes to
which interest on such bond is subject on the date of original issuance thereof.
The Village shall not permit any of the proceeds of the bonds, or any facilities
financed with such proceeds, to be used in any manner that would cause any bond to
constitute a "private activity bond" within the meaning of Section 141 of the Internal
Revenue Code of 1986.
The Village shall not permit any of the proceeds of the bonds or other moneys to be
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invested in any manner that would cause any bond to constitute an "arbitrage bond' within
the meaning of Section 148 of the Internal Revenue Code of 1986 or a "hedge bond" within
the meaning of Section 149(g) of the Internal Revenue Code of 1986.
The Village shall comply with the provisions of Section 148(f) of the Internal
Revenue Code of 1986 relating to the rebate of certain investment earnings at periodic
intervals to the United States of America.
Section 13. Bond Registrar. The Village covenants that it shall at all times retain
a bond registrar with respect to the bonds, that it will maintain at the designated office of
such bond registrar a place where bonds may be presented for payment and registration
of transfer or exchange and that it shall require that the bond registrar maintain proper
registration books and perform the other duties and obligations imposed upon the bond
registrar by this ordinance in a manner consistent with the standards, customs and
practices of the municipal securities business.
The bond registrar shall signify its acceptance of the duties and obligations imposed
upon it by this ordinance by executing the certificate of authentication on any bond,and by
such execution the bond registrar shall be deemed to have accepted such duties and
obligations not only with respect to the bond so authenticated but with respect to all the
bonds. The bond registrar is the agent of the Village and shall not be liable in connection
with the performance of its duties except for its own negligence or default. The bond
registrar shall, however, be responsible for any representation in the certificate of
authentication on the bonds.
Section 14. Defeasance and Payment of Bonds.
(A) If the Village shall pay or cause to be paid to the registered owners of the bonds,
the principal and interest due or to become due thereon, at the times and in the manner
stipulated therein and in this ordinance, then the pledge of taxes, securities and funds
hereby pledged and the covenants, agreements and other obligations of the Village to the
registered owners and the beneficial owners of the bonds shall be discharged and
satisfied.
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(B) Any bonds, whether at or prior to the maturity of such bonds, shall be deemed
to have been paid within the meaning of this Section if there shall have been deposited in
trust with a bank, trust company or national banking association acting as fiduciary for
such purpose either (i) moneys in an amount which shall be sufficient, or (ii) "Federal
Obligations" as defined in paragraph (C) of this Section, the principal of and the interest
on which when due will provide moneys which, together with any moneys on deposit with
such fiduciary at the same time for such purpose, shall be sufficient, to pay when due the
principal of and interest due and to become due on said bonds on and prior to the maturity
date thereof.
(C) As used in this Section, the term "Federal Obligations" means (i) non -
callable,direct obligations of the United States of America, (ii) non - callable and non -
prepayable, direct obligations of any agency of the United States of America, which are
unconditionally guaranteed by the United States of America as to full and timely payment
of principal and interest, (iii) non - callable, non - prepayable coupons or interest installments
from the securities described in clause (i) or clause (ii) of this paragraph, which are stripped
pursuant to programs of the Department of the Treasury of the United States of America,
or (iv) coupons or interest installments stripped from bonds of the Resolution Funding
Corporation.
Section 15. Ordinance to Constitute a Contract. The provisions of this ordinance
shall constitute a contract between the Village and the registered owners of the bonds.
Any pledge made in this ordinance and the provisions, covenants and agreements herein
set forth to be performed by or on behalf of the Village shall be for the equal benefit,
protection and security of the owners of any and all of the bonds. All of the bonds,
regardless of the time or times of their issuance, shall be of equal rank without preference,
priority or distinction of any of the bonds over any other thereof except as expressly
provided in or pursuant to this ordinance. This ordinance shall constitute full authority for
the issuance of the bonds and to the extent that the provisions o this ordinance conflict with
the provisions of any other ordinance or resolution of the Village, the provisions of this
ordinance shall control. If any section, paragraph or provision of this ordinance shall be
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held to be invalid or unenforceable for any reason, the invalidity or unenforceability of such
section, paragraph or provision shall not affect any of the remaining provisions of this
ordinance.
Section 16. Publication. The Village Clerk is hereby authorized and directed to
publish this ordinance in pamphlet form and to file copies thereof for public inspection in
her office.
Section 17. Effective Date. This ordinance shall become effective upon its
passage, approval and publication in pamphlet form in the manner provided by law.
Adopted this 25th day of October , 19 99 by roll call vote as follows:
Ayes:
Nays:
Published in pamphlet form: /o - R5-1,
(SEAL)
Attest:
Village Clerk
proved to for
Village Attorney
/ Date:
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CERTIFICATE
I, Charlene Smollen, Village Clerk of the Village of Lemont, Illinois, hereby certify
that the foregoing ordinance entitled:
"Ordinance Authorizing the issuance of $142,435 General Obligation
Refunding Bonds, Series 1998, of the Village of Lemont, Illinois."
is a true copy of an original ordinance that was duly adopted by the recorded affirmative
votes of a majority of the members of the President and Board of Trustees of the Village
at a meeting thereof that was duly called and held at 7:30 p.m. on November 8 , 1999
and thereafter published in pamphlet form on November 8 1999 and recorded in the
Ordinance Book of the Village and that it is a correct transcript thereof and of the whole
of said ordinance, and that said ordinance has not been altered, amended, repealed or
revoked, but is in full force and effect.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the
Village this 25th day of October , 1999.
(SEAL)
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Village Clerk