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O-10-15 Ordinance Authorizing the Issuance of up to $5,900,000 Waterworks/Sewerage bonds
ORDINANCE NO.a AN ORDINANCE AUTHORIZING THE ISSUANCE OF UP TO $5,900,000 WATERWORKS AND SEWERAGE REVENUE BONDS AND ALTERNATE REVENUE SOURCE BONDS (IN LIEU OF SUCH REVENUE BONDS) OF THE VILLAGE OF LEMONT, DuPAGE, WILL AND COOK COUNTIES, ILLINOIS, TO FINANCE WATERWORKS AND SEWERAGE SYSTEM FACILITY IMPROVEMENTS PREAMBLES WHEREAS, the Village of Lemont, DuPage, Will and Cook Counties, Illinois (the "Municipality"), operates its municipally-owned combined Waterworks and Sewerage system (the "System") in accordance with the provisions of Division 139 of Article 11 of the Illinois Municipal Code [Section 5/11-139-1 et seq. of Chapter 65 of the Illinois Compiled Statutes, as supplemented and amended, including by the Local Government Debt Reform Act (collectively, the "Act")] and is entitled to receive receipts of Retailer's Occupation Taxes, Service Occupation Taxes, Use Taxes and Service Use Taxes (collectively "Sales Taxes") distributed pursuant to applicable law, and any tax to provide special services to the area served by the System hereafter adopted, levied or imposed pursuant to the Special Services Area Tax Law(the "SSA Taxes"); and WHEREAS, the Municipality's President and Board of Trustees (the "Corporate Authorities") has determined that it is advisable, necessary and in the best interests of the Municipality's public health, safety and welfare to finance the acquisition, construction and installation of various improvements, extensions and facilities of the System, and related facilities, improvements and costs (together with, as applicable, land acquisition and rights in real estate, mechanical, electrical and other related facilities, improvements and costs, collectively,the"Project"), with a supplemental amount added for issuance costs; and WHEREAS, in connection with the estimated costs of the Project, up to $5,900,000 in aggregate principal amount is to be paid from proceeds of the hereinafter described Alternate Bonds (and any balance from funds on hand or grant proceeds, as the case may be), being general obligation in lieu of revenue bonds as authorized by Section 15 of the Local Government Debt Reform Act, but nevertheless expected to be paid from one or more of the revenues of the System and Sales Taxes as the alternate revenue sources rather than by any levy of general taxes, and the balance from other available funds, with respect to which authorization is necessary to issue the same aggregate principal amount of waterworks and sewerage revenue bonds (howsoever styled, the "Revenue Bonds") and to issue up to the same principal amount of general obligation alternate bonds (one or more of System revenues, Sales Taxes and SSA Taxes as the alternate revenue source(s)) (howsoever styled, the "Alternate Bonds"), provided, however, that only one set of such obligations be issued: either Revenue Bonds or Alternate Bonds in lieu of such Revenue Bonds; and WHEREAS, such costs are expected to be paid from, as the case may be, funds on hand, grant proceeds, if any, and proceeds of the Alternate Bonds, to be payable from one or more of the revenues of the System and/or Sale Taxes and/or SSA Taxes and issued pursuant to the Act, this ordinance and one or more ordinances supplemental to this ordinance authorizing and providing for the issuance of Alternate Bonds in lieu of the Revenue Bonds, prescribing the details of such obligations and providing for the collection, segregation, distribution and application of one or more of the revenues of the System and/or Sales Taxes and/or SSA Taxes to pay the Alternate Bonds or Revenue Bonds, as the case may be, in either case to be in lieu of any levy of general taxes; and WHEREAS, the Municipality has insufficient funds to pay the costs of the Project and, therefore, must borrow money and issue Revenue Bonds, to be included in an issue of Alternate Bonds, if authorized to be issued in lieu of the Revenue Bonds, in evidence thereof, at one time or from time to time and in one or more series, in an approximate principal amount aggregating not to exceed $5,900,000 for such purposes (Alternate Bonds and Revenue Bonds separate not to exceed $5,900,000 in the aggregate), pursuant to and in accordance with the provisions of the Act. NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF LEMONT, DuPAGE, WILL AND COOK COUNTIES,ILLINOIS,as follows: Section 1. Incorporation of Preambles and Determination to Issue Bonds. The Corporate Authorities hereby find that all of the recitals contained in the preambles to this ordinance are true, complete and correct and hereby incorporate them into this Section 1 of this ordinance by this reference thereto. It is necessary and in the best interests of the Municipality to acquire, construct and install the Project for the public health, safety and welfare, including in accordance with the plans and specifications,as described above, and that the System continue to be owned and operated as a combined municipal waterworks and sewerage System in accordance with the provisions of the Act, and that for such purposes there are hereby authorized to be issued and sold not to exceed $5,900,000 in aggregate principal amount of Revenue Bonds, or the same amount of Alternate Bonds in lieu of the Revenue Bonds (Alternate Bonds and Revenue Bonds separate not to exceed $5,900,000 in the aggregate). Section 2. Publication and Notice. Within ten (10) days after the adoption of this ordinance by the Corporate Authorities, this ordinance, preceded by the notices hereinafter described, shall be published in a qualifying newspaper (as described in the Notice by Publication Act, 715 ILCS 5/0.01 et seq.)published (if any), and of general circulation within the Municipality, and (a) concerning the Alternate Bonds -- if no petition, signed by not less than registered voters of the Municipality numbering the greater of(i) 7.5% of the registered voters in the Municipality or (ii) 200 of those registered voters or 15% of those registered voters, whichever is less, is filed with the Village Clerk of the Municipality within thirty (30) days after the date of the publication of this ordinance, preceded by the Alternate Bond notice hereinafter described, asking that the question of the issuance of the Alternate Bonds to pay costs of the Project, and related expenses, be submitted to the electors of the Municipality, and/or (b) concerning the Revenue Bonds -- if no petition signed by not less than the number of electors equal to 10% of the number of registered voters in the Municipality is filed with the Village Clerk of the Municipality within thirty (30) days after the date of the publication of this ordinance, preceded by the Revenue Bond notice hereinafter described, asking that the question of the issuance of the Revenue Bonds to pay costs of the Project, and related expenses, be submitted to the electors of the Municipality: then this ordinance shall be in full force and effect, and the Revenue Bonds, or the Alternate Bonds in lieu of such Revenue Bonds, as the case may be, shall be authorized to be issued by this ordinance and related proceedings supplemental to this ordinance. If an applicable petition is filed, an election on the question shall be held as set forth in the forms of the notices required by Sections 5 and 15 of the Local Government Debt Reform Act, and this ordinance shall not become effective as to the Revenue Bonds and/or the Alternate Bonds, as the case may be, until the applicable question or questions shall have been duly approved by a majority of the votes cast on the applicable question or questions at the election to be held as set forth in the applicable notice or notices. The Village Clerk shall have available and provide an applicable form of the applicable petition to any person requesting one. The Village Clerk shall give notice of the foregoing provisions as set forth in substantially the forms of such notices as are presented at the meeting of the Corporate Authorities at which this ordinance is adopted, modified as may be necessary for completeness and to comply with the Act. Section 3. Additional Ordinances. If no petition meeting the requirements of applicable law is filed as provided above in Section 2, then the Corporate Authorities in accordance with and pursuant to the Act may adopt additional ordinances or other proceedings supplemental to or amending this ordinance, providing for the issuance and sale of up to but in any event not to exceed $5,900,000 in aggregate principal amount of the Revenue Bonds, or the same aggregate principal amount of Alternate Bonds in lieu of such Revenue Bonds, prescribing the details of such Alternate Bonds or Revenue Bonds, providing for the collection, segregation, distribution and application of one or more of revenues of the System and/or Sales Taxes and/or SSA Taxes for the payment thereof, and, in the case of the Alternate Bonds providing for a levy of taxes as further security and source of payment, although expected to be paid from one or more of System revenues and/or Sales Taxes and/or SSA Taxes and not any levy of taxes. Such additional or supplemental ordinances or other proceedings shall in all instances become effective in accordance with applicable law; and this ordinance, together with such supplemental and additional ordinances or other proceedings, shall constitute complete authority for the issuance of the Alternate Bonds and/or the Revenue Bonds under applicable law (but in any event not to exceed $5,900,000 in aggregate principal amount separate). Alternate Bonds are expected to be issued in lieu of Revenue Bonds. Section 4. Reimbursement. This ordinance shall also constitute reimbursement action under Section 1.150-2 of the federal Income Tax Regulations in the event the Municipality advances its own funds for Project costs. Section 5. Severability and Repealer. 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. 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. Upon motion by Trustee 43 kt 4ze r , seconded by Trustee Sh l•elOWSkt , adopted (and recorded in the Municipality's records) on May 11, 2015,by roll call vote, as follows: AYES names ( ) cozN\ \cc\oc,, 0/04 k5 ver04 SktrgeN- NAYS (names): ABSENT(names): /ry(1.41.1Ali Approved: May 11, 2015 Attest: _ �'/ village Clerk, Village of Lemont .ge 'r-sident, , • .:e of Lemont DuPage, Will and Cook Counties, Illinois DuPage, Will and Cook Coun les STATE OF ILLINOIS ) THE COUNTIES OF DuPAGE, WILL AND COOK ) SS VILLAGE OF LEMONT ) CERTIFICATION OF ORDINANCE I, the undersigned, do hereby certify that I am the duly selected, qualified and acting Village Clerk of the Village of Lemont, DuPage, Will and Cook Counties, Illinois (the "Municipality"), and as such official I am the keeper of the records and files of the Municipality and of its President and Board of Trustees(the"Corporate Authorities"). I do further certify that the attached constitutes a full, true and complete excerpt from the proceedings of the regular meeting of the Corporate Authorities held on the 11th day of May, 2015, insofar as same relates to the adoption of Ordinance No. 040•45 entitled: AN ORDINANCE AUTHORIZING THE ISSUANCE OF UP TO $5,900,000 WATERWORKS AND SEWERAGE REVENUE BONDS AND ALTERNATE REVENUE SOURCE BONDS (IN LIEU OF SUCH REVENUE BONDS) OF THE VILLAGE OF LEMONT, DUPAGE, WILL AND COOK COUNTIES, ILLINOIS, TO FINANCE WATERWORKS AND SEWERAGE SYSTEM FACILITY IMPROVEMENTS, a true, correct and complete copy of which ordinance (the "ordinance") as adopted at such meeting appears in the transcript of the minutes of such meeting and is hereto attached. I do further certify that the deliberations of the Corporate Authorities on the adoption of such ordinance were taken openly, that the adoption of such ordinance was duly moved and seconded, that the vote on the adoption of such ordinance was taken openly and was preceded by a public recital of the nature of the matter being considered and such other information as would inform the public of the nature of the business being conducted, that such meeting was held at a specified time and place convenient to the public, that the agenda for such meeting was duly posted on the Municipality's website and at the office of Village Clerk at least 48 hours before the meeting, that notice of such meeting was duly given to all of the news media requesting such notice,that such meeting was called and held in strict compliance with the provisions of the open meeting laws of the State of Illinois, as amended, and the Illinois Municipal Code, as amended, and that the Corporate Authorities have complied with all of the applicable provisions of such open meeting laws and such Code and their procedural rules in the adoption of such ordinance. [ 1 petition(s) have been received as mentioned in Section 2 of such ordinance, forms thereof being at all relevant times available therefor in the Village Clerk's office. IN WITNESS WHEREOF, I hereunto affix my official signature and the seal of the Village of Lemont, Illinois, this ( day of may , 2015. (SEAL) ;41-10€-6°- — Village Clerk (form of notices) NOTICE OF INTENT TO ISSUE BONDS AND RIGHT TO FILE PETITION [REVENUE BONDS] Notice is hereby given that pursuant to Ordinance No. 0-10-4 5' (the "ordinance"), adopted at a regular meeting of the President and Board of Trustees on May 11, 2015, the Village of Lemont, DuPage, Will and Cook Counties, Illinois (the "Municipality"), intends to issue its waterworks and sewerage revenue bonds (howsoever styled, the "Revenue Bonds"), up to the amount of but in any event not to exceed $5,900,000 in aggregate principal amount, bearing interest at not to exceed the rate limitation provided by applicable law, to finance waterworks and sewerage system improvements, and related facilities, improvements and costs, in an aggregate principal amount not to exceed $5,900,000, all as described in the ordinance. The Revenue Bonds are to be payable solely and only from enterprise revenues derived from the Municipality's combined waterworks and sewerage system, with a potential supplemental pledge of Sales Taxes, as provided in the ordinance, and shall not constitute a debt of the Municipality under applicable law. Authorization for Revenue Bonds is a prerequisite to issuing Alternate Bonds. In addition, notice is hereby given that if a petition signed by not less than 1054 electors of the Municipality (numbering 10% of the registered voters in the Municipality) requesting that the question of the issuance of the Revenue Bonds and of undertaking the above described project be submitted to the Village Clerk within thirty (30) days of the date of publication of this notice and of the above described ordinance, the question of undertaking the above described project and of the issuance of such Revenue Bonds shall be submitted to the electors of the Municipality at the general primary election to be held on March 15, 2016, if such question can be and is presented at such election, and otherwise at the next or prior election at which such question could be presented under the general election laws. A form of petition is available to any person requesting one in the Village Clerk's office. /s/ Charlene M. Smollen Village Clerk, Village of Lemont, DuPage, Will and Cook Counties, Illinois NOTICE OF INTENT TO ISSUE BONDS AND RIGHT TO FILE PETITION [ALTERNATE BONDS] Notice is hereby given that pursuant to Ordinance No. 040-15- (the "ordinance"), adopted at a regular meeting of the President and Board of Trustees on May 11, 2015, the Village of Lemont, DuPage, Will and Cook Counties, Illinois (the "Municipality"), intends to issue its alternate bonds (howsoever styled, the "Alternate Bonds"), being general obligation in lieu of revenue bonds, up to the amount of but in any event not to exceed $5,900,000 in aggregate principal amount, bearing interest at not to exceed the rate limitation provided by applicable law, to finance certain waterworks and sewerage system improvements, and related facilities, improvements and costs, in an aggregate principal amount not to exceed $5,900,000, all as described in the ordinance. Although the Alternate Bonds are to be general obligation bonds, they are to be paid from one or more of revenues of the Municipality's combined waterworks and sewerage system and/or Sales Taxes, as provided in the ordinance, as the alternate revenue source. Alternate Bonds are to be issued, if at all, in lieu of(not in addition to)the Revenue Bonds. In addition, notice is hereby given that if a petition signed by not less than 790 electors of the Municipality (numbering the greater of(i) 7.5% of the registered voters in the Municipality or(ii) 200 of those registered voters or 15%of those registered voters, whichever is less) requesting that the question of the issuance of the Alternate Bonds and of undertaking the above described project be submitted to the Village Clerk within thirty (30) days of the date of publication hereof and of the above described ordinance, such question shall be submitted to the electors of the Municipality at the general primary election to be held on March 15, 2016, if such question can be and is presented at such election, and otherwise at the next or prior election at which such question could be presented under the general election laws. A form of petition is available to any person requesting one in the Village Clerk's office. /s/ Charlene M. Smollen Village Clerk, Village of Lemont, DuPage, Will and Cook Counties, Illinois Note to publisher: The full text of the ordinance is to follow the above notices. Publish in order (and all run together): the Revenue Bonds notice first, the Alternate Bonds notice second, and the ordinance third. Please check with the Village Clerk (Charlene M. Smollen) office (630) 257-1550 as to any blanks in the ordinance. Send your publication statement to Village of Lemont, Village Hall, 418 Main Street, Lemont, Illinois 60439-3708 Attention: Village Treasurer, and send two certificates of publication (with ad text) to Evans, Froehlich, Beth & Chamley, 44 Main E. Street, Suite 310, Champaign, Illinois, 61820. To: Village Clerk,Village of Lemont, Illinois. ALTERNATE BONDS PETITION In accordance with and pursuant to Section 2 of Ordinance No. of the Village of Lemont, DuPage,Will and Cook Counties, Illinois(the"Municipality"), adopted May 11, 2015,and entitled: AN ORDINANCE AUTHORIZING THE ISSUANCE OF UP TO $5,900,000 WATERWORKS AND SEWERAGE REVENUE BONDS AND ALTERNATE REVENUE SOURCE BONDS (IN LIEU OF SUCH REVENUE BONDS) OF THE VILLAGE OF LEMONT, DUPAGE, WILL AND COOK COUNTIES, ILLINOIS, TO FINANCE WATERWORKS AND SEWERAGE SYSTEM FACILITY IMPROVEMENTS, each of the undersigned hereby certifies, as applicable to each, that each is an elector (a registered voter) of the Municipality, and hereby petitions and asks that the question of issuing Alternate Bonds[General Obligation Bonds(with one or more of Waterworks and Sewerage System revenues Sales Taxes as the Alternate Revenue Source(s))] to finance Waterworks and Sewerage facility improvements, extensions, and related facilities, improvements and costs, in an aggregate principal amount not to exceed $5,900,000, all as set forth in the above ordinance, be submitted to the electors of the Municipality at the general primary election to be held on March 15, 2016, if such question can be and is presented at such election, and otherwise at the next or prior election at which such question could be presented under the general election laws. Print Name Address Lemont,IL Signature 1. Lemont,IL 2. Lemont,IL 3. Lemont,IL 4. Lemont,IL 5. Lemont,IL 6. Lemont,IL 7. Lemont,IL 8. Lemont,IL 9. Lemont,IL 10. Lemont,IL Statement: I, INamel,of [Addressl,Lemont,Illinois,hereby state that I am,and have been at all times I have circulated this petition,a United States citizen over 18 years of age,that the above signatures on this sheet were signed in my presence in Lemont,Illinois,and are genuine,and to the best of my knowledge and belief each of the persons so signing were at the time of signing registered voters of the Village of Lemont,Illinois,and their addresses are correctly stated. Signature State of Illinois ) The above Statement was subscribed and sworn to before me this day of ,2015. The Counties of DuPage, Will ) and Cook (SEAL) Notary Public My Commission Expires: Sheet of To: Village Clerk,Village of Lemont, Illinois. REVENUE BONDS PETITION In accordance with and pursuant to Section 2 of Ordinance No. of the Village of Lemont, DuPage, Will and Cook Counties, Illinois(the"Municipality"), adopted May 11,2015,and entitled: AN ORDINANCE AUTHORIZING THE ISSUANCE OF UP TO $5,900,000 WATERWORKS AND SEWERAGE REVENUE BONDS AND ALTERNATE REVENUE SOURCE BONDS (IN LIEU OF SUCH REVENUE BONDS)OF THE VILLAGE OF LEMONT, DUPAGE, WILL AND COOK COUNTIES, ILLINOIS,TO FINANCE WATERWORKS AND SEWERAGE SYSTEM FACILITY IMPROVEMENTS, each of the undersigned hereby certifies as applicable to each, that each is an elector (a registered voter) of the Municipality, and hereby petitions and asks that the question of issuing Revenue Bonds(with Sales Taxes as a possible supplemental pledge source)to finance Waterworks and Sewerage facilities and improvements, extensions, and related facilities, improvements and costs, in an aggregate principal amount not to exceed $5,900,000, all as set forth in the above ordinance, be submitted to the electors of the Municipality at the general primary election to be held March 15, 2016, if such question can be and is presented at such election, and otherwise at the next or prior election at which such questions could be presented under the general election laws. Print Name Address Lemont. IL Signature 1. Lemont, IL 2. Lemont, IL 3. Lemont, IL 4. Lemont, IL 5. Lemont, IL 6. Lemont, IL 7. Lemont, IL 8. Lemont, IL 9. Lemont, IL 10. Lemont, IL Statement: I, fNamej,of fAddressj, , Illinois hereby state that I am, and have been at all times I have circulated this petition, a United State citizen over 18 years of age, that the above signatures on this sheet were signed in my presence in Lemont, Illinois, and are genuine and to the best of my knowledge and belief each of the persons so signing were at the time of signing registered voters of the Village of Lemont, Illinois, and their addresses are correctly stated. Signature State of Illinois ) The above Statement was subscribed and sworn to be before this The Counties of DuPage, Will ) day of 2015. and Cook (SEAL) My Notary Public y Commission Expires: Sheet of BINA Notice Form The President and Board of Trustees of the Village of Lemont, Illinois will hold a ublic p hearing on June 8, 2015 at 7:00 p.m. The hearing will P be g held at the Village Hall at 100 East 9th Avenue, in Lemont, Illinois. The purpose of the hearing will be to receive public comments on the proposal to sell bonds in the amount of up to $5,900,000 for the purpose of financing various improvements, extensions, and related facilities, improvements and costs of the Village's Waterworks and Sewerage System. By: /s/ Charlene M. Smollen Title: Village Clerk Note to Publisher: The above notice is to be published one time on or before 7 days before the hearing, but not prior to 30 days before the hearing. The publication may be in the "legals"or "classified" section of the paper. NO SPECIAL BORDER IS REQUIRED FOR THIS PUBLICATION. DO NOT USE ANY SPECIAL BORDER. Please send your statement to: Village Clerk Village of Lemont 418 Main Street Lemont, IL 60439-3708 and send two publication certificates (and text) to Evans, Froehlich, Beth & Chamley, 44 E. Main Street, Suite 310, Champaign, Illinois 61820-3649. PUBLISHER: DO NOT PRINT THE FOLLOWING: Village President's Approval and Order Setting Public Hearing: The undersigned, Village President of the above Municipality, hereby approves and orders the setting of the above Bond Issue Notification A earin Date: ,2015 'llage President When signed by the Village President, please date and fax back to Evans, Froehlich, Beth & Chamley at 217/359-6468. BERN I I I 14t tiit; iptt RONA) SPEt: 1 AL1S 'TS Village of Lemont, Cook, DuPage and Will Counties, Illinois General Obligation Bonds(ARS),Series 2015A (Water Project) General Obligation Refunding Bonds(ARS),Series 2015B(2007A Refunding) General Obligation Refunding Bonds(ARS),Series 2015C(2007 Refunding) PRELIMINARY TIMETABLE TENTATIVE CLOSING:July 15,2015 DATE: d STS IN PROCEDURE: 9 44/4 1. ff y, if :21 5 bV ILdLs A GEf3,,igR[1�4I E�TA Ii*�©!EtIz,'.1 e 6�1 6°,carew rf ..v »r p F 20151. 61gag"aiTar retter iteith Bernardi }J M r Securiti23,1ncis;atiPf��, 2. Friday,May 15,2015 Notice of Intent,Authorizing Ordinance and Public Hearing Notice(BINA)published in legal section of local newspaper. 30-day petition period begins. 3. Week of May 18,2015 Bernardi Securities,Inc.and Ice Miller LLP begin preparing preliminary documents 4. Thursday,June 04,2015 Public Hearing Notice(BINA)posted. 5. : efa � leg `Ilanday,June 08,2015 VILLAGEBOARDM�?ING: Village holds BM Hearingprioft<rreg r 5� Board meeting. 6. Tuesday,June 09,2015 Reliminary Official Statement(POS)is released to the working group for review. 7. Monday,June 15,2015 30-day petition period expires. Moody's Rating Agency Call with Village and Bernardi Securities. Due Diligence Call with 8. Wednesday,June 17,2015 Disclosure Counsel and Village follows. VILLAGE BOARaMEET'ING Vi ge. asses Parameters Bfl6Or 7 7�,f g 9. � Moflday June 22,•2015. " 2015B and 2015 Bands Bernardi cufitieS`., preeeit prep, Village Boartf;a44OIlndody's.Ratingi Reporti 10. Wednesday,June 24,2015 Mloody's Rating received on all three series of the Bonds. 11. Thursday,June 25,2015 Prelirrinary Official Statement is finalized. 12. Monday,June 29,2015 Bernardi Securities,Inc.and Village staff discuss timing nd prelirrinary p ry interest rates. Bernardi Securities,Inc.begins pre-order selling period for local buyers. Bernardi 13. Tuesday,June 30,2015 Securities,Inc.contacts local institutionaVretail investors. 14. Thursday,July 02,2015 Final Pricing Bond Purchase Agreements are signed and final debt service schedules and 15. Thursday,July 02,2015 bond yields are locked in. 16. Wednesday,July 15,2015 Closing. Bernardi Securities,Inc.coordinates with Bond Counsel&Paying Agent. 20 South Clark Street, Suite 2700 -Chicago,itt4noi5 60603 -p.312-726-7324 BernariiSec tr tie'3.c rn