HomeMy WebLinkAboutORDINANCE - 2194 - 11/12/1991 - GENERAL OBLIGATION BONDS ISSUEDORDINANCE NUMBER 2194
AN ORDINANCE providing for the issuance of
$10,000,000 General Obligation Bonds, Series 1991,
of the Village of Elk Grove Village, Cook and
DuPage Counties, Illinois, and providing for the
levy and collection of a direct annual tax for the
payment of the principal of and interest on said
bonds.
WHEREAS the Village of Elk Grove Village, Cook and
DuPage Counties, Illinois (the "Village") has a population in
excess of 25,000 as determined by the last official census, and
pursuant to the provisions of Section 6 of Article VII of the
Constitution of the State of Illinois, the Village is a home rule
unit and may exercise any power or perform any function pertain-
ing to its government and affairs including, but not limited to,
the power to tax and to incur debt; and
WHEREAS pursuant to the provisions of said Section 6,
the Village has the power to incur debt payable from ad valorem
property tax receipts or from any other lawful source and matur-
ing within 40 years from the time it is incurred without prior
referendum approval; and
WHEREAS the President and Board of Trustees of the
Village have adopted no ordinances, resolutions, orders or
motions or provided any Village Code provisions which restrict or
limit the exercise of the home rule powers of the Village in the
issuance of general obligation bonds without referendum for cor-
porate purposes or which provides any special rules or procedures
for the exercise of such power; -and
WHEREAS the Corporate Authorities have heretofore
determined and do hereby determine that it is necessary and
advisable for the public health, safety, welfare, and convenience
of residents of the Village to acquire and construct certain
municipal improvements, including street, drainage and storm
sewer improvements, as described in the capital improvement plan
of the Village for the years 1992 through 1996, and more
particularly those improvements to be funded through the Capital
Projects Fund of the Village (which improvements may be referred
to as the "Projects"), all in accordance with said plan, but
subject to amendment as deemed necessary from time to time by the
Corporate Authorities; and
WHEREAS the estimated cost to the Village of the
Projects is the sum of $19,800,000; and
WHEREAS there are insufficient funds of the Village on
hand and lawfully available to pay such costs of the Projects;
and
WHEREAS the Corporate Authorities do hereby determine
that it is advisable and in the best interests of the Village to
borrow $10,000,000 at this time for the purpose of paying a part
of the costs of the Projects and, in evidence of such borrowing,
issue its full faith and credit bonds in the principal amount of
$10,000,000;
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NOW THEREFORE Be It Ordained by the President and Board
of Trustees of the Village of Elk Grove Village, Cook and DuPage
Counties, Illinois, in the exercise of its home rule powers, as
follows:
Section 1. Definitions
In addition to such other words and terms used and
defined in this Ordinance, the following words and terms used in
this Ordinance shall have the following meanings, unless, in
either case, the context or use clearly indicates another or
different meaning is intended:
"Bond" or "Bonds" means one or more, as applicable, of
the $10,000,000 General Obligation Bonds, Series 1991, authorized
to be issued by this Ordinance.
"Bond Account" means the Bond Account established and
defined in Section 15 of this Ordinance.
"Bond Register" means the books of the Village kept by
the Bond Registrar to evidence the registration and transfer of
the Bonds.
"Bond Registrar" means the American National Bank and
Trust Company of Chicago, with principal corporate trust offices
located at 33 North LaSalle Street, Chicago, Illinois, or a
successor bank with trust powers or a trust company, duly
authorized to do business as a bond registrar and paying agent as
herein required.
"Code" means the Internal Revenue Code of 1986.
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"Corporate Authorities" means the President and Board
of Trustees of the Village.
"Ordinance" means this Ordinance, numbered as set forth
on the title page hereof, and passed by the Corporate Authorities
on the 12th day of November 1991.
"Pledged Taxes" means the taxes levied on the taxable
property within the corporate limits of the Village to pay prin-
cipal of and interest on the Bonds as made in Section 12 hereof.
"Projects" means the various municipal projects as
described and defined in the preambles hereto.
"Projects Fund" means the Projects Fund authorized to
be established and as defined in Section 15 of this Ordinance.
"Section 148 Compliance Fund" means the Section 148
Compliance Fund authorized to be established and as defined in
Section 15 of this Ordinance.
"Tax-exempt" means, with respect to the Bonds, the sta-
tus 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 will
be taken into account in computing an adjustment used in deter-
mining the alternative minimum tax for certain corporations, in
computing the environmental tax imposed on certain corporations
and in computing the "branch profits tax" imposed on certain for-
eign corporations.
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"Term Bonds" means Bonds subject to mandatory
redemption by operation of the Bond Fund and designated as term
bonds herein.
"Village" means the Village of Elk Grove Village, Cook
and DuPage Counties, Illinois.
Section 2. Incorporation of Preambles
The Corporate Authorities hereby find that all of the
recitals contained in the preambles to this Ordinance are true,
correct and complete and do incorporate them into this Ordinance
by this reference.
Section 3. Determination To Issue Bonds
It is necessary and in the best interests of the
Village to acquire and construct the Projects, to pay all related
costs and expenses incidental thereto, and to borrow money and
issue the Bonds for such purposes.
It is hereby found and determined that such borrowing
of money is necessary for the welfare of the government and
affairs of the Village, is for a proper public purpose or pur-
poses and is in the public interest, and is authorized pursuant
to Section 6 of Article VII of the Illinois Constitution, the
Illinois Municipal Code, and all other laws supplemental thereto;
and these findings and determinations shall be deemed conclusive.
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Section 4. Bond Details
For the purpose of providing for the payment of a part
of the costs of the Projects, and to pay all related costs and
expenses incidental thereto, there shall be issued and sold the
Bonds in the principal amount of $10,000,000. The Bonds shall
each be designated "General Obligation Bond, Series 1991"; the
Bonds shall be dated November 1, 1991 (the "Dated Date"), and
shall also bear the date of authentication thereof. The Bonds
shall be in fully registered form, shall be in denominations of
$5,000 or integral multiples thereof (but no single Bond shall
represent principal maturing on more than one date), shall be
numbered consecutively in such fashion as shall be determined by
the Bond Registrar, and shall become due and payable serially
(subject to right of prior redemption) on December 1 of the years
and in the amounts and bearing interest at the rates percent per
annum as follows:
Year
Amount ($)
Rate(%)
Year
Amount($)
Year (a)
1994
305,000
8.10
2004
525,000
6.10
1995
320,000
8.10
2005
555,000
6.10
1996
340,000
8.10
2006
590,000
6.10
1997
355,000
8.00
2007
630,000
6.10
1998
375,000
6.10
2008
670,000
6.10
1999
395,000
6.10
2009
710,000
6.20
2000
415,000
6.10
2010
755,000
6.20
2001
440,000
6.10
2011
805,000
6.20
2002
465,000
6.10
2012
855,000
6.20
2003
495,000
6.10
provided, however, that the Bonds due in the years 2009 through
2012 are Term Bonds and shall all become due in the year 2012;
subject to mandatory redemption as hereinafter provided on
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December 1 of the years 2009 through 2011 in the amounts as shown
in the above table, with a remainder of $855,000 as shown above
to become due at stated maturity in the year 2012.
Each Bond shall bear interest from the later of its
Dated Date as herein provided or from the most recent interest
payment date to which interest has been paid or duly provided for
(including, in the case of a Bond issued in exchange for or upon
transfer or replacement of predecessor Bonds, such predecessor
Bonds), until the principal amount of such Bond is paid or duly
provided for, such interest (computed upon the basis of a 360 -day
year of twelve 30 -day months) being payable on June 1 and Decem-
ber 1 of each year, commencing on June 1, 1992. Interest on each
Bond shall be paid by check or draft of the Bond Registrar,
payable upon presentation thereof in lawful money of the United
States of America, to the person in whose name such Bond is re-
gistered at the close of business on the applicable record
date. The applicable record date is the 15th day of the month
preceding any regular interest payment date (a June 1 or December
1) and the 15th day preceding any other interest payment date
which may be occasioned by a redemption of Bonds on a day other
than a regular interest payment date. The principal of the Bonds
shall be payable in lawful money of the United States of America
upon presentation thereof at the office of the Bond Registrar in
the City of Chicago, Illinois, or at successor Bond Registrar and
address.
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Section 5. Execution; Authentication
The Bonds shall be executed on behalf of the Village by
the manual or duly authorized facsimile signature of its Presi-
dent and attested by the manual or duly authorized facsimile sig-
nature of its Village Clerk, as they may determine, and shall
have impressed or imprinted thereon the corporate seal or fac-
simile thereof of the Village. In case any such officer whose
signature shall appear on any Bond shall cease to be such officer
before the delivery of such Bond, such signature shall neverthe-
less be valid and sufficient for all purposes, the same as if
such officer had remained in office until delivery. 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 Village 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 authen-
ticated and delivered under this Ordinance. The certificate of
authentication on any Bond shall be deemed to have been executed
by it if signed by an authorized officer of the Bond Registrar,
but it shall not be necessary that the same officer sign the cer-
tificate of authentication on all of the Bonds issued hereunder.
as
Section 6. Term Bonds, Mandatory Redemption and
Covenants.
The Bonds due on December 1, 2012, as shown in Section
4 of this Ordinance relating to Bond Details are Term Bonds and,
as also indicated in said Section, are subject to mandatory
redemption by operation of the Bond Fund at a price of par and
accrued interest, without premium, on December 1 of the years
2009 through 2011 so indicated. The Village covenants that it
will redeem the Term Bonds pursuant to the mandatory redemption
requirement for such Term Bonds. Proper provision for mandatory
redemption having been made, the Village covenants that the Term
Bonds so selected for redemption shall be payable as at maturity,
and taxes shall be levied and collected as provided herein
accordingly..
Section 7. Optional Redemption
The Bonds due on or after December 1, 1999, are subject
to redemption prior to maturity at the option of the Village,
from any available funds, in whole or in part on any date on or
after December 1, 1998, and if in part, in such order of maturity
as the Corporate Authorities shall determine, and if less than an
entire maturity, in integral multiples of $5,000, selected by lot
by the Bond Registrar as hereinafter provided, at the redemption
price of par plus accrued interest to the date fixed for
redemption.
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Section 8. Effect of Redemption or Purchase on Term
Bonds
If the Village redeems pursuant to optional redemption
as hereinabove provided or purchases Term Bonds of any maturity
and cancels the same from Bond Moneys as hereinafter described,
then an amount equal to the principal amount of Term Bonds so
redeemed or purchased shall be deducted from the mandatory
redemption requirement as provided for Term Bonds of such
maturity, first, in the current year of such requirement, until
the requirement for the current year has been fully met, and then
in any order of such Term Bonds as due at maturity or subject to
mandatory redemption in any year, as the Village shall determine.
If the Village redeems pursuant to optional redemption
or purchases Term Bonds of any maturity and cancels the same from
moneys other than Bond Moneys, then an amount equal to the
principal amount of Term Bonds so redeemed or purchased shall be
deducted from the amount of such Term Bonds as due at maturity or
subject to mandatory redemption requirement in any year, as the
Village shall determine.
Section 9. Redemption Procedure
For a mandatory redemption, the Bond Registrar shall
proceed to provide for such redemption without further order or
direction from the Village whatsoever. For a redemption at the
option of the Village, the Village shall, at least 45 days prior
to the redemption date (unless a shorter time period shall be
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satisfactory to the Bond Registrar), notify the Bond Registrar of
such redemption date and of the principal amount of Bonds to be
redeemed. For purposes of any redemption of less than all of the
Bonds of a single maturity, the particular Bonds or portions of
Bonds to be redeemed shall be selected by lot not more than 60
days prior to the redemption date by the Bond Registrar for the
Bonds of such maturity by such method of lottery as the Bond
Registrar shall deem fair and appropriate; provided, that such
lottery shall provide for the selection for redemption of Bonds
or portions thereof so that any $5,000 Bond or $5,000 portion of
a Bond shall be as likely to be called for redemption as any
other such $5,000 Bond or $5,000 portion.
The Bond Registrar shall promptly notify the Village in
writing of the Bonds or portions of Bonds selected for redemption
and, in the case of any Bond selected for partial redemption, the
principal amount thereof to be redeemed.
Unless waived by the owner of Bonds to be redeemed,
official notice of any such redemption shall be given by the Bond
Registrar on behalf of the Village by mailing the redemption
notice by registered or certified mail not less than 30 days and
not more than 60 days prior to the date fixed for redemption to
each registered owner of the Bond or Bonds to be redeemed at the
address shown on the Bond Register or at such other address as is
furnished in writing by such registered owner to the Bond Regis-
trar.
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All official notices of redemption shall include at
least the information as follows:
(a) the redemption date;
(b) the redemption price;
(c) if less than all of the outstanding Bonds of a parti-
cular maturity are to be redeemed, the identification (and, in
the case of partial redemption of Bonds within such maturity, the
respective principal amounts) of the Bonds to be redeemed;
(d) a statement that on the redemption date the redemption
price will become due and payable upon each such Bond or portion
thereof called for redemption and that interest thereon shall
cease to accrue from and after said date; and
(e) the place where such Bonds are to be surrendered for
payment of the redemption price, which place of payment shall be
the office of the Bond Registrar.
Prior to any redemption date, the Village shall have on
deposit with the Bond Registrar an amount of money sufficient to
pay the redemption price of all the Bonds or portions of Bonds
which are to be redeemed on that date.
Official notice of redemption having been given as
aforesaid, the Bonds or portions of Bonds so to be redeemed
shall, on the redemption date, become due and payable at the
redemption price therein specified, and from and after such date
(unless the Village shall default in the payment of the redemp-
tion price) such Bonds or portions of Bonds shall cease to bear
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interest. Neither the failure to mail such redemption notice,
nor any defect in any notice so mailed, to any particular regi-
stered owner of a Bond, shall affect the sufficiency of such
notice with respect to other registered owners. Notice having
been properly given, failure of a registered owner of a Bond to
receive such notice shall not be deemed to invalidate, limit or
delay the effect of the notice or redemption action described. in
the notice. Such notice may be waived in writing by a registered
owner of a Bond entitled to receive such notice, either before or
after the event, and such waiver shall be the equivalent of such
notice. Waivers of notice by registered owners shall be filed
with the Bond Registrar, but such filing shall not be a condition
precedent to the validity of any action taken in reliance upon
such waiver.
Upon surrender of such Bonds for redemption in accor-
dance with said notice, such Bonds shall be paid by the Bond
Registrar at the redemption price. The procedure for the payment
of interest due as part of the redemption price shall be as
herein provided for payment of interest otherwise due. Upon sur-
render for any partial redemption of any Bond, there shall be
prepared for the registered owner a new Bond or Bonds of like
tenor, of authorized denominations, of the same maturity and
bearing the same rate of interest, in the amount of the unpaid
principal.
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If any Bond or portion of Bond called for redemption
shall not be so paid upon surrender thereof for redemption, the
principal shall, until paid or duly provided for, bear interest
from the redemption date at the rate borne by the Bond or portion
of Bond so called for redemption. All Bonds which have been
redeemed shall be cancelled and destroyed by the Bond Registrar
and shall not be reissued.
In addition to the foregoing notice, further notice
shall be given by the Bond Registrar on behalf of the Village as
set out below, but no defect in said further notice nor any fail-
ure to give all or any portion of such further notice shall in
any manner defeat the effectiveness of a call for redemption if
notice thereof is given as above prescribed.
Each further notice of redemption given hereunder shall
contain the information required above for an official notice of
redemption plus (a) the CUSIP numbers of all Bonds being re-
deemed; (b) the date of issue of the Bonds as originally issued;
(c) the rate of interest borne by each Bond being redeemed; (d)
the maturity date of each Bond being redeemed; and (e) any other
descriptive information needed to identify accurately the Bonds
being redeemed.
Each further notice of redemption shall be sent at
least 35 days before the redemption date by registered or certi-
fied mail or overnight delivery service to all registered secu-
rities depositories then in the business of holding substantial
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amounts of obligations of types comprising the Bonds (such depos-
itories now including, inter alia, Depository Trust Company of
New York, New York, and Midwest Securities Trust Company of
Chicago, Illinois) and to one or more national information
services, chosen in the discretion of the Bond Registrar, that
disseminate notice of redemption of obligations such as the
Bonds.
Each further notice of redemption shall be published
one time in The Bond Buyer, New York, New York or, if such publi-
cation is impractical or unlikely to reach a substantial number
of the registered owners of the Bonds, in some other financial
newspaper or journal which regularly carries notices of redemp-
tion of other obligations similar to the Bonds, such publication
to be made at least 30 days prior to the date fixed for redemp-
tion.
Upon the payment of the redemption price of Bonds being
redeemed, each check or other transfer of funds issued for such
purpose shall bear the CUSIP number identifying, by issue and
maturity, the Bonds being redeemed with the proceeds of such
check or other transfer.
As part of its duties hereunder, the Bond Registrar
shall prepare and forward to the Village a statement as to notice
given with respect to each redemption together with copies of the
notices as mailed and published.
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Section 10. Registration of Bonds; owners
The Village shall cause books (the Bond Register) for
the registration and for the transfer of the Bonds as provided in
this ordinance to be kept at the principal corporate trust office
of the Bond Registrar in the City of Chicago, Illinois, which is
hereby constituted and appointed the registrar of the Village for
the Bonds. The Village is authorized to prepare, and the Bond
Registrar or such other agent as the Village may designate shall
keep custody of, multiple Bond blanks executed by the Village 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 herein. Upon surrender for transfer or
exchange of any Bond at the principal corporate trust office of
the Bond Registrar, duly endorsed by or accompanied by a written
instrument or instruments of transfer or exchange in form satis-
factory to the Bond Registrar and duly executed by the registered
owner or an attorney for such owner duly authorized in writing,
the Village 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 like tenor, of the same
maturity, bearing the same interest rate, of authorized denomina-
tions, for a like aggregate principal amount.
The Bond Registrar shall not be required to transfer or
exchange any Bond during the period from the close of business on
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a record date applicable to such Bond to the opening of business
on the applicable interest payment date on such Bond or during
the period of 15 days preceding the giving of notice of
redemption of any Bonds subject to redemption or to transfer or
exchange any Bond any portion of which has been called for
redemption.
The execution by the Village of any fully registered
Bond shall constitute full and due authorization of such Bond,
and the Bond Registrar shall thereby be authorized to authenti-
cate, date and deliver such Bond; provided, however, the princi-
pal amount of Bonds of each maturity authenticated by the Bond
Registrar shall not at any one time exceed the authorized princi-
pal amount of Bonds for such maturity less the amount of such
Bonds which have been paid.
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 his legal representative. All such payments
shall be valid and effectual to satisfy and discharge the lia-
bility upon such Bond to the extent of the sum or sums so paid.
No service charge shall be made to any registered owner
of Bonds for any transfer or exchange of Bonds, but the Village
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.
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Section 11. Form of Bond
The Bonds shall be in substantially the form herein-
after set forth; provided, however, that if the text of the Bond
is to be printed in its entirety on the front side of the Bond,
then the second paragraph of the front side of the Bond and the
legend "See Reverse Side for Additional Provisions" shall be
omitted and paragraphs on the reverse side of the Bond shall be
inserted immediately after the first paragraph on the front side.
[Form of Bond - Front Side]
REGISTERED REGISTERED
NO. $
UNITED STATES OF AMERICA
STATE OF ILLINOIS
COUNTIES OF COOK AND DO PAGE
VILLAGE OF ELK GROVE VILLAGE
GENERAL OBLIGATION BOND, SERIES 1991
See Reverse Side for
Additional Provisions.
Interest Maturity Dated
Rate: Date: Date: November 1, 1991 CUSIP
Registered Owner:
Principal Amount Dollars
KNOW ALL PERSONS BY THESE PRESENTS that the Village of
Elk Grove Village, Cook and DuPage Counties, Illinois, a munici-
pality, home rule unit and political subdivision of the State of
MIS
Illinois (the "Village"), 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 (subject to right of prior
redemption as hereinafter stated), 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 later of the Dated Date of this Bond identified above or
from the most recent interest payment date to which interest has
been paid or duly provided for, at the Interest Rate per annum
identified above, such interest to be payable on June 1 and
December 1 of each year, commencing June 1, 1992, until the
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 American National Bank and
Trust Company of Chicago, with principal corporate trust offices
located at 33 North LaSalle Street, Chicago, Illinois, as bond
registrar and paying agent (the "Bond Registrar"). Payment of
interest shall be made to the Registered Owner hereof as shown on
the registration books of the Village maintained by the Bond
Registrar, at the close of business on the applicable record
date. The applicable record date is the 15th day of the month
preceding any regular interest payment date (a June 1 or December
1) and the 15th day preceding any other interest payment date
which may be occasioned by a redemption of Bonds on a day other
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than a regular interest payment date. Interest shall be paid by
check or draft of the Bond Registrar, payable upon presentation
in lawful money of the United States of America, mailed to the
address of such Registered Owner as it appears on such regis-
tration books or at such other address furnished in writing by
such Registered Owner to the Bond Registrar.
Reference is hereby made to the further provisions of
this Bond set forth on the reverse hereof, and such further pro-
visions shall for all purposes have the same effect as if set
forth at this place.
It is hereby certified and recited that all conditions,
acts and things required by the Constitution and Laws of the
State of Illinois to exist or to be done precedent to and in the
issuance of this Bond, including all procedural ordinances of the
Village provided in the exercise of its home rule powers in issu-
ing 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 Village, represented by the
Bonds, and including all other indebtedness of the Village, how-
soever evidenced or incurred, does not exceed any constitutional
or statutory or other lawful limitation; and that provision has
been made for the collection of a direct annual tax, in addition
to all other taxes, on all of the taxable property in the Village
sufficient to pay the interest hereon as the same falls due and
also to pay and discharge the principal hereof at maturity.
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The Village has duly designated this Bond as a
"qualified tax-exempt obligation" pursuant to Section 265(b)(3)
of the Internal Revenue Code of 1986.
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 the Village of Elk Grove Village,
Cook and DuPage Counties, Illinois, by its Corporate Authorities,
has caused this Bond to be executed by the manual or duly author-
ized facsimile signature of its President and attested by the
manual or duly authorized facsimile signature of its Village
Clerk and its corporate seal or a facsimile thereof to be
impressed or reproduced hereon, all as appearing hereon and as of
the Dated Date identified above.
Charles J. Zettek
President
Village of Elk Grove Village
Cook and DuPage Counties, Illinois
Attest:
Patricia S. Smith
Village Clerk
Village of Elk Grove Village
Cook and DuPage Counties, Illinois
(SEAL)
BOND REGISTRAR AND PAYING AGENT:
American National Bank and Trust Company of Chicago
Chicago, Illinois
Date of Authentication: ,
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CERTIFICATE OF AUTHENTICATION
Date of Authentication: ,
This Bond is one of the Bonds described in the within -mentioned
Ordinance and is one of the General Obligation Bonds, Series
1991, of the Village of Elk Grove Village, Cook and DuPage
Counties, Illinois.
American National Bank and Trust
Company of Chicago
as Bond Registrar
(Form of Bond - Reverse Side]
This bond is one of a series of bonds (the "Bonds") in
the aggregate principal amount of $10,000,000 issued by the Vil-
lage for the purpose of paying a part of the costs of the
municipal projects, and of paying expenses incidental thereto,
all as described and defined in the ordinance authorizing the
Bonds (the "Ordinance"), pursuant to and in all respects in com-
pliance with the applicable provisions of Section 6 of Article
VII of the Constitution of the State of Illinois, with all
procedural ordinances of the Village provided in the exercise of
its home rule powers in issuing bonds without referendum, and
with the Ordinance, which has been duly passed by the Corporate
Authorities, and published, in all respects as by law required.
This 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 the Ordinance. Upon surrender for
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transfer or exchange of this Bond at the principal corporate
trust office of the Bond Registrar maintained for registrar
activities in the City of Chicago, Illinois, 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 Village 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
like tenor, of the same maturity, bearing the same interest rate,
of authorized denominations, for a like aggregate principal
amount.
The Bond Registrar shall not be required to transfer or
exchange this Bond during the period from the close of business
on a record date applicable to this Bond to the opening of
business on the applicable interest payment date on this Bond or
during the period of 15 days preceding the giving of notice of
redemption of any Bonds subject to redemption or to transfer or
exchange this Bond if any portion hereof has been called for
redemption.
The Bonds due on December 1, 2012, are Term Bonds and
are subject to mandatory redemption by operation of the Bond Fund
at a price of par and accrued interest, without premium, on
December 1 of the years and in the amounts as follows:
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For the Term Bond due December 1, 2012:
Year Amount ($)
2009 710,000
2010 755,000
2011 805,000
with $855,000 remaining to be paid at maturity in 2012.
The Bonds due on or after December 1, 1999, are subject
to redemption prior to maturity at the option of the Village,
from any available funds, in whole or in part on any date on or
after December 1, 1998, and if in part, in such order of maturity
as the Village may determine, and if less than an entire
maturity, in integral multiples of $5,000, selected by lot by the
Bond Registrar, at the redemption price of par plus accrued
interest to the date fixed for redemption.
Unless waived by the Registered Owner of Bonds to be
redeemed, notice of any such redemption shall be given by the
Bond Registrar on behalf of the Village by mailing the redemption
notice by registered or certified mail not less than 30 days and
not more than 60 days prior to the date fixed for redemption to
each Registered Owner of the Bond or Bonds to be redeemed at the
address shown on the Bond Register or at such other address as is
furnished in writing by such Registered Owner to the Bond Regis-
trar. Neither the failure to mail such redemption notice, nor
any defect in any notice so mailed, to any particular Registered
Owner of a Bond, shall affect the sufficiency of such notice with
respect to other Registered Owners. Notice having been properly
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given, failure of a Registered Owner of a Bond to receive such
notice shall not be deemed to invalidate, limit or delay the
effect of the notice or redemption action described in the
notice. Such notice may be waived in writing by a Registered
owner of a Bond entitled to receive such notice, either before or
after the event, and such waiver shall be the equivalent of such
notice.
Notice of redemption having been given as aforesaid,
the Bonds or portions of Bonds so to be redeemed shall, on the
redemption date, become due and payable at the redemption price
therein specified, and from and after such date (unless the
Village shall default in the payment of the redemption price)
such Bonds or portions of Bonds shall cease to bear interest.
Upon surrender of such Bonds for redemption in accordance with
said notice, such Bonds shall be paid by the Bond Registrar at
the redemption price. The procedure for the payment of interest
due as part of the redemption price shall be as herein provided
for payment of interest otherwise due. Upon surrender for any
partial redemption of any Bond, there shall be prepared for the
Registered Owner a new Bond or Bonds of like tenor, of authorized
denominations, of the same maturity and bearing the same rate of
interest, in the amount of the unpaid principal.
The Village 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
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and interest due hereon and for all other purposes; and the
Village and the Bond Registrar shall not be affected by any
notice to the contrary.
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
as attorney to transfer the said Bond on the books kept for
registration thereof with full power of substitution in the prem-
ises.
Dated:
Signature guaranteed:
NOTICE: The signature to this transfer and 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.
Section 12. Tax Levy
For the purpose of providing funds required to pay the
interest on the Bonds promptly when and as the same falls due,
and to pay and discharge the principal thereof at maturity and as
due by mandatory redemption, there is hereby levied upon all of
the taxable property within the Village, in the years for which
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any of the Bonds are outstanding, a direct annual tax sufficient
for that purpose; and there is hereby levied on all of the tax-
able property in the Village, in addition to all other taxes, the
following direct annual taxes (the Pledged Taxes):
For the Year
A Tax Sufficient
to Produce the
Sum of:
1991
$692,434.17
for
interest
up to
and
including December
1, 1992
1992
639,170.00
for
interest
1993
944,170.00
for
principal
and
interest
1994
934,465.00
for
principal
and
interest
1995
928,545.00
for
principal
and
interest
1996
916,005.00
for
principal
and
interest
1997
907,605.00
for
principal
and
interest
1998
904,730.00
for
principal
and
interest
1999
900,635.00
for
principal
and
interest
2000.
900,320,00
for
principal
and
interest
2001
898,480.00
for
principal
and
interest
2002
900,115.00
for
principal
and
interest
2003
899,920.00
for
principal
and
interest
2004
897,895.00
for
principal
and
interest
2005
899,040.00
for
principal
and
interest
2006
903,050.00
for
principal
and
interest
2007
904,620.00
for
principal
and
interest
2008
903,750.00
for
principal
and
interest
2009
904,730.00
for
principal
and
interest
2010
907,920.00
for
principal
and
interest
2011
908,010.00
for
principal
and
interest
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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 herein levied;
and when the Pledged Taxes shall have been collected, reimburse-
ment shall be made to said funds in the amount so advanced.
The Pledged Taxes and other moneys (excepting proceeds
of the Bonds) on deposit in the Bond Fund (collectively, the
"Bond Moneys") shall be applied to pay principal of and interest
on the Bonds as follows:
A. Bond Moneys shall be applied to the payment of
interest when due and principal or redemption price when due at
maturity or as redeemed pursuant to mandatory redemption from the
Bond Fund, or
B. On or before October 1 in each calendar year
preceding a December 1 mandatory redemption date in such year,
Bond Moneys up to the amount of the redemption requirement on
such mandatory redemption date plus interest due on Term Bonds on
such date may be applied (1) to the purchase of Term Bonds of the
maturity for which such mandatory redemption requirement was
established at prices (including commissions and charges, if any)
not exceeding par and accrued interest to such December 1 or (2)
to the redemption of such Bonds, without premium, pursuant to
optional redemption provisions applicable thereto. Upon the
purchase or redemption of Term Bonds of any maturity pursuant to
'9M
this paragraph (B), an amount equal to the principal amount of
such Bonds or applicable portion thereof so purchased or redeemed
shall be deducted from the next mandatory redemption requirement
thereafter to become due on such Bonds, and any excess over the
amount of such requirement shall be deducted from the future
requirement for such Bond as the Village shall determine.
Whenever other funds from any lawful source are made
available for the purpose of paying any principal of or interest
on the Bonds so as to enable the abatement of the taxes levied
herein for the payment of same, the Corporate Authorities shall,
by proper proceedings, direct the deposit of such funds into the
Bond Account and further, by proper proceedings, shall direct the
abatement of the taxes by the amount so deposited. A certified
copy of any such proceedings abating taxes shall be filed with
the County Clerks of The Counties of Cook and DuPage, Illinois,
in a timely manner to effect such abatement.
The Village covenants and agrees with the purchasers
and registered owners of the Bonds that so long as any of the
Bonds remain outstanding, the Village will take no action or fail
to take any action which in any way would adversely affect the
ability of the Village to levy and collect the foregoing tax
levy. The Village and its officers will comply with all present
and future applicable laws in order to assure that the Pledged
Taxes may be levied, extended and collected as provided herein
and deposited into the Bond Account.
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Section 13. Filing with County Clerks
Promptly, as soon as this Ordinance becomes effective,
a copy hereof, certified by the Village Clerk of the Village,
shall be filed with the County Clerks of The Counties of Cook and
DuPage, Illinois; and said County Clerks shall in and for each of
the years 1991 to 2011, inclusive, ascertain the rate percent
required to produce the aggregate tax hereinbefore provided to be
levied in each of said years in each of said respective Counties;
and said County Clerks shall (to the extent said tax has not been
abated as provided herein) extend the same for collection on the
tax books in connection with any other taxes that may be levied
in said years in and by the Village for general corporate
purposes of the Village; and in said years such annual tax shall
be levied and collected by and for and on behalf of the Village
in like manner as provided by law for the levy and collection of
taxes for general corporate purposes for said years, without
limit as to either rate or amount, and in addition to and in
excess of all other taxes.
Section 14. Sale of Bonds
The Bonds shall be executed as in this Ordinance pro-
vided as soon after the passage hereof as may be, shall be depos-
ited with the Village Treasurer, and shall be by the Treasurer
delivered to the purchasers thereof, namely, Clayton Brown &
Associates, Inc., and associates, upon payment of the purchase
price agreed upon, the same being not less than $9,930,611.50
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plus accrued interest to date of delivery. The offer by bid for
the sale of the Bonds to such purchaser, dated November 12, 1991,
is hereby in all respects ratified, approved and confirmed, it
being hereby declared that no person holding any office of the
Village, either by election or appointment, is in any manner
interested, either directly or indirectly, in his own name or the
name of any other person, association, trust or corporation, in
such offer and sale.
The Preliminary Official Statement of the Village,
dated October 30, 1991, relating to the Bonds, presented to the
Village at this meeting is hereby approved, the Village officials
are hereby authorized and directed to complete the Preliminary
Official Statement in such manner a shall constitute a final
Official Statement and the purchasers are hereby authorized on
behalf of the Village to distribute copies of such final Official
Statement to the ultimate purchasers of the Bonds.
Section 15. Creation of Funds and Appropriations
Accrued interest and premium, if any, on the Bonds
shall be and is hereby appropriated for the purpose of paying the
first interest due on the Bonds and to such end is hereby ordered
to be deposited into the Capital Projects Debt Service Fund,
heretofore created, and further into the "General Obligation
Bonds, Series 1991, Bond Account" (the Bond Account), hereby
created, which shall be the fund for the payment of principal of
and interest on the Bonds.
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The Pledged Taxes shall either be deposited into the
Bond Account and used solely and only for paying the principal of
and interest on the Bonds or be used to reimburse a fund or
account from which advances to the Bond Account may have been
made to pay principal of or interest on the Bonds prior to
receipt of Pledged Taxes. Interest income or investment profit
earned in the Bond Account shall be retained in the Bond Account
for payment of the principal of or interest on the Bonds on the
interest payment date next after such interest or profit is
received or, to the extent lawful and as determined by the
Corporate Authorities, transferred to such other fund (including
the Section 148 Compliance Fund) as may be determined. The
Village hereby pledges, as equal and ratable security for the
Bonds, all present and future proceeds of the Pledged Taxes for
the sole benefit of the registered owners of the Bonds, subject
to the reserved right of the Corporate Authorities to transfer
certain interest income or investment profit earned in the Bond
Account to other funds of the Village, as described in the
preceding sentence.
The principal proceeds of the Bonds shall be set aside
in a separate fund, heretofore created, and designated as the
"Capital Projects Fund" (the Projects Fund). There is hereby
further established an account in the Projects Fund to be known
as the "1991 Projects Account." The proceeds of the Bonds shall
be credited to the 1991 Projects Account. Costs of the Projects
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shall be charged to the 1991 Projects Account. All costs and
expenses incidental or allocable or related thereto, including
all costs of issuance of the Bonds, shall also be charged to said
account. Interest income or investment profit earned in the
Projects Fund allocable to the 1991 Projects Account shall be
credited to the account and use for payment of costs of the Proj-
ects and related expenses, as aforesaid, or for transfer to the
Section 148 Compliance Fund, as required, or, but only upon
further proceedings of the Corporate Authorities, be transferred
to such other fund as the Corporate Authorities shall determine.
There is hereby authorized to be created, when, as and
if needed, a "General Obligation Bonds, Series 1991, Rebate or
Penalty Fund" (the Section 148 Compliance Fund). The officers of
the Village charged with meeting the covenants of the Village
relating to the Tax-exempt status of the Bonds shall create such
fund as needed and make deposits from the 1991 Projects Account
of the Projects Fund, the Bond Account, or such other fund as the
Corporate Authorities may designate, in such amounts as may be
proper to assure payment of Rebate of "excess arbitrage profits"
on the Bonds to the United States as the payment of "penalty in
lieu of Rebate" as hereinafter described.
Section 16. Not Private Activity Bonds
None of the Bonds is a "private activity bond" as de-
fined in Section 141(a) of the Code. In support of such conclu-
sion, the Village certifies, represents and covenants as follows:
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A. Not more than 5% of the proceeds of the Bonds are
to be used, directly or indirectly, in any trade or business
carried on by any person other than a state or local governmental
unit.
B. Direct or indirect payments be made on the Bonds
with respect to any private business use by any person other than
a state or local governmental unit will not exceed 5% of all
payments made on the Bonds.
C. None of the proceeds of the Bonds are to be used,
directly or indirectly, to make or finance loans to persons other
than a state or local governmental unit or an operating subdivi-
sion of the Village.
D. No user of any property or equipment acquired as
part of the Projects, and paid for with proceeds of the Bonds,
other than the Village, will use the same on any basis other than
the same basis as the general public; and no person, other than
as aforesaid, will be a user of any property or equipment
acquired as part of the Projects, and paid for with proceeds of
the Bonds, as a result of (i) ownership or (ii) actual or benefi-
cial use pursuant to a lease, a management or incentive payment
contract, or (iii) any other similar arrangement.
Section 17. General Arbitrage Covenants
The Village represents and certifies as follows with
respect to the Bonds:
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A. The Village has heretofore incurred, or within six
months after delivery of the Bonds expects to incur, substantial
binding obligations with respect to the Projects to be paid for
with money received from the sale of the Bonds, said binding ob-
ligations comprising binding contracts for the Projects in not
less than the amount of $100,000.
B. All of the principal proceeds of the Bonds and
investment earnings thereon, net of "excess arbitrage profits" or
penalty payments are expected to be used, needed and expended for
the purpose of paying the costs of the Projects, including
expenses incidental thereto, within three years of delivery of
the Bonds.
C. Work on the Projects is expected to proceed with
due diligence to completion.
D. No acquisition or improvement made as a part of the
Projects has been or is expected to be sold or otherwise disposed
of in whole or in material part prior to the last maturity of the
Bonds. "Material part" means (i) land, or (ii) any improvement,
or (iii) personal property or fixtures in excess of that which is
expected to be sold, traded in or discarded upon wearing out or
becoming obsolete.
E. Except for the Bond Account, the Village has not
created or established and will not create or establish any sink-
ing fund, reserve fund or any other similar fund to provide for
the payment of the Bonds. The Bond Account has been established
-35-
and will be funded in a manner primarily to achieve a proper
matching of tax revenues and debt service, and will be depleted
at least annually to an amount not in excess of 1/12 the partic-
ular annual debt service on the Bonds. Money deposited in the
Bond Account will be spent within a 13 -month period beginning on
the date of deposit, and investment earnings in the Bond Account
will be spent or withdrawn from the Bond Account within a one-
year period beginning on the date of receipt.
F. The investment of proceeds or funds related to the
Bonds by the Village officers at a yield which is restricted to a
lower yield than otherwise obtainable in order to meet any cove-
nants relating to the Tax-exempt status of the Bonds, as advised
by bond counsel, or as otherwise determined to be necessary for
such purpose, is expressly authorized and directed.
G. The Village has not been notified of any disquali-
fication or proposed disqualification of it by the Commissioner
of the Internal Revenue Service as a bond issuer which may cer-
tify bond issues under Treasury Regulations Section 1.103-13
(a)(2)(ii) (1979).
The Village 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:
H. Unless an applicable exception to the Rebate
Requirement is available to the Village, the Village will meet
the Rebate Requirement.
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I. Relating to applicable exceptions, the Village
Treasurer or the President of the Village is hereby authorized to
make such elections under the Code as either such officer shall
deem reasonable and in the best interests of the Village. 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 Village shall pay such Penalty.
J. The officers of the Village shall not less
frequently than annually cause to be transferred to the 148
Compliance Fund the amount determined to be and accrued liability
under the Rebate Requirement or Penalty. Said officers shall
cause to be paid to the U.S., without further order or direction
of the Corporate Authorities, from time to time as required,
amounts sufficient to meet the Rebate Requirement or to pay the
Penalty.
K. Interest earnings in the 1991 Projects Account of
the Projects Fund and the Bond Account 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 Village are also hereby
authorized to be used to meet the Rebate Requirement or to pay
the Penalty, but only if necessary after application of
investment earnings as aforesaid and only if appropriated by the
Corporate Authorities.
-37-
The Village also certifies and further covenants with
the purchasers and registered owners of the Bonds from time to
time outstanding that moneys on deposit in any fund or account in
connection with the Bonds, whether or not such moneys were de-
rived 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 Code Section
148 and any lawful regulations promulgated thereunder, including
Treasury Regulations Sections 1.103-13, 1.103-14 and 1.103-15
(1979) as the same presently exist or may from time to time here-
after be amended, supplemented or revised.
Section 18. Registered Form
The Village recognizes that Section 149 of the Code re-
quires the Bonds to be issued and to remain in fully registered
form in order to be and remain Tax-exempt. In this connection,
the Village agrees that it will not take any action to permit the
Bonds to be issued in, or converted into, bearer or coupon form.
Section 19. Further Tax Covenants
The Village agrees to comply with all provisions of the
present Code which, if not complied with by the Village, would
cause the Bonds not to be Tax-exempt. In furtherance of the
foregoing provisions, but without limiting their generality, the
Village 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
9"
all representations, covenants and assurances contained in certi-
ficates or agreements as may be prepared by counsel approving the
Bonds; (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 (e) if deemed necessary or advisable by its officers, to
employ and pay fiscal agents, financial advisors, attorneys and
other persons to assist the Village in such compliance.
Section 20. Qualified Tax-exempt Obligations
The Village recognizes the provisions of Section
265(b)(3) of the Code which provide that a "qualified tax-exempt
obligation" as therein defined may be treated by certain finan-
cial institutions as if it were acquired on August 7, 1986, for
certain purposes. The Village hereby designates each of the
Bonds as may be from time to time outstanding for purposes of
Section 265(b)(3) of the Code as a "qualified tax-exempt obliga-
tion" as provided therein.
In support of such designation, the Village certifies,
represents and covenants as follows:
A. The Bonds are not "private activity bonds" as de-
fined in Section 141(a) of the Code.
B. Including the Bonds, the Village (including any
entities subordinate thereto) has not and does not reasonably
expect to issue in excess of $10,000,000 in "qualified tax-exempt
obligations" (other than "private activity bonds") (as such terms
are defined in the Code) during calendar year 1991.
-39-
C. Including the Bonds, not more than $10,000,000 of
obligations issued by the Village (including any entities subor-
dinate thereto) during calendar year 1991 of the Bonds have been
to date or will be designated by the Village for purposes of said
Section 265(b)(3).
Section 21. opinion of Counsel Exception
The Village reserves the right to use or invest moneys
in connection with the Bonds or to use, sell or otherwise dispose
of the Projects in any manner, notwithstanding the covenants and
representations in Sections 16 through 20 herein, provided it
shall first have received an opinion from an attorney or a firm
of attorneys of nationally recognized standing in matters
pertaining to Tax-exempt bonds to the effect that use or invest-
ment of such moneys or use, sale or disposition of such project
assets as contemplated will not adversely affect either the Tax-
exempt or the "qualified tax-exempt obligation" status of the
Bonds.
Section 22. Rights and Duties of Bond Registrar
If requested by the Bond Registrar, any officer of the
Village is authorized to execute the Bond Registrar's standard
form of agreement between the Village and the Bond Registrar with
respect to the obligations and duties of the Bond Registrar
hereunder. In addition to the terms of such agreement and
subject to modification by express terms thereof, the Bond
Registrar by its acceptance of duties hereunder agrees as
follows:
-90-
(a) to act as bond registrar, paying agent, authen-
ticating agent, and transfer agent as provided herein;
(b) to maintain a list of Bondholders as set forth
herein and to furnish such list to the Village upon request, but
otherwise to keep such list confidential to the extent permitted
by law;
(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 Village at least annually a certi-
ficate with respect to Bonds cancelled and/or destroyed; and
(f) to furnish the Village at least annually an audit
confirmation of Bonds paid, Bonds outstanding and payments made
with respect to interest on the Bonds.
The Village Clerk is hereby directed to file a
certified copy of this Ordinance with the Bond Registrar.
Section 23. Defeasance
Bonds which (a) are paid and cancelled, (b) which have
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 U.S. funds, and direct U.S. Treasury
obligations have been deposited with the Bond Registrar or
similar institution to pay, taking into account investment
-41-
earnings on such obligations, all principal of and interest on
Bonds when due at maturity or as called for redemption, pursuant
to an irrevocable escrow or trust agreement, shall cease to have
any lien on or right to receive or be paid from moneys or Pledged
Taxes hereunder and shall no longer have the benefits of any
covenant for the registered owners of outstanding Bonds as set
forth herein as such relates to lien and security of the out-
standing Bonds. All covenants relative to the Tax-exempt status
of the Bonds; payment, registration, transfer, and exchange; are
expressly continued for all Bonds whether Outstanding Bonds or
not.
Section 24. Publication of Ordinance
A full, true and complete copy of this Ordinance shall
be published within ten days after passage in pamphlet form by
authority of the Corporate Authorities.
Section 25. Superseder and Effective Date
All ordinances, resolutions and orders, or parts there-
of, in conflict herewith, are to the extent of such conflict
hereby superseded; and this Ordinance shall be in full force and
effect immediately upon its passage, approval and publication.
AYES: Nancy J. Czarnik, Dennis J. Gallitano, Michael A. Tosto,
Ronald L. Chernick
NAYS: Joseph T. Bosslet
ABSENT: James P. Petri
—42—
Adopted this 12th day of November 1991.
Approved this 12th day of November 1991.
APPROVED:
Charles J. Zettek
President
Village of Elk Grove Village
Cook and DuPage Counties, Illinois
RECORDED In Village Records: November 18, 1991.
PUBLISHED in pamphlet form by authority of the Corporate Authori-
ties on November 20, 1991.
Attest:
Patricia S. Smith
Village Clerk
Village of Elk Grove Village
Cook and DuPage Counties, Illinois
-43-
EXTRACT OF MINUTES of the regular public meeting of
the President and Board of Trustees of the Village
of Elk Grove Village, Cook and DuPage Counties,
Illinois, held at Village Hall, located at 901
Wellington Avenue, in said Village, at 8:00 p.m.,
on the 12th day of November 1991.
The President called the meeting to order and directed
the Village Clerk to call the roll.
Upon the roll being called, the President and the fol-
lowing Trustees answered present: Joseph T. Bosslet, Ronald L.
Chernick, Nancy J. Czarnik, Dennis J. Gallitano, Michael A. Tosto
The following were absent: James P. Petri
The President and Board of Trustees then discussed the
proposed public improvements to be acquired and constructed as
described in the Village's current capital improvement program
and considered an ordinance providing for the issuance of
$10,000,000 General Obligation Bonds, Series 1991, of the Village
of Elk Grove Village, Cook and DuPage Counties, Illinois, and
providing for the levy and collection of a direct annual tax for
the payment of the principal of and interest on said bonds.
Thereupon the Village President, presented, the
Village Attorney explained, and there was read into the record in
full the following ordinance:
AN ORDINANCE providing for the issuance of
$10,000,000 General Obligation Bonds, Series 1991,
of the Village of Elk Grove Village, Cook and
DuPage Counties, Illinois, and providing for the
levy and collection of a direct annual tax for the
payment of the principal of and interest on said
bonds.
Trustee Tosco moved and Trustee
Czarnik seconded the motion that the Bond Ordinance
as presented be adopted.
A Board discussion of the matter followed. During the
Board discussion, the Village President gave a public recital
of the nature of the matter, which included a reading of the
title of the ordinance and statements (1) that the ordinance
provided for the issuance of general obligation bonds for the
purpose of providing funds for municipal projects to be acquired
and constructed as described in the Village's current capital
improvement program, (2) that the bonds are issuable without
referendum pursuant to the home rule powers of the Village, (3)
that the ordinance provides for the levy of taxes to pay the
bonds, and (4) that the ordinance provides many details for the
bonds, including tax-exempt status covenants, provision for terms
and form of the bonds, and appropriations.
Thereupon the President directed that the roll be
called for a vote upon the motion to adopt such ordinance.
Upon the roll being called, the following Trustees
voted AYE: Nancy J. Czarnik, Dennis J. Gallitano, Michael A. Tosto
Ronald L. Chernick
and the following Trustees voted NAY: Joseph T. Bosslet
ABSENT: James P. Petri
WHEREUPON the President declared the motion carried and
the ordinance adopted, and henceforth did approve and sign the
same in open meeting, and did direct the Village Clerk to record
the same in full in the records of the Village of Elk Grove
Village, Cook and DuPage Counties, Illinois.
adjourned.
Other business was duly transacted at said meeting.
Upon motion duly made and carried, the meeting
Patricia S. Smith
Village Clerk