08-10454 Issue GO Bonds 2008-AZ
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GILMORE & BELL ,RC.
DRAFT — July 10, 2008
600596.010Bond Ordinance v4
ORDINANCE NO. 08-10454
OF
THE CITY OF SALINA, KANSAS
PASSED
JULY 14, 2008
$3,720,000
GENERAL OBLIGATION INTERNAL IMPROVEMENT BONDS
SERIES 2008-A
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(PUBLISHED IN THE SALINA JOURNAL ON , 2008)
ORDINANCE NO. 08-10454
AN ORDINANCE AUTHORIZING AND PROVIDING FOR THE ISSUANCE OF
$3,720,000 PRINCIPAL AMOUNT OF GENERAL OBLIGATION INTERNAL
IMPROVEMENT BONDS, SERIES 2008-A, OF THE CITY OF SALINA, KANSAS;
PROVIDING FOR THE LEVY AND COLLECTION OF AN ANNUAL TAX FOR
THE PURPOSE OF PAYING THE PRINCIPAL OF AND INTEREST ON SAID
BONDS AS THEY BECOME DUE; AUTHORIZING CERTAIN OTHER
DOCUMENTS AND ACTIONS IN CONNECTION THEREWITH; AND MAKING
CERTAIN COVENANTS WITH RESPECT THERETO.
WHEREAS, the City is a city of the first class, duly created, organized and existing under the
ition and laws of the State; and
WHEREAS, by proceedings duly had, the governing body of the City has authorized the following
ments (the "Improvements") to be made in the City, to -wit:
and
WHEREAS, the governing body of the City is authorized by law to issue general obligation bonds
the City to pay the costs of the Improvements; and
WHEREAS, the governing body of the City has advertised the sale of the Bonds in accordance with
law and at a meeting held in the City on this date, awarded the sale of such Bonds to the best bidder.
NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF
A, KANSAS, AS FOLLOWS:
Section 1. Definitions of Words and Terms. In addition to words and terms defined elsewhere
;in, the following words and terms in this Ordinance shall have the meanings hereinafter set forth. Unless
context shall otherwise indicate, words importing the singular number shall include the plural and vice
Allocable
Principal
Proiect Description
Resolution No.
Authori
Amount of Bonds
,iberty Addition Sewer (Schilling/Ohio/
Waterwell Sanitary Sewer)
06-6293
K.S.A. 12-6a01 etseq.
$ 487,820.25
outh Ohio Corridor
05-6169
K.S.A. 12-685 etseq.
1,043,603.34
,iberty Addition #2, Phase III
06-6323
K.S.A. 12-6a01 etseq.
667,865.08
Magnolia Hills Estates, Phase II
07-6395
K.S.A. 12-6a01 etseq.
553,567.85
)uail Meadows, Phase III
07-6371
K.S.A. 12-6a01 et seq.
249,149.08
iolden Eagle #4, Phase III
07-6347
K.S.A. 12-6a01 et seq.
311,780.74
acific Avenue
05-6168
K.S.A. 12-685 etseq.
300,000.00
)es Moines Avenue
05-6182
K.S.A. 12-6a01 etseq.
62,477.70
filen Avenue Sewer
07-6445
K.S.A. 12-6a01 etseq.
43,735.96
Total:
$3,720,000.00
and
WHEREAS, the governing body of the City is authorized by law to issue general obligation bonds
the City to pay the costs of the Improvements; and
WHEREAS, the governing body of the City has advertised the sale of the Bonds in accordance with
law and at a meeting held in the City on this date, awarded the sale of such Bonds to the best bidder.
NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF
A, KANSAS, AS FOLLOWS:
Section 1. Definitions of Words and Terms. In addition to words and terms defined elsewhere
;in, the following words and terms in this Ordinance shall have the meanings hereinafter set forth. Unless
context shall otherwise indicate, words importing the singular number shall include the plural and vice
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versa, and words importing persons shall include firms, associations and corporations, including public bodies,
as well as natural persons.
"Act" means the Constitution and statutes of the State including K.S.A. 10-101 to 10-125, inclusive,
K.S.A. 10-620 et seq., K.S.A. 12-685 et seq., and K.S.A. 12-6a01 et seq., all as amended and supplemented
from time to time.
"Bond and Interest Fund" means the Bond and Interest Fund of the City for its general obligation
bonds.
"Bond Resolution" means the resolution to be adopted by the governing body of the City
prescribing the terms and details of the Bonds and making covenants with respect thereto.
"Bonds" means the City's General Obligation Internal Improvement Bonds, Series 2008-A, in the
aggregate principal amount of $3,720,000, and dated July 15, 2008, authorized by this Ordinance.
"City" means the City of Salina, Kansas.
"Clerk" means the duly appointed and acting Clerk'of the City or, in the Clerk's absence, the duly
appointed Deputy Clerk or Acting Clerk.
"Code" means the Internal Revenue Code of 1986, as amended, and the applicable regulations
proposed or promulgated thereunder of the United States Department of the Treasury.
"Improvements" means the improvements referred to in the preamble to this Ordinance and any
Substitute Improvements.
"Mayor" means the duly elected and acting Mayor or, in the Mayor's absence, the duly appointed
and/or elected Vice Mayor or Acting Mayor of the City.
"Ordinance" means this Ordinance authorizing the issuance of the Bonds.
"State" means the State of Kansas.
Section 2. Authorization of the Bonds. There shall be issued and hereby are authorized and
directed to be issued the General Obligation Internal Improvement Bonds, Series 2008-A, of the City in the
principal amount of $3,720,000, for the purpose of providing funds to: (a) pay a portion of the costs of the
Improvements; (b) pay costs of issuance of the Bonds; and (c) retire interim financing issued to finance the
Improvements.
Section 3. Security for the Bonds. The Bonds shall be general obligations of the City payable as
to both principal and interest in part from special assessments levied upon the property benefited by the
construction of the Improvements and, if not so paid, from ad valorem taxes which may be levied without
limitation as to rate or amount upon all the taxable tangible property, real and personal, within the territorial
limits of the City. The balance of the principal and interest on the Bonds is payable from ad valorem taxes
which may be levied without limitation as to rate or amount upon all the taxable tangible property, real and
personal, within the territorial limits of the City. The full faith, credit and resources of the City are hereby
irrevocably pledged for the prompt payment of the principal of and interest on the Bonds as the same become
due.
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Section 4. Terms, Details and Conditions of the Bonds. The Bonds shall be dated and bear
interest, shall mature and be payable at such times, shall be in such forms, shall be subject to redemption and
payment prior to the maturity thereof, and shall be issued and delivered in the manner prescribed and subject
to the provisions, covenants and agreements set forth in a resolution hereafter adopted by the governing body
of the City.
Section 5. Levy and Collection of Annual Tax. The governing body of the City shall annually
make provision for the payment of principal of, premium, if any, and interest on the Bonds as the same
become due by levying and collecting the necessary taxes and/or assessments upon all of the taxable tangible
property within the City in the manner provided by law.
The taxes and/or assessments above referred to. shall be extended upon the tax rolls in each of the
several years, respectively,, and shall be levied and collected at the same time and in the same manner as the
general ad valorem taxes of the City are levied and collected, shall be used solely for the payment of the
principal of and interest on the Bonds as and when the same become due and the fees and expenses of the
Paying Agent. The proceeds derived from said taxes and/or assessments shall be deposited in the Bond and
Interest Fund.
If at any time said taxes and/or assessments are not collected in time to pay the principal of or
interest on the Bonds when due, the Treasurer is hereby authorized and directed to pay said principal or
interest out of the general funds of the City and to reimburse said general funds for money so expended when
said taxes and/or assessments are collected.
Section 6. Tax Covenants. The City covenants and agrees that (a) it will comply with all
applicable provisions of the Code, including Code § 103 and 141 through 150, necessary to maintain the
exclusion from federal gross income of the interest on the Bonds; and (b) it will not use or permit the use of
any proceeds of Bonds or any other funds of the City, nor take or permit any other action, or fail to take any
action, which would adversely affect the exclusion from federal gross income of the interest on the Bonds.
The City will also adopt such other ordinances or resolutions and take such other actions as may be necessary
to comply with the Code and with other applicable future law, in order to ensure that the interest on the
Bonds will remain excluded from federal gross income, to the extent any such actions can be taken by the
City.
Section 7. Further Authority. The Mayor, Clerk and other City officials are hereby further
authorized and directed to execute any and all documents and take such actions as they may deem necessary
or advisable in order to carry out and perform the purposes of the Ordinance, and to make alterations,
changes or additions in the foregoing agreements, statements, instruments and other documents herein
approved, authorized and confirmed which they may approve, and the execution or taking of such action
shall be conclusive evidence of such necessity or advisability.
Section S. Governing Law. This Ordinance and the Bonds shall be governed exclusively by and
construed in accordance with the applicable laws of the State.
Section 9. Effective Date. This Ordinance shall take effect and be in full force from and after its
passage by the governing body of the City[, approval by the Mayor] and publication in the official City
newspaper.
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'PASSED by the governing body of the City on July 14, 2008 and APPROVED AND SIGNED by
the Mayor.
(SEAL)
ATTEST:
Bond Ordinance
Clerk
Mayor