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Show LEGAL NOTICE " ORDINANCE NO. 10 AN ORDINANCE PROVIDING FOR THE ISSUANCE IS-SUANCE AND SALE OF THE NEGOTIABLE COUPON SEWER BONDS . OF SPRINGVILLE CITY, UTAH COUNTY, STATE OF UTAH, IN THE AMOUNT OF FOUR HUNDRED SEVENTY THOUSAND DOLLARS ($470,000.00). WHEREAS, by the result of a special bond election elec-tion duly and lawfully called and held in Springville City, Utah County, State of Utah, on Thursday, the 28th day of October, 1954, Springville City, Utah, was empowered to issue and sell its negotiable coupon bonds m the amount of Four Hundred Seventy Thousand Thous-and Dollars ($470,000.00) for the purpose of defraying defray-ing the expense of making improvements and extensions exten-sions to the sewage plant and system in Springville City, including the construction of a sewage disposal plant, which plant and system shall be owned and controlled con-trolled by said City; and WHEREAS, the result of said election was declared de-clared by the City Council of said City, sitting as a Board of Canvassers, by resolution duly passed on the 1st day of November, 1954, from which it appears that a majority of the qualified electors of said City, who are taxpayers thereof, voting at said election, were in favor of the issuance of said bonds to the amount and for the purpose above set forth ; and WHEREAS, the City Council of Springville City deems it expedient and necessary at this time to issue and sell all of said Four Hundred Seventy Thousand Dollars ($470,000.00) Sewer Bonds so authorized. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF SPRINGVILLE CITY, UTAH COUNTY, STATE OF UTAH: Section 1. For the purpose of defraying the expense ex-pense of making improvements and extensions to the sewage plant and system in Springville City, including includ-ing the construction of a sewage disposal plant, which plant and system shall be owned and controlled by said City, there shall be issued Four Hundred Seventy Thousand Dollars ($470,000.00) Springville City, Utah County, State of Utah, Sewer Bonds, Series of January Jan-uary 15, 1955, dated January 15, 1955, in the denomination denomi-nation of One Thousand Dollars ($1,000.00) each, numbered from one (1) to four hundred seventy (470), both inclusive, bearing interest, payable semi-annually on the fifteenth days of January and July in each year, commencing July 15, 1955, and maturing serially on the fifteenth day of January in each year as follows: fol-lows: Bond Nos. Maturity Interest (All inclusive) Amounts Dates Rates 1-15 $15,000 11556 1.25 16-40 25,000 11557 1.25 41- 75 35,000 11558 1.25 76-110 35,000 11559 1.50 111-150 40,000 11560 1.50 151-190 40,000 11561 1.75 191-230 : 40,000 11562 1.75 231-275 45,000 11563 2.00 276-320 45,000 11564 2.00 321-370 : 50,000 11565 2.00 371-420 50,000 11566 2.10 421-470 50,000 11567 2.20 Both principal and interest will be payable in lawful money of the United States at the Springville Banking Company, Springville, Utah. Bonds numbered number-ed 371 to 470, both inclusive, maturing on and after January 15, 1966, shall be callable for redemption prior to maturity at the option of the City of Springville Spring-ville in whole or in part in inverse numerical order on January 15, 1963, or on any interest payment date thereafter. All bonds called for redemption shall be redeemed at the principal amount thereof plus accrued ac-crued interest to the date fixed for redemption. Notice No-tice of redemption shall be given not less than thirty (30) days prior to the date fixed for redemption by publication of an appropriate notice one (1) time in a newspaper of general circulation in Springville City, Utah, and by mailing the notice of the intended redemption to Edward L. Burton & Company, Salt Lake City, Utah. Said bonds and each of them shall be, except as to consecutive numbers and maturities, in substantially substantial-ly the following form, to-wit: UNITED STATES OF AMERICA STATE OF UTAH UTAH COUNTY SPRINGVILLE CITY GENERAL OBLIGATION SEWER BOND SERIES OF JANUARY 15, 1955 No $1,000.00 KNOW ALL MEN BY THESE PRESENTS : That Springville City, Utah County, State of Utah, for value received, hereby acknowledges itself to be indebted and hereby promises to pay to the bearer bear-er hereof the sum of ONE THOUSAND DOLLARS ($1,000.00) on the fifteenth day of January, A. D., 19 , with interest thereon at the rate of per cent ( ) per annum, from date until paid, payable semi-annually on the fifteenth day of July and the fifteenth day of January in each year, commencing July 15, 1955, upon presentation and surrender of this bond and the attached coupons as they severally become due, both principal and interest being payable at the Springville Banking Company, Springville, Utah, in lawful money of the United States of America. Ameri-ca. This bond is one of a series of four hundred seventy sev-enty (470) bonds of like date and amount, known as "Springville City General Obligation Sewer Bonds, Series of January 15, 1955", and is issued for the pur- pose of defraying the expense of making improvements improve-ments and extensions to the sewage plant and system sys-tem in Springville City, including the construction of a sewage disposal plant, which plant and system shall be owned and controlled by said City, under and by virtue of and in full confirmity with the Constitution Consti-tution and Laws of the State of Utah, and an ordinance ordi-nance duly adopted and made a law of said City prior to the issuance of this bond. Bonds numbered 371 to 470, inclusive, of the issue is-sue of which this bond is one, maturing on and after January 15, 1966, shall be callable for redemption prior to maturity at the option of Springville City, in whole or in part, in inverse numerical order, on January 15, 1963, or on any interest payment date thereafter. All bonds called for redemption shall be redeemable at the principal amount thereof plus accrued ac-crued interest to the date fixed for redemption. The City Council of Springville City shall annually annual-ly levy a tax sufficient to pay the interest on this bond as it falls due and also to constitute a sinking fund sufficient to pay the principal when due. It is hereby certified, recited and declared that all conditions, acts and things essential to the validity of this bond exist, have happened, and have been done, and that every requirement of law affecting the issue thereof has been duly complied with, and that this bond is within every debt and other limit prescribed by the Constitution and Laws of said State, and that the full faith and credit of said Springville City are hereby irrevocably pledged to the punctual payment of the principal and interest of this bond according to Its terms IN WITNESS WHEREOF, Springville City has caused this bond to be signed by its Mayor and its City Treasurer, attested by its City Recorder, with the seal of the City affixed, and the coupons hereto attached to be signed with the facsimile signature of the City Treasurer, which official by the execution hereof does adopt as and for his own proper signature, signa-ture, his facsimile signature appearing on each of said coupons, all as of the fifteenth day of January, A. D., 1955. A. W. Cherrington, Mayor, Springville City, Utah County, State of Utah Janet W. Crandall, City Treasurer, Springville City, Utah County, State of Utah ATTEST: Lloyd J.- Ashcraft, City Recorder, Springville City, Utah County, State of Utah (SEAL) To each of said bonds shall be attached a coupon for each installment of interest contemplated by said bond, which coupons shall be numbered consecutively beginning with No. 1, with the several dates of payment pay-ment and number of bond, and shall bear the facsimile signature of the City Treasurer. Said coupons shall be substantially the following form, to-wit: (COUPON) No..... $. On the fifteenth day of January (July), 19 , unless the hereinafter mentioned bond is then callable for redemption and shall have been properly so called, Springville City, Utah County, State of Utah, will pay to the bearer hereof at, the Springville Banking Company, Springville, Utah, the sum of Dollars ($. ) in lawful money of the United States of America, being six months' interest then due on its Sewer Bond, Series of Januarv 15, 1955. Janet W. Crandall, City Treasurer, Springville City, State of Utah Bond No. There shall be endorsed on each of said bonds the following: "City Auditor's Certificate I hereby certify that this bond is within the lawful law-ful debt limit of Springville City, State of Utah, and is issued according to law. Lloyd J. Ashcraft City Auditor, Springville City, State of Utah." (SEAL) Section 2. That said bonds and each of them shall be signed by the Mayor and the City Treasurer and attested by the City Recorder, with the seal of said City affixed, and the said coupons shall bear the facsimile fac-simile signature of the City Treasurer. The Mayor and the City Treasurer of said City are each hereby empowered and directed to sign, and the City Recorder Record-er of said City to sign and attest and affix the seal of the City to each of said bonds; and the acts of said Mayor, said City Treasurer and said City Recorder in so doing are and shall be the act and deed of Springville Spring-ville City, Utah. All the covenants, statements, representations repre-sentations and agreements contained in said bonds and coupons, and all the recitals and representations of this ordinance are hereby considered and understood, under-stood, and it is hereby ordered and declared that said covenants and promises therein are the covenants and promises of Springville City, and that the representations repre-sentations and statements therein are the representations representa-tions of said City. Section 3. That to pay the interest falling due on said bonds on July 15, 1955, and thereafter as the same becomes due, and also to provide a sinking fund for the payment of the principal of said bonds at maturity, ma-turity, there shall be levied on all taxable property in said City, in addition to all other taxes, a direct annual an-nual tax sufficient to pay the interest on said bonds and to pay and retire the same as hereinbefore provided. pro-vided. Said taxes when collected shall be applied solely for the purpose of the payment of said interest and principal of said bonds, respectively, and for no other purpose whatsoever until the indebtedness so contracted under this ordinance, principal and interest, inter-est, shall have been fully paid, satisfied and discharged. discharg-ed. But nothing herein contained shall be so construed as to prevent said City from applying any other funds that may be in the City Treasury and available for that purpose to the payment of said interest and principal prin-cipal as the same respectively mature, and the levy or levies herein provided for may thereupon to that extent be diminished, and the sums herein provided for to meet the interest on said bonds and to discharge the principal thereof when due, are hereby appropriated approp-riated for that purpose, and said amount for each year shall also be included in the annual appropriation appropria-tion bills passed by the City Council in each year respectively. re-spectively. Section 4. That after the issuance of any bonds authorized 'by this ordinance, the municipal sewer system of Springville City shall thereafter be operated operat-ed continuously for the purposes of this ordinances . on a fiscal basis commencing on the first day of January Jan-uary in each year and ending on the 31st day of December De-cember of each year. From and after the delivery of any bonds issued pursuant to this ordinance, the entire en-tire gross income and revenues of said system shall be set aside into a separate and special fund to be known as the Springville City, Utah, Sewer System Fund, which shall be used (1) for the maintenance, operation and repair of the system, (2) for the payment pay-ment of principal of and interest on the bonds issued under the provisions of this ordinance, (3) to extend or improve said system, (4) to purchase in the open market bonds authorized by this ordinance at the best price obtainable, which price, if said bonds are redeemable re-deemable within the next six months, shall not be higher than the call price applicable to the bonds proposed pro-posed to be purchased, (5) to the prior redemption of the bonds herein outhorized, as provided by this ordinance, or-dinance, or (6) to anticipate by deposit into a separate separ-ate fund or funds the future requirements for the operation and maintenance, or for principal and in7 terest payments on the bonds herein authorized, or for extensions and improvements, and (7) for the purchase of direct obligations of the United States of America, which shall be held for use and application applica-tion at a later date in the ways enumerated hereinabove. herein-above. That insofar as the principal of or interest on said bonds is paid from funds of the Springville City, Utah, Sewer System Fund, the tax levies provided for in Section 3 of this ordinance may to that extent be reduced, but nothing herein contained shall in any way affect the obligation of Springville City to pay the principal of and interest on said bonds- by the exercise ex-ercise of its power of general taxation. Section 5. That Springville City sewer bonds authorized hereby, both as to principal and interest, shall constitute an irrevocable charge upon and against the net revenues of said system of Springville City, all as in this ordinance provided. Section 6. That nothing in this ordinance contained contain-ed shall be so construed in such a manner as to prevent pre-vent the issuance by Springville City of bonds in addition addi-tion to those herein authorized, payable from the income in-come derived from the. operation of the sewer system and constituting a lien upon said revenues on a parity with, but not superior to, the lien of the bonds herein authorized, nor to prevent the issuance of bonds refunding re-funding all or a part of the bonds herein authorized. After provision has been made for the payment of the operation and maintenance of said system, the proceedings authorizing any additional bonds may provide for the creation of a fund or funds for the payment of the principal of and the interest on the additional bonds, including a reserve fund or funds, from the revenues to be derived from the operation of said system. . Section 7. That the City Council of Springville City, by ordinance No. 37, passed, adopted and approved ap-proved the 29th day of November, 1954, fixed and established es-tablished a schedule of rates and charges, effective the first day of January, 1955, for services rendered by or through said system. The provisions of said ordinance or-dinance are hereby adopted and extended for the benefit of the holders of the bonds herein authorized, and the City from time to time may revise, insofar as it may legally do so, said rates and charges for services rendered by and through the municipal sewer system, as may be deemed necessary, desirable, or proper by said City Council. That so long as any of the bonds remain outstanding, out-standing, proper books of record and account shall be kept by the City, separate and apart from all other records and accounts, showing complete and correct entries of all transactions relating to the system, and that the holders of any of the bonds, or any duly authorized auth-orized agent or agents of such holders, shall have the right at all reasonable times to inspect all records, accounts ac-counts and data relating thereto, and to inspect the system and all properties comprising said system. The City further agrees that it will, within sixty days following the close of each fiscal year, cause an audit of such books and accounts to be made by an independent indepen-dent firm of certified public accountants, showing the receipts and disbursements for the account of the system, and that such audit will be available for inspection in-spection by the holders of any of the bonds. Section 8. That Edward L. Burton and Company, Salt Lake City, Utah, as agents for the City, has advised ad-vised the City Council that The Springville Banking Company, Springville, Utah, et al., have submitted their offer to purchase said bonds at not less than their par value plus accrued interest, said offer to (Continued on Page Eight) |