HomeMy WebLinkAboutOrdinance 18838-09-2009THE STATE OF TEXAS
COUNTIES OF TARRANT AND DENTON
CITY OF FORT WORTH
On the 22nd day of September 2009 the City Council of the City of Fort Worth, Texas, met
m regular open, public meeting m the City Council Chamber m the City Hall with the following
members present, to-wit:
Mike Moncrief,
Salvador Espino
W.B Zim Zimmerman
Danny Scarth,
Frank Moss,
JungusJordan,
Carter Burdette,
Kathleen Hicks,
Joel Burns,
Dale A. Fisseler
David Yett,
Marty Hendrix,
Lena Ellis,
Mayor
Councilmembers,
City Manager
City Attorney
City Secretary
Chief Financial Officer
with Hicks and Moss absent, thus constituting more than a quorum present; and after the City Council
had transacted certain business, the following business was transacted, to-wrt:
Councilmember Jordan introduced an ordinance and moved its passage The motion was
seconded by Councilmember Espmo The ordinance was read by the City Secretary The motion,
carrying with it the passage of the ordinance prevailed by a vote of 7 YEAS 0 NAYS The ordinance
as passed is as follows
ORDINANCE NO /8~3~ =0~-2009
ORDINANCE AUTHORIZING THE ISSUANCE AND SALE OF CITY OF
FORT WORTH, TEXAS DRAINAGE UTILITY SYSTEM REVENUE
BONDS, SERIES 2009• AND ORDAINING ALL OTHER MATTERS
RELATED THERETO
THE STATE OF TEXAS
COUNTIES OF TA,RRANT AND DENTON
CITY OF FORT WORTH
WHEREAS the City of Fort Worth, Texas (the City" or the 'Issuer") is a home-rule
city operating under ahome-rule charter adopted pursuant to Section 5 of Article XI of the Texas
Constitution, with a population according to the latest federal decennial census of in excess of
50 000• and
WHEREAS the Crty is authorized by the Municipal Drainage Utility Systems Act,
Subchapter C Chapter 402, Texas Local Government Code (the Act"), to establish a municipal
drainage utility system and to issue bonds of the Crty for this purpose; and
WHEREAS on January 24 2006 in accordance with the provisions of the Act, the Crty
Council of the City adopted an ordinance whereunder the Crty adopted to apply the provisions of
the Act to the Crty and which further declared that the drainage of the City was a public utilrty~
and
WHEREAS on March 7 2006 in accordance with the provisions of the Act, the Crty
Council of the Crty adopted an ordinance whereunder the Crty adopted drainage charges
applicable for the availability and use of the municipal drainage utility system, and
WHEREAS the Crty has previously issued its City of Fort Worth, Texas Drainage Utility
System Revenue Bonds, Series 2007 in the aggregate principal amount of $24 430 000 (the
`Series 2007 Bonds") and
WHEREAS in the ordinance authorizing the Series 2007 Bonds, the City reserved the
right to issue additional bonds on a panty with the Series 2007 Bonds, for the purpose of
acquiring, constructing, improving, enlarging and repairing all or a part of the municipal
drainage utility system located in the City and
WHEREAS the City Council considers it in the best interest of the City to issue bonds
pursuant to the laws of the State of Texas, including, without limitation, the Act, on a parity with
the Series 2007 Bonds, for the purpose of acquiring, constructing, improving, enlarging and
repairing all or a part of the municipal drainage utility system located in the City
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF FORT WORTH, TEXAS
1
Section 1 BONDS AUTHORIZED That the City's bonds (the 'Bonds') are hereby
authorized to be issued in the aggregate principal amount of $45 190 000 for the purpose of (i)
acquiring, constructing, improving, enlarging and repairing all or part of the facilities which
constitute the Crty` s drainage utility system, and (ii) paying costs of issuance incurred in
connection with the issuance of the Bonds. The Bonds shall be designated as the City of Fort
Worth, Texas Drainage Utility System Revenue Bonds, Series 2009" The Bonds constitute
the second series of 'Parity Bonds issued or incurred in accordance with the terms and
conditions as set forth in this Ordinance
Section 2 DATES AND MATURITIES That the Bonds shall be dated September 15
2009 shall be in the denomination of $5 000 or any integral multiple thereof (an Authorized
Denomination'), shall be numbered consecutively from R 1 upward, and shall mature on the
maturity date, in each of the years, and in the amounts, respectively as set forth in the following
schedule
MATURITY DATE FEBRUARY 15
YEARS AMOUNTS ($) YEARS AMOUNTS ($)
2010 900 000 2023 1 665 000
2011 945 000 2024 1 740 000
2012 995 000 2025 1 820 000
2013 1 045 000 2026 1 905 000
2014 1 095 000 2027 2,000 000
2015 1 155 000 2028 2,095 000
2016 1,210 000 2029 2,200 000
2017 1,275 000 2030 2,310 000
2018 1 340 000 2031 2,435 000
2019 1 405 000 2032 2,560 000
2020 1 460 000 2033 2,695 000
2021 1 525 000 2034 2,835 000
2022 1 590 000 2035 2,985 000
For purposes of this Ordinance, the Bonds matunng on February 15 in each of the years
and are hereby designated as 'Term Bonds
Section 3 RIGHT OF PRIOR REDEMPTION That the City reserves the right to
redeem the Bonds in the manner on the dates, and in the amounts described in the FORM OF
BOND set forth in Exhibit A to this Ordinance. In addition, notice of such redemption shall be
provided in the manner described in the FORM OF BOND set forth in Exhibit A to this
Ordinance, and as provided in Section 5(e) hereof, but the failure to provide such notice as
described in Section 5(e) hereof shall not affect the validity or effectiveness of the proceedings
for the redemption of the Bonds.
2
Section 4 INTEREST That the Bonds scheduled to mature during the years,
respectively set forth below shall bear interest at the following rates per annum
maturities 2010 % maturities 2023
maturities 2011 % maturities 2024
maturities 2012, % maturities 2025
maturities 2013 % maturities 2026
maturities 2014 % maturities 2027
maturities 2015 % maturities 2028
maturities 2016 % maturities 2029
maturities 2017 % maturities 2030
maturities 2018 % maturities 2031
maturities 2019 % maturities 2032,
maturities 2020 % maturities 2033
maturities 2021 % maturities 2034
maturities 2022, % maturities 2035
payable February 15 2010 and semiannually thereafter on August 15 and February 15 of each
year thereafter until maturity or prior redemption. Said interest shall be payable to the registered
owner of any such Bond in the manner provided in the FORM OF BOND set forth in Exhibit A
to this Ordinance
Section 5 PAYING AGENT/REGISTRAR, BOOK ENTRY ONLY SYSTEM. (a)
Registration. Transfer, Conversion and Exchange Authentication. That the City shall keep or
cause to be kept at the designated corporate trust office of Wells Fargo Bank, National
Association (the 'Paying Agent/Registrar"), books or records for the registration of the transfer
conversion and exchange of the Bonds (the 'Registration Books'), and the City hereby appoints
the Paying Agent/Registrar as its registrar and transfer agent to keep such books or records and
make such registrations of transfers, conversions and exchanges under such reasonable
regulations as the Crty and the Paying Agent/Registrar may prescribe, and the Paying
Agent/Registrar shall make such registrations, transfers, conversions and exchanges as herein
provided. The Paying Agent/Registrar shall obtain and record in the Registration Books the
address of the owner of each Bond to which payments with respect to the Bonds shall be mailed,
as herein provided, but rt shall be the duty of each owner to notify the Paying Agent/Registrar in
writing of the address to which payments shall be mailed, and such interest payments shall not be
mailed unless such notice has been given. The City shall have the right to inspect at the
Designated Trust Office the Registration Books during regular business hours of the Paying
AgentlRegistrar but otherwise the Paying Agent/Registrar shall keep the Registration Books
confidential and, unless otherwise required by law shall not permit their inspection by any other
entity Except as otherwise provided in the FORM OF BOND the owner of each Bond
requesting a conversion, transfer exchange and delivery of such Bond shall pay the Paying
Agent/Registrar's standard or customary fees and charges for making such registration, transfer
conversion, exchange and delivery of a substitute Bond or Bonds Registration of assignments,
transfers, conversions and exchanges of Bonds shall be made in the manner provided and with
the effect stated in the in the FORM OF BOND Each substitute Bond shall bear a letter and/or
number to distinguish rt from each other Bond. An autlioazed representative of the Paying
Agent/Registrar shall, before the delivery of any such Bond, date and manually sign the 'Paying
Agent/Registrar's Authentication Certificate in the form set forth in the FORM OF BOND (the
Authentication Certificate'), and, except as provided below no such Bond shall be deemed to
be issued or Outstanding unless the Authentication Certificate is so executed, the foregoing
notwithstanding, the Authentication Certificate need not be executed if any such Bond is
accompanied by an executed 'Comptroller's Registration Certificate in the form set forth in the
FORM OF BOND The Paying Agent/Registrar promptly shall cancel all paid Bonds and Bonds
surrendered for conversion and exchange No additional ordinances, orders, or resolutions need
be passed or adopted by the governing body of the City or any other body or person so as to
accomplish the foregoing conversion and exchange of any Bond or portion thereof, and the
Paying Agent/Registrar shall provide for the panting, execution, and delivery of the substitute
Bonds in the manner prescribed herein. Pursuant to Chapter 1206, Texas Government Code, the
duty of conversion and exchange of Bonds as aforesaid is hereby imposed upon the Paying
Agent/Registrar and, upon the execution df the Authentication Certificate, the converted and
exchanged Bond shall be valid, incontestable, and enforceable in the same manner and with the
same effect as the Bonds which initially were issued and delivered pursuant to this Ordinance,
approved by the Attorney General, and registered by the Comptroller of Public Accounts. As of
the date this Ordinance is approved by the Crty the Designated Trust Office is the Fort Worth,
Texas corporate trust office of Wells Fargo Bank, National Association.
(b) Pavment of Bonds and .Interest. The City hereby further appoints the Paying
Agent/Registrar to act as the paying agent for paying the principal of, premium, if any and
interest on the Bonds, all as provided in this Ordinance The Paying Agent/Registrar shall keep
proper records of all payments made by the City and the Paying Agent/Registrar with respect to
the Bonds.
(c) In General. The Bonds (i) shall be issued in fully registered form, without interest
coupons, with the principal of and interest on such Bonds to be payable only to the registered
owners thereof, (ii) may be redeemed prior to their scheduled maturities, (iii) may be transferred
and assigned, (iv) may be converted and exchanged .for other Bonds, (v) shall have the
characteristics, (vi) shall be signed, sealed, executed and authenticated, (vii) shall be payable,
and (viii) shall be administered and the Paying Agent/Registrar and the City shall have certain
duties and responsibilities with respect to the Bonds, all as provided, and in the manner and to
the effect as required or indicated, in the FORM OF BOND The Bonds inrtially issued and
delivered to the Purchaser pursuant to this Ordinance are not required to be, and shall not be,
authenticated by the Paying Agent/Registrar but on each substitute Bond issued in conversion of
and exchange for any Bond or Bonds issued under this Ordinance the Paying Agent/Registrar
shall execute the Authentication Certificate
(d) Substitute Paving A e~/Re istrar The City covenants with the owners of the Bonds
that at all times while the Bonds are Outstanding a competent and legally qualified entity shall
act as and perform the services of Paying Agent/Registrar for the Bonds under this Ordinance,
and that the Paying Agent/Registrar will be one entity Such entity may be the City to the extent
permitted by law or a bank, trust company financial institution, or other agency as selected by
4
the City The Crty reserves the right to, and may at rts option, change the Paying
Agent/Registrar upon not less than one hundred and twenty (120) days written notice to the
Paying Agent/Registrar to be effective not later than sixty (60) days prior to the next principal or
interest payment date after such notice. In the event that the entity at any time acting as Paying
Agent/Registrar (or rts successor by merger acquisition, or other method) should resign or
otherwise cease to act as such, the Crty covenants that promptly rt will appoint a competent and
legally qualified entity to act as Paying Agent/Registrar under this Ordinance. Upon any change
in the Paying Agent/Registrar the previous Paying Agent/Registrar promptly shall transfer and
deliver the Registration Books (or a copy thereof), along with all other pertinent books and
records relating to the Bonds, to the new Paying Agent/Registrar designated and appointed by
the Crty Upon any change in the Paying Agent/Registrar the Crty promptly will cause a written
notice thereof to be sent by the new Paying Agent/Registrar to each owner of the Bonds, by
United States mail, first-class postage prepaid, which notice also shall give the address of the
new Paying Agent/Registrar By accepting the position and performing as such, each Paying
Agent/Registrar shall be deemed to have agreed to the provisions of this Ordinance, and a
certified copy of this Ordinance shall be delivered to each Paying Agent/Registrar
(e) Additional Notice of Redemption. (i) In addition to the manner of providing notice
of redemption of Bonds as set forth in Section 3 hereof, the Paying Agent/Registrar shall give
notice of redemption of Bonds by United States mail, first-class postage prepaid, at least thirty
(30) days prior to a redemption date to the SID and each NRMSIIZ. In addition, in the event of a
redemption caused by an advance refunding of the Bonds, the Paying Agent/Registrar shall send
a second notice of redemption to the persons specified in the immediately preceding sentence at
least thirty (30) days but not more than ninety (90) days prior to the actual redemption date. Any
notice sent to the SID and a NRMSIR shall be sent so that such notice is received at least two (2)
days prior to the general mailing or publication date of such notice The Paying AgentlRegistrar
shall also send a notice of redemption to the registered owner of any Bonds who has not sent the
Bonds in for redemption sixty (60) days after the redemption date The failure to send, mail or
receive any such notice described in this clause (i), or any defect therein or in the sending or
mailing thereof, shall not affect the validity or effectiveness of the proceedings for the
redemption of any Bond.
(ii) Each redemption notice, whether required in the FORM OF BOND or otherwise
by this Ordinance; shall contain a description of the Bonds to be redeemed including the
complete name of the Bonds, the series, the date of issue, the interest rate, the maturity date, the
CUSIP number the amounts called of each Bond, the publication and mailing date for the notice,
the date of redemption, the redemption price, the name of the Paying Agent/Registrar and the
address at which the Bond may be redeemed including a contact person and telephone number
(iii) All redemption payments made by the Paying Agent/Registrar to the registered
owners of the Bonds shall include a CUSIP number relating to each amount paid to such
registered owner
(f) DTC Book Entry-Only System of Registration. Should the terms of the Purchase
Contract so provide, the Bonds initially shall be issued and delivered m such manner that no
physical distribution of the Bonds will be made to the public, and DTC initially will act as
5
depository for the Bonds DTC has represented to the City that rt is a limited purpose trust
company incorporated under the laws of the State of New York, a member of the Federal
Reserve System, a clearing corporation within the meaning of the New York Uniform
Commercial Code, and a clearing agency" registered under Section 17A of the Securities
Exchange Act of 1934 as amended, and the Crty accepts, but in no way verifies, such
representations The definitive Bonds delivered to the Purchaser may be registered in the name
of CEDE & CO the nominee of DTC if the terms of the Purchase Contract so provide So long
as each Bond is registered in the name of CEDE & CO the Paying Agent/Registrar shall treat
and deal with DTC the same in all respects as if rt were the actual and beneficial owner thereof.
DTC may maintain abook-entry system which will identify ownership of the Bonds in
Authorized Denominations, with transfers of ownership being effected on the records of DTC
and its participant pursuant to rules and regulations established by them, and that, if the terms of
the Purchase Contract so provide, the Bonds deposited with DTC shall be immobilized and not
be further exchanged for substitute Bonds except as hereinafter provided. The Crty is not
responsible or liable for any functions of DTC will not be responsible for paying any fees or
charges with respect to its services, will not be responsible or liable for maintaining, supervising,
or reviewing the records of DTC or its participants, or protecting any interests or rights of the
beneficial owners of the Bonds. The Crty does not represent, nor does rt in any way covenant
that the initial book-entry system established with DTC will be maintained in the future. If for
any reason any of the originally delivered Bonds is duly filed with the Paying Agent/Registrar
with proper request for transfer and substitution, as provided for in this Ordinance, substitute
Bonds will be duly delivered as provided in this Ordinance, and there will be no assurance or
representation that any book-entry system will be maintained for the Bonds. Should there be
established abook-entry system with DTC in respect to the Bonds, the City heretofore has
executed a 'Blanket Letter of Representations prepared by DTC in order to implement the
book-entry system described above
Section 6 FORM OF BONDS That the form of all Bonds, including the form of the
Authentication Certificate, the form of Assignment, and the form of the Comptroller's
Registration Certificate to accompany the Bonds on the initial delivery thereof, shall be,
respectively substantially in the forms as set forth in Exhibit A to this Ordinance, with such
appropriate variations, omissions, or insertions as are permitted or required by this Ordinance.
Section 7 DEFINITIONS That, as used in this Ordinance, the following terms shall
have the meanings set forth below unless the text hereof specifically indicates otherwise
Accountant" means a nationally recognized independent certified public accountant, or
an independent firm of certified public accountants
Act" means Subchapter C Chapter 402, Texas Local Government Code.
Additional Bonds" shall mean the additional bonds which the City reserves the right to
issue in the future as Panty Bonds, as provided in this Ordinance.
Amortiiation Installment" with respect to the Bonds so designated in Section 2 of this
Ordinance and any Term Bonds of any Additional Bonds, shall mean the amount of money
6
which is required to be deposited into the Mandatory Redemption Account referred to in Section
10 hereof for retirement of such Term Bonds (whether at maturity or by mandatory redemption
and including redemption premium, if any) provided that the total Amortization Installments for
such Term Bonds shall be sufficient to provide for retirement of the aggregate principal amount
of such Term Bonds
Annual Debt Service Requirements" means, for any Fiscal Year the principal of and
interest on all Panty Bonds coming due at Maturity or Stated Maturity (or that could come due
on demand of the .owner thereof other than by acceleration or other demand conditioned upon
default by the City on such Debt, or be payable in respect of any required purchase of such Debt
by the City) in such Fiscal Year and, for such purposes, any one or more of the following rules
shall apply at the election of the Crty•
(1) Committed Take Out If the City has entered into a Credit Agreement
constituting a binding commitment within normal commercial practice to discharge any
of its Funded Debt at its Stated Maturity (or if due on demand, at any date on which
demand may be made) or to purchase any of its Funded Debt at any date on which such
Debt is subject to required purchase, all under arrangements whereby the City's
obligation to repay the amounts advanced for such discharge or purchase constitutes
Funded Debt, then the portion of the Funded Debt committed to be discharged or
purchased shall be excluded from such calculation and the principal of and merest on the
Funded Debt incurred for such discharging or purchase that would be due in the Fiscal
Year for which the calculation is being made, if incurred at the Stated Maturity or
purchase date of the Funded Debt to be discharged or purchased, shall be added,
(2) Balloon Debt If the principal (including the accretion of interest resulting
from original issue discount or compounding of interest) of any serves or issue of Funded
Debt due (or payable in respect of any required purchase of such Funded Debt by the
City) in any Fiscal Year either is equal to at least 25% of the total principal (including the
accretion of interest resulting from original issue discount or compounding of interest) of
such Funded Debt or exceeds by more than 50% the greatest amount of principal of such
series or issue of Funded Debt due in any preceding or succeeding Fiscal Year (such
principal due in such Fiscal Year for such series or issue of Funded Debt being referred to
herein as Balloon Debt"), the amount of principal of such Balloon Debt taken into
account during any Fiscal Year shall be equal to the debt service calculated using the
original principal amount of such Balloon Debt amortized over the Term of Issue on a
level debt service basis at an assumed interest rate equal to the rate borne by such Balloon
Debt on the date of calculation,
(3) Consent Sinking Fund. In the case of Balloon Debt (as defined in clause (2)
above), if a Designated Financial Officer shall deliver to the Crty an Officer's Certificate
providing for the retirement of (and the instrument creating such Balloon Debt shall
permit the retirement of), or for the accumulation of a sinking fund for (and the
instrument creating such Balloon Debt shall permit the accumulation of a sinking fund
for), such Balloon Debt according to a fixed schedule stated in such Officer's Certificate
ending on or before the Fiscal Year in which such principal (and premium, if any) is due,
7
then the principal of (and, iri the case of retirement, or to the extent provided for by the
sinking fund accumulation, the premium, if any and interest and other debt service
charges on) such Balloon Debt shall be computed as if the same were due in accordance
wrth such schedule, provided that this clause (3) shall apply only to Balloon Debt for
which the installments previously scheduled have been paid or deposited to the sinking
fund established with respect to such Debt on or before the times required by such
schedule and provided further that this clause (3) shall not apply where the City has
elected to apply the rule set forth in clause (2) above
(4) Prepaid Debt Principal of and interest on Parity Bonds, or portions thereof,
shall not be included in the computation of the Annual Debt Service Requirements for
any Fiscal Year for which such principal or interest are payable from funds on deposit or
set aside in trust for the payment thereof at the time of such calculations (including
without limitation capitalized interest and accrued interest so deposited or set aside in
trust) with a financial institution acting as fiduciary wrth respect to the payment of such
Debt;
(5) Variable Rate As to any Parity Bond that bears interest at a variable interest
rate which cannot be ascertained at the time of calculation of the Annual Debt Service
Requirement then, at the option of the City either (1) an interest rate equal to the average
rate borne by such Parity Bonds (or by comparable debt in the event that such Parity
Bonds has not been outstanding during the preceding 24 months) for any 24 month period
ending within 30 days pnor to the date of calculation, or (2) an interest rate equal to the
20-year Tax Exempt Revenue Bond Index (as most recently published in The Bond
Buyer), shall be presumed to apply for all future dates, unless such index is no longer
published in The Bond Buffer, in which case an index of tax-exempt revenue bonds with
maturities of at least 20 years which is published in a newspaper or journal wrth national
circulation may be used for this purpose. If two Serves of Parity Bonds which bear
interest at variable interest rates, or one or more maturities within a Series, of equal par
amounts, are issued simultaneously wrth inverse floating interest rates providing a
composite fixed interest rate for such Parity Bonds taken as a whole, such composite
fixed rate shall be used in determining the Annual Debt Service Requirement wrth respect
to such Panty Bonds,
(6) Cnrarantee In the case of any guarantee, as described in clause (2) of the
definition of Debt, no obligation will be counted if the Crty does not anticipate in its
annual budget that rt will make any payments on the guarantee. If, however the Crty is
making payments on a guarantee or anticipates doing so in its annual budget, such
obligation shall be treated as Parity Bonds and calculations of annual debt service
requirements wrth respect to such guarantee shall be made assuming that the City will
make all additional payments due under the guaranteed obligation. If the entity whose
obligation is guaranteed cures all defaults and the Crty no longer anticipates making
payments under the guarantee, the guaranteed obligations shall not be included in the
calculation of Annual Debt Service Requirements, and
8
(7) Credit Agreement Pcryments If the City has entered into a Credit Agreement
in connection with an issue of Debt, payments due under the Credit Agreement (other
than payments for fees and expenses), for either the City or the Credit Provider shall be
included in such calculation, except to the extent that the payments are already taken into
account under (1) through (6) above and any payments otherwise included above under
(1) through (6) which are to be replaced by payments under a Credit Agreement, from
either the City or the Credit Provider shall be excluded from such calculation. For
purposes of satisfying the provisions of Sections 19(a) and 19(b) of this Ordinance, the
City shall assume that for the term of the Credit Agreement, rt will not receive any
payments from the counterparty thereto, and further that the City shall calculate the
amount of its payments due annually to the counterparty under the Credit Agreement
(other than payments for fees and expenses) on the basis of the percentage rate applicable
to the stated notional amount of the Credit Agreement, as such percentage rate is
determined as of the date the Credit Agreement is approved by ordinance adopted by the
City Council.
With respect to any calculation of historic data, only those payments actually made in the subject
period shall be taken into account in making such calculation and, with respect to prospective
calculations, only those payments reasonably expected to be made in the subject period shall be
taken into account in making the calculation.
Authorized Denomination" shall have the same meaning as set forth in Section 2 hereof.
Authorized Investments" means any and all of the authorized investments described in
the Public Funds Investment Act of 1987 Chapter 2256 Texas Government Code, provided that
such investments are at the time made included in and authorized by the City's official
investment policy approved from time to time by the City Council.
Bond, Bonds" and Series 2009 Bond, Bonds" shall mean one or more, as the case may
be, of the City of Fort Worth, Texas Drainage Utility System Revenue Bonds, Series 2009
authorized to be issued by this Ordinance.
Business Day" shall mean a day other than a Saturday Sunday a legal holiday or a day
on which banking institutions are authorized by law or executive order to close in the City or the
city where the Designated Trust Office of the Paying Agent/Registrar is located.
City" and Issuer" shall mean the City of Fort Worth, Texas
Code shall mean the Internal Revenue Code of 1986
Credit Agreement" means, collectively a loan agreement, revolving credit agreement,
agreement establishing a line of credit, letter of credit, reimbursement agreement, insurance
contract, commitments to purchase Panty Bonds, purchase or sale agreements, interest rate swap
agreements, currency exchange agreements, interest rate floor or cap agreements, or
commitments or other contracts or agreements authorized, recognized and approved by the City
as a Credit Agreement in connection with the authorization, issuance, security or payment of
9
Parity Bonds and on a parity therewith.
Credit Facility" means (i) a policy of insurance or a surety bond, issued by an issuer of
policies of insurance insuring the timely payment of debt service on governmental obligations,
provided that a Rating Agency having an outstanding rating on Parity Bonds would rate the
Parity Bonds fully insured by a standard policy issued by the issuer in its two highest generic
rating categories for such obligations, and (ii) a letter or line of credit issued by any financial
institution, provided that a Rating Agency having an outstanding rating on the Panty Bonds
would rate the parity obligations m its two highest generic rating categones for such obligations
if the letter or line of credit proposed to be issued by such financial institution secured the timely
payment of the entire principal amount of the Panty Bonds and the interest thereon, and, in any
case, no lower than the rating assigned by a Rating Agency to the Parity Bonds
Credit Provider" means any bank, financial institution, insurance company surety bond
provider or other entity which provides, executes, issues, or otherwise is a party to or provider of
a Credit Agreement.
Debt" means all
(1) indebtedness incurred or assumed by the City for borrowed money (including
indebtedness arising under Credit Agreements) and all other financing obligations of the
City that, in accordance with generally accepted accounting principles, are shown on the
liability side of a balance sheet,
(2) all other indebtedness (other than indebtedness otherwise treated as Debt
hereunder) for borrowed money or for the acquisition, construction, or improvement of
property or capitalized lease obligations that is guaranteed, directly or indirectly in any
manner by the City or that is in effect guaranteed, directly or indirectly by the City
through an agreement, contingent or otherwise, to purchase any such indebtedness or to
advance or supply funds for the payment or purchase of any such indebtedness or to
purchase property or services primarily for the purpose of enabling the debtor or seller to
make payment of such indebtedness, or to assure the owner of the indebtedness against
loss, or to supply funds to or in any other manner invest m the debtor (including any
agreement to pay for property or services irrespective of whether or not such property is
delivered or such services are rendered), or otherwise; and
(3) all indebtedness secured by any mortgage, lien, charge, encumbrance, pledge
or other security interest upon property owned by the City whether or not the City has
assumed or become liable for the payment thereof.
For the purpose of determining the 'Debt" of the City there shall be excluded any particular
Debt if, upon or prior to the Matunty thereof, there shall have been deposited with the proper
depository (a) in trust the necessary funds (or investments that will provide sufficient funds, if
permitted by the instrument creating such Debt) for the payment, redemption, or satisfaction of
such Debt or (b) evidence of such Debt deposited for cancellation, and thereafter it shall not be
considered Debt. No item shall be considered Debt unless such item constitutes indebtedness
10
under generally accepted accounting principles applied on a basis consistent with the financial
statements prepared by or for the benefit of the City in prior fiscal Years
Designated Financial Officer" shall mean the City Manager or the Chief Financial
Officer of the City
Designated Trust Office" shall have the same meaning as set forth in Section 5(a)
hereof.
DTC" shall mean The Depository Trust Company New York, New York, or any
successor securities depository designated by the City in accordance with the provisions of
Section 5(i) hereof.
Fiscal Year" shall mean the regular fiscal year used by the City in connection with the
operation of the System, which may be any twelve consecutive months period established by the
City
Funded Debt" means all Parity Bonds that mature by their terms (in the absence of the
exercise of any earlier right of demand), or are renewable at the option of the City to a date, more
than one year after the original creation, assumption, or guarantee of such Debt by the City
Gross Revenues of the City's Drainage Utility System" and Gross Revenues"shall mean
all revenues, income, and receipts of every nature derived or received by the City from the
operation and ownership of the System, including the interest income from the investment or
deposit of money in any Fund created by this Ordinance, or maintained by the City in connection
with the System.
MAC" means the Municipal Advisory Council of Texas.
Maturity" when used with respect to any Debt means the date on which the principal of
such Debt or any installment thereof becomes due and payable as therein provided, whether at
the Stated Maturity thereof or by declaration of acceleration, call for redemption, or otherwise.
MSRB" shall mean the Municipal Securities Rulemaking Board.
Non-Recourse Debt" means any Debt secured by a lien (other than a lien on Gross
Revenues), liability for which is effectively limited to the property subject to such lien with no
recourse, directly or indirectly to any other property of the City attributable to the System,
provided, however that such Debt is being incurred in connection with the acquisition of
property only which property is not, at the time of such occurrence, owned by the City and being
used in the operations of the City
Officer's Certificate means a certificate executed by a Designated Financial Officer
Parity Bonds" shall mean the Series 2007 Bonds, the Bonds and all bonds and
obligations issued or incurred by the City that are determined and declared by the City Council
of the City to be on a parity with the Bonds, including Additional Bonds and obligations of the
11
City issued or ~ricurred under the terms of a Credit Agreement.
Paying Agent/Registrar" shall have the meaning as set forth in Section 5(a) hereof.
Purchaser" shall mean the purchasers named in Section 27 hereof.
Rule shall mean SEC Rule 15c2 12, as amended from time to time
SEC" shall mean the United States Securities and Exchange Commission.
Series 2007 Bonds" shall have the meaning as set forth m the preamble to this
Ordinance
Stated Maturity" when used with respect to any Debt or any installment of interest
thereon means any date specified in the instrument evidencing or authorizing such Debt or such
installment of interest as a fixed date on which the principal of such Debt or any installment
thereof or the fixed date on which such installment of interest is due and payable.
Subordinated Debt" or Subordinate Obligations" means any Debt which expressly
provides that all payments thereon shall be subordinated to the timely payment of all Parity
Bonds then outstanding or subsequently issued.
System shall mean and include the City's drainage utility system, together with all
future extensions, improvements, enlargements,
and additions thereto, and all replacements
thereof; provided that, notwithstanding the foregoing, and to the extent now or hereafter
authorized or permitted by law the term System shall not include any facilities which are
declared not to be a part of the System and which are acquired or constructed by the Crty with
the proceeds from the issuance of Special Facilities Bonds which are hereby defined as being
special revenue obligations of the City which are not secured by or payable from the Gross
Revenues as defined herein, but which are secured by and payable solely from special contract
revenues or payments received from any other legal entity in connection with such facilities, and
thus constitute Non-Recourse Debt, and such revenues or payments shall not be considered as or
constitute Gross Revenues of the System, unless and to the extent otherwise provided in the
ordinance or ordinances authorizing the issuance of such Special Facilities Bonds
Term Bonds" means those Panty Bonds so designated in the ordinances authorizing such
bonds which shall be subject to retirement by operation of the Mandatory Redemption Account
referred to in Section 10 hereof.
Term of Issue" means with respect to any Balloon Debt, a period of time equal to the
greater of (i) the period of time commencing on the date of issuance of such Balloon Debt and
ending on the final maturity date of such Balloon Debt or (ii) twenty-five years
Value of Investment Securities" and words of like import shall mean valuation at their
market value, excluding accrued interest, in accordance with the City's official investment policy
approved from time to time by the Crty Council
12
Section 8 PLEDGE That the Panty Bonds, and any interest payable thereon, are and
shall be secured by and payable from a first lien on and pledge of the Gross Revenues, and the
Gross Revenues are further pledged to the establishment and maintenance of the Debt Service
Fund as hereinafter provided. The Panty Bonds are and will be secured by and payable only
from the Gross Revenues, and are not secured by or payable from a mortgage or deed of trust on
any real, personal or mixed properties constituting the System.
Section 9 REVENUE FUND That there has been Created and established on the books
of the City and accounted for separate and apart from all other funds of the Crty a special
drainage utility fund entitled the City of Fort Worth, Texas, Drainage Utility System Revenue
Fund (hereinafter called the 'Revenue Fund') All Gross Revenues are and shall be credited to
the Revenue Fund immediately upon receipt. Moores in the Revenue Fund shall be maintained
at an official depository bank of the City
Section 10 DEBT SERVICE FUND (a) That for the sole purpose of paying the
principal of and interest on the Parity Bonds, as the same come due, there has been created and
established on the books of the Crty a separate fund entitled the 'City of Fort Worth, Texas,
Drainage Utility System Revenue Bonds Debt Service Fund (hereinafter called the 'Debt
Service Fund') Moores in the Debt Service Fund shall be maintained at an official depository
bank of the Crty
(b) That within the Debt Service Fund there is hereby established an account entitled
the 'City of Fort Worth, Texas Drainage Utility System Revenue Bonds Mandatory Redemption
Account" (the 'Mandatory Redemption Account"), into which shall be credited the Amortization
Installments which shall be used for the payment of the principal of Term Bonds as the same
shall come due, whether by maturity thereof or by redemption, through the operation of the
Mandatory Redemption Account.
Section 11 RESERVE FUND That the Crty reserves the right to establish and fund a
reserve fund for the benefit of the owners and holders of the Parity Bonds Any such reserve
fund so established shall be maintained in such amount as shall be determined by the Crty
Council, subject to the provisions of Section 24 of this Ordinance With respect to the Bonds, no
reserve fund shall be required to be established at the time of the delivery of the Bonds.
Section 12 DEPOSITS OF GROSS REVENUES, INVESTMENTS (a) That the
Gross Revenues shall be transferred from the Revenue Fund and deposited to the credit of the
Debt Service Fund when and as required by this Ordinance and by ordinances hereafter adopted
by the Crty Council of the City authorizing Parity Bonds.
(b) Moneys in any Fund or Account established pursuant to this Ordinance may at the
option of the City be placed or invested in Authorized Investments. The value of any such Fund
or Account shall be established by adding any money therein to the Value of Investment
Securities. The value of each such Fund or Account shall be established no less frequently than
annually as of the last Business Day of each Fiscal Year and in any event the value of each such
Fund and Account shall be established as of the last Business Day of the month preceding the
13
date the City Council adopts an ordinance authorizing the issuance and delivery of Parity Bonds.
Earnings derived from the investment of moneys on deposit in the various Funds and Accounts
shall be credited to the Revenue Fund.
Section 13 FUNDS SECURED That money in all Funds created by this Ordinance, to
the extent not invested, shall be secured m the manner prescribed by law for securing funds of
the City
Section 14 DEBT SERVICE REQUIItEMENTS (a) That promptly after the
delivery of the Bonds the City shall cause to be deposited to the credit of the Debt Service Fund
any accrued interest received from the sale and delivery of the Bonds, and any such deposit shall
be used to pay part of the interest next coming due on the Bonds.
(b} That the Crty shall transfer Gross Revenues from the Revenue Fund and deposit
to the credit of the Debt Service Fund the amounts, at the times, as follows
(1) such amounts, deposited in approximately equal monthly installments on
or before the last Business Day of each month hereafter commencing with the month
during which the Bonds are delivered, as will be sufficient, together with other amounts,
if any then on hand in the Debt Service Fund and available for such purpose, to pay the
interest scheduled to accrue and come due on the Bonds on the next succeeding interest
payment date;
(2) such amounts, deposited in approximately equal monthly installments on
or before the last Business Day of each month hereafter commencing with the month
dunng which the Bonds are delivered, as will be sufficient, together with other amounts,
if any then on hand in the Debt Service Fund and available for such purpose, to pay the
principal scheduled to mature and come due on the Bonds on the next succeeding
principal payment date, and
(3) such amounts, deposited in approximately equal monthly installments on
or before the last Business Day of each month hereafter commencing with the month
dunng which the Bonds are delivered, as will be sufficient, together with other amounts,
if any then on hand in the Debt Service Fund and available for such purpose, to pay the
Amortization Installments scheduled to come due on the Bonds on the next succeeding
mandatory sinking fund redemption payment date.
Section 15 DEFICIENCIES, ADDITIONAL USES FOR GROSS REVENUES (a)
That if on any occasion there shall not be sufficient Gross Revenues to make the required
deposits into the Debt Service Fund, then such deficiency shall be made up as soon as possible
from the next available Gross Revenues, or from any other sources available for such purpose.
(b) That, subject to making the required deposits to the credit of the Debt Service
Fund when and as required by this Ordinance, or any ordinance authorizing the issuance of
Parity Bonds, Gross Revenues may be used by the City for any lawful purpose not inconsistent
14
wrth the Act including, without limitation, paying the costs of operating and maintaining the
System.
Section 16 PAYMENT OF THE PARITY BONDS That on or before each date upon
which principal of or interest on any Panty Bonds are scheduled to be due and payable, while
any of the Parity Bonds are outstanding and unpaid, the City shall make available to the paying
agents therefor (including the Paying Agent/Registrar), out of the Debt Service Fund (if
necessary), money sufficient to pay such interest on and such principal of the Panty Bonds as
shall become due on such dates, respectively at maturity or by redemption prior to maturity
The aforesaid paying agents (including the Paying Agent/Registrar) shall furnish the Crty wrth an
appropriate certificate that such payments to the holder or owner thereof have been made when
due
Section 17 DEFAULT AND REMEDIES (a) Events of Default. That each of the
following occurrences or events for the purpose of this Ordinance is hereby declared to be an
Event of Default
(i) the failure to make payment of the principal of or interest on any of the Bonds
when the same becomes due and payable or
(ii) default in the performance or observance of any other covenant, agreement or
obligation of the Crty the failure to perform which materially adversely affects the rights
of the registered owners of the Bonds, including, but not limned to, their prospect or
ability to be repaid in accordance wrth this Ordinance, and the continuation thereof for a
period of sixty (60) days after notice of such default is given by any registered owner to
the Crty
(b) Remedies for Default.
(i) Upon the happening of any Event of Default, then and in every case, any
registered owner or an authorized representative thereof, including, but not limited to, a
trustee or trustees therefor may proceed against the Crty or any official, officer or
employee of the Crty in their official capacity for the purpose of protecting and enforcing
the rights of the registered owners under this Ordinance, by mandamus or other suit,
action or special proceeding in equity or at law in any court of competent jurisdiction,
for any relief permitted by law including the specific performance of any covenant or
agreement contained herein, or thereby to enjoin any act or thing that may be unlawful or
m violation of any right of the registered owners hereunder or any combination of such
remedies.
(ii) It is provided that all such proceedings shall be instituted and maintained for
the equal benefit of all registered owners of Bonds then outstanding.
(c) Remedies Not Exclusive.
(i) No remedy herein conferred or reserved is intended to be exclusive of any
15
other available remedy or remedies, but each and every such remedy shall be cumulative
and shall be m addition to every other remedy given hereunder or under the Bonds or
now or hereafter existing at law or in equrty• provided, however that notwithstanding any
other provision of this Ordinance, the right to accelerate the debt evidenced by the Bonds
shall not be available as a remedy under this Ordinance
(ii) The exercise of any remedy herein conferred or reserved shall not be deemed
a waiver of any other available remedy
(iii) By accepting the delivery of a Bond authorized under this Ordinance, such
registered owner agrees that the certifications required to effectuate any covenants or
representations contained in this Ordinance do not and shall never constitute or give rise
to a personal or pecuniary liability or charge against the officers, employees or members
of the Crty or the Crty Council.
(iv) None of the members of the Crty Council, nor any other official or officer
agent, or employee of the Crty shall be charged personally by the registered owners with
any liability or be held personally liable to the registered owners under any term or
provision of this Ordinance, or because of any Event of Default or alleged Event of
Default under this Ordinance.
Section 18 FINAL DEPOSITS, GOVERNMENTAL OBLIGATIONS (a) Defeased
Bonds. That any Bond and the interest thereon shall be deemed to be paid, retired and no longer
outstanding (a 'Defeased Bond') within the meaning of this Ordinance, except to the extent
provided in subsection (d) of this Section, when payment of the principal of such Bond, plus
interest thereon to the due date (whether such due date be by reason of maturity or otherwise)
either (i) shall have been made or caused to be made in accordance with the terms thereof, or (ii}
shall have been provided for on or before such due date by irrevocably depositing with or
making available to the Paying Agent/Registrar in accordance with an escrow agreement or other
instrument (the 'Future Escrow Agreement") for such payment (1) lawful money of the United
States of America sufficient to make such payment or (2) Defeasance Securities that mature as to
principal and interest in such amounts and at such times as will insure the availability without
reinvestment, of sufficient money to provide for such payment, and when proper arrangements
have been made by the Issuer with the Paying Agent/Registrar for the payment of its services
until all Defeased Bonds shall have become due and payable At such time as a Bond shall be
deemed to be a Defeased Bond hereunder as aforesaid, such Bond and the interest thereon shall
no longer be secured by payable from, or entitled to the benefits of, the pledge of Gross
Revenues as provided in this Ordinance, and such principal and interest shall be payable solely
from such money or Defeasance Securities. Notwithstanding any other provision of this
Ordinance to the contrary rt is hereby provided that any determination not to redeem Defeased
Bonds that is made in conjunction with the payment arrangements specified in subsection
18(a)(i) or (ii) shall not be irrevocable, provided that the Issuer (1) in the proceedings providing
for such payment arrangements, expressly reserves the right to call the Defeased Bonds for
redemption, (2) gives notice of the reservation of that right to the owners of the Defeased Bonds
immediately following the making of the payment arrangements, and (3) directs that notice of
the reservation be included in any redemption notices that rt authonzes
16
(b) Investment in Defeasance Securities. Any moneys so deposited with the Paying
Agent/Registrar may at the written direction of the Issuer be invested in Defeasance Securities,
maturing in the amounts and times as hereinbefore set forth, and all income from such
Defeasance Securities received by the Paying Agent/Registrar that is not required for the
payment of the Bonds and interest thereon, with respect to which such money has been so
deposited, shall be turned over to the Issuer or deposited as directed in wasting by the Issuer
Any Future Escrow Agreement pursuant to which the money and/or Defeasance Securities are
held for the payment of Defeased Bonds may contain provisions permitting the investment or
reinvestment of such moneys in Defeasance Securities or the substitution of other Defeasance
Securities upon the satisfaction of the requirements specified in subsection 18(a)(i) or (ii) All
income from such Defeasance Securities received by the Paying AgentlRegistrar which is not
required for the payment of the Defeased Bonds, with respect to which such money has been so
deposited, shall be remitted to the Issuer or deposited as directed in writing by the Issuer
(c) Defeasance Securities Defined. The term 'Defeasance Securities" means (i)
direct, noncallable obligations of the United States of America, including obligations that are
unconditionally guaranteed by the United States of America, (ii) noncallable obligations of an
agency or instrumentality of the United States of America, including obligations that are
unconditionally guaranteed or insured by the agency or instrumentality and that, on the date of
the purchase thereof are rated as to investment quality by a nationally recognized investment
rating firm not less than AAA or its equivalent, and (iii) noncallable obligations of a state or an
agency or a county municipality or other political subdivision of a state that have been refunded
and that, on the date on the date the governing body of the Issuer adopts or approves the
proceedings authorizing the financial arrangements are rated as to investment quality by a
nationally recognized investment rating firm not less than AAA or its equivalent.
(d) Pa,~ing1A eng t/Reg_istrar Services. Until all Defeased Bonds shall have become
due and payable, the Paying AgentlRegistrar shall perform the services of Paying
Agent/Registrar for such Defeased Bonds the same as if they had not been defeased, and the
Issuer shall make proper arrangements to provide and pay for such services as required by this
Ordinance
(e) Selection of Bonds for Defeasance. In the event that the Issuer elects to defease
less than all of the principal amount of Bonds of a maturity the Paying Agent/Registrar shall
select, or cause to be selected, such amount of Bonds by such random method as it deems fair
and appropnate.
Section 19 ADDITIONAL BONDS (a) Parity Bonds. That the City reserves and shall
have the right and power to issue or incur Parity Bonds for any purpose authorized by law
pursuant to the provisions of this Ordinance and any ordinance hereafter adopted authorizing the
issuance or incurrence of Parity Bonds The City may issue, incur or otherwise become liable in
respect of any Parity Bonds if a Designated Financial Officer shall deliver to the City a
certificate stating that, to the best knowledge thereof, (i) the City is in compliance with all
covenants contained in this Ordinance and any ordinance hereafter adopted authorizing the
issuance or incurrence of Parity Bonds, is not in default in the performance and observance of
17
any of the terns, provisions and conditions hereof and thereof, and the Funds and Accounts
securing the Panty Bonds then outstanding contain the amount then required to be therein, and
(ii) the Gross Revenues for the preceding Fiscal Year or for twelve consecutive months out of
the fifteen months immediately preceding, the dated date of such proposed Panty Bonds, are at
least equal to 1 50 times the Annual Debt Service Requirements of the Parity Bonds to be
outstanding after the issuance of the then proposed Parity Bonds for the Fiscal Year during
which such Annual Debt Service Requirements are scheduled to be the greatest. For purposes of
this subsection (a), if Parity Bonds are issued to refund less than all of the Parity Bonds then
outstanding, the certification required by clause (ii) above shall give effect to the issuance of the
proposed refunding Panty Bonds (and shall not give effect to the Parity Bonds being refunded
following their cancellation or provision being made for their payment)
(b) Reserve Fund. Should a reserve fund be hereafter established m connection with the
issuance of Parity Bonds, the City shall deposit to the credit of such reserve fund such amounts,
at such times, and in such manner as shall be provided by ordinance adopted by the Crty Council
establishing such reserve fund.
(c) Non-Recourse Debt and Subordinate Obli atg ions. Non-Recourse Debt and
Subordinate Obligations may be incurred without limitation by the Crty upon passage of an
ordinance by the Crty Council of the Crty for the purpose of approving the issuance of Non-
Recourse Debt or Subordinate Obligations, as the case may be, and approval of such Non-
Recourse Debt or Subordinate Obligations by the Attorney General of Texas, to the extent
required by law
(d) Credit Agreements Payments to be made under a Credit Agreement may be treated
as a payment in respect of a Parity Bond and secured by Gross Revenues if the governing body
of the Crty makes a finding in the ordinance authonzing the execution and delivery of a Credit
Agreement as a Panty Bond that, based upon the findings contained in a certificate executed and
delivered by a Designated Financial Officer the Crty will have sufficient funds to meet the
financial obligations of the System, including sufficient Gross Revenues to satisfy the Annual
Debt Service Requirements of the System and the financial obligations of the Crty relating to the
System after giving effect to the treatment of the Credit Agreement as a Panty Bond. The
payment obligations incurred by the City under a Credit Agreement shall not be treated as a
Parity Bond unless the form of such Credit Agreement is approved by ordinance adopted by the
City Council.
(e) Determination of Gross Revenues. In making a determination of Gross Revenues for
any of the purposes described in this Section, including, without limitation, subsection (a) of this
Section, the Designated Financial Officer may take into consideration a change m the rates and
charges for services and facilities afforded by the System that became effective at least thirty
(30) days prior to the last day of the penod for which Gross Revenues are determined and, for
purposes of satisfying the Gross Revenues test described in subsection (a) above, make a pro
forma determination of the Gross Revenues of the System for the penod of time covered by the
Designated Financial Officer's certification based on such change in rates and charges being in
effect for the entire period covered by the Designated Financial Officer's certificate
18
Section 20 APPROVAL BY ATTORNEY GENERAL That to the extent required by
the laws of the State of Texas, no Parity Bonds shall be delivered by the City until the approval
of the Attorney General of Texas has been obtained.
Section 21 GENERAL COVENANTS That the City further covenants and agrees that
in accordance with and to the extent required or permitted by law
(a) Performance. It will faithfully perform at all times any and all covenants,
undertakings, stipulations, and provisions contained in this Ordinance, and each ordinance
authorizing the issuance of Parity Bonds, and in each and every Parity Bond, it will promptly pay
or cause to be paid the principal of and interest on every Parity Bond, on the dates and in the
places and manner prescribed in such ordinances and Parity Bonds and rt will, at the times and
in the manner prescribed, deposit or cause to be deposited the amounts required to be deposited
into the Debt Service Fund, and any holder of the Parity Bonds may require the City its officials
and employees to carry out, respect or enforce the covenants and obligations of this Ordinance,
or any ordinance authorizing the issuance of Additional Bonds, by all legal and equitable means,
including specifically but without limitation, the use and filing of mandamus proceedings, in any
court of competent jurisdiction, against the City its officials and employees.
(b) Crtv's Legal Authority It is a duly created and existing home rule city of the
State of Texas, and is duly authorized under the laws of the State of Texas to create and issue the
Bonds, that all action on its part for the creation and issuance of the Bonds has been duly and
effectively taken, and that the Bonds in the hands of the holders and owners thereof are and will
be valid and enforceable special obligations of the City in accordance with their terms.
(c) Title It has or will obtain lawful title to the lands, buildings, structures and
facilities constituting the System, that rt warrants that rt will defend the title to ail the aforesaid
lands, buildings, structures and facilities, and every part thereof, for the benefit of the holders
and owners of the Parity Bonds, against the claims and demands of all persons whomsoever that
it is lawfully qualified to pledge the Gross Revenues to the payment of the Panty Bonds in the
manner prescribed herein, and has lawfully exercised such rights.
(d) Liens It will from time to time and before the same become delinquent pay and
discharge all taxes, assessments and governmental charges, if any which shall be lawfully
imposed upon rt, or the System, rt will pay all lawful claims for rents, royalties, labor materials,
and supplies which if unpaid might by law become a lien or charge thereon, the lien of which
would be prior to or interfere with the liens hereof, so that the priority of the liens granted
hereunder shall be fully preserved in the manner provided herein, and rt will not create or suffer
to be created any mechamc's, laborer's, materialman s or other lien or charge which might or
could be prior to the liens hereof, or do or suffer any matter or thing whereby the liens hereof
might or could be impaired, provided, however that no such tax, assessment or charge, and that
no such claims which might be used as the basis of a mechanic's, laborer's, matenalman's or
other lien or charge, shall be required to be paid so long as the validity of the same shall be
contested in good faith by the City
19
(e) Operation of System; No Free Service It will, while the Parity Bonds are
outstanding and unpaid, continuously and efficiently operate the System, and shall maintain the
System in good condition, repair and working order all at reasonable cost. No free service of the
System shall be allowed, and should the City or any of its agencies or instrumentalities make use
of the services and facilities of the System, payment of the reasonable value shall be made by the
City out of funds from sources other than the revenues of the System, unless made from Gross
Revenues as permitted In Section 16(b) hereof
(f) Further Encumbrance. It, while any Parity Bonds are outstanding and unpaid,
will not additionally encumber the Gross Revenues In any manner except as permitted In this
Ordinance In connection with Parity Bonds, unless said encumbrance is made junior and
subordinate In all respects to the liens, pledges, covenants and agreements of this Ordinance but
the right of the City to issue revenue bonds payable from a subordinate lien on the Gross
Revenues Is specifically recognized and retained.
(g) Sale or Dls~osal of Property It, while the Panty Bonds are outstanding and
unpaid, will not sell, convey mortgage, encumber lease or in any manner transfer title to, or
otherwise dispose of the System, or any significant or substantial part thereof; provided, that
whenever the Clty deems It necessary to dispose of any other property machinery fixtures or
equipment, It may sell or otherwise dispose of such property machinery fixtures or equipment
when It has made arrangements to replace the same or provide substitutes therefor unless It Is
determined that no such replacement or substitute is necessary Proceeds from any sale
hereunder not used to replace or provide for substitution of such property sold, shall be used for
improvements to the System or to purchase or redeem Parity Bonds.
(h) Insurance. (1) Except as otherwise permitted in clause (2} below the Crty shall
insure such parts of the System as would usually be insured by corporations operating like
properties, with responsible insurance companies, against loss to the extent insurance is usually
Gamed by corporations operating like properties. To the extent reasonably obtainable, rt shall
include insurance against the penis of fire, extended coverage and flood. At any time while any
contractor engaged in construction work shall be fully responsible therefor the Crty shall not be
required to carry insurance on the work being constructed If the contractor Is required to carry
appropriate insurance All such policies shall be open to the inspection of the bondholders and
their representatives at all reasonable times.
(2) In lieu of obtaining policies for insurance as provided above, the Crty may self-insure
against risks, accidents, claims or casualties of the nature described in clause (1) above.
(3) The annual audit hereinafter required shall contain a section commenting on whether
the Crty has complied with the requirements of this subsection, and listing the areas of insurance
for which the Crty Is insuring, all policies carried, and whether all Insurance premiums upon the
insurance policies to which reference is hereinbefore made have been paid.
(i) Rate Covenant. The Clty Council of the City will fix, establish, maintain and
collect such rates, charges and fees for the use and availability of the System at all times as are
necessary to produce Gross Revenues sufficient (1) to produce Gross Revenues for each Fiscal
20
Year at least equal to 1 25 times the Annual Debt Service Requirements of all then outstanding
Parity Bonds for the Fiscal Year during which such Annual Debt Service Requirements are
scheduled to be the greatest, (2) to pay all current operation and maintenance expenses of the
System, and (3) to pay all other obligations of the System reasonably anticipated to be paid from
Gross Revenues during the current Fiscal Year
(j) Records. It will keep proper books of record and account in which full, true and
correct entrees will be made of all dealings, activities and transactions relating to the System, the
Gross Revenues and the Funds and Accounts created pursuant to this Ordinance, and all books,
documents and vouchers relating thereto shall at all reasonable times be made available for
inspection upon request of any bondholders.
(k) Audits After the close of each Fiscal Year while any Parity Bonds are
outstanding, an audit will he made by an Accountant of the books and accounts relating to the
System and the Gross Revenues. As soon as practicable after the close of each such Fiscal Year
and when said audit has been completed and made available to the City a copy of such audit for
the preceding Fiscal Year shall be mailed to the MAC and to any holder of 5% or more in
aggregate principal amount of then outstanding Parity Bonds who shall so request in wasting.
Such annual audit reports shall be open to the inspection of the bondholders and their agents and
representatives at all reasonable times.
(1) Governmental A eg ncies. It will comply with all of the terms and conditions of
any and all franchises, permits and authonzations applicable to or necessary with respect to the
System, and which have been obtained from any governmental agency and the City has or will
.obtain and keep in full force and effect all franchises, permits, authorization and other
requirements applicable to or necessary with respect to the acquisition, construction, equipment,
operation and maintenance of the System.
(m) No Competition. It will not grant any franchise or permit for the acquisition,
construction or operation of any competing facilities which might be used as a substitute for the
Systems facilities, and, to the extent that rt legally may the Crty will prohibit any such
competing facilities.
Section 22 AMENDMENT OF ORDINANCE (a) That the holders of the Parity
Bonds aggregating in principal amount a maJorrty of the aggregate pnncipal amount of then
outstanding Parity Bonds shall have the right from time to time to approve any amendment to
this Ordinance which may be deemed necessary or desirable by the Crty provided, however that
without the consent of the holders of all of the Parity Bonds at the time outstanding, nothing
herein contained shall permit or be construed to permit the amendment of the terms and
conditions in this Ordinance or in the Panty Bonds so as to
(1) Make any change in the maturity of the outstanding Panty Bonds
(2) Reduce the rate of interest borne by any of the outstanding Parity Bonds,
(3) Reduce the amount of the principal payable on the outstanding Parity Bonds,
21
(4) Modify the teens of payment of principal of or interest on the outstanding Panty
Bonds or impose any conditions with respect to such payment;
(5) Affect the rights of the holders of less than all of the Parity Bonds then
outstanding; or
(6) Change the minimum percentage of the principal amount of Parity Bonds
necessary for consent to such amendment.
(b) That if at any time the Crty shall desire to amend the Ordinance under this
Section, the City shall cause notice of the proposed amendment to be published in a financial
newspaper or journal published m The Crty of New York, New York, once during each calendar
week for at least two successive calendar weeks provided, however that the publication of such
notice shall not constitute a condition precedent to the adoption of such amendatory ordinance
and the failure to publish such notice shall not adversely affect the implementation of such
amendment as adopted pursuant to such amendatory ordinance. Such notice shall briefly set
forth the nature of the proposed amendment and shall state that a copy thereof is on file at the
principal office of the Paying Agent/Registrar for inspection by all holders of Parity Bonds.
Such publication is not required, however if notice m wasting is given to each holder of Panty
Bonds.
(c) That whenever at any time not less than thirty days, and within one year from the
date of the first publication of said notice or other service of written notice the Crty shall receive
an instrument or instruments executed by the holders of at least a ma}orrty m aggregate principal
amount of all Parity Bonds then outstanding, which instrument or instruments shall refer to the
proposed amendment described in said notice and which specifically consent to and approve
such amendment m substantially the form of the copy thereof on file with the Paying
Agent/Registrar the Crty Council may pass the amendatory ordinance in substantially the same
form.
(d) That upon the passage of any amendatory ordinance pursuant to the provisions of
this Section, this Ordinance shall be deemed to be amended in accordance with such amendatory
ordinance, and the respective rights, duties and obligations under this Ordinance of the Crty and
all the holders of then outstanding Parity Bonds shall thereafter be determined, exercised and
enforced hereunder sub}ect in all respects to such amendments.
(e) That any consent given by the holder of a Parity Bond pursuant to the provisions
of this Section shall be irrevocable for a period of six months from the date of the first
publication of the notice provided for in this Section, and shall be conclusive and binding upon
all future holders of the same Parity Bond dunng such period. Such consent may be revoked at
any time after six months from the date of the first publication of such notice by the holder who
gave such consent, or by a successor in title, by filing notice thereof with the Paying
Agent/Registrar therefor and the City but such revocation shall not be effective if the holders of
a majority in aggregate principal amount of the then outstanding Parity Bonds as in this Section
defined have, prior to the attempted revocation, consented to and approve the amendment.
22
(f) For the purposes of this Section, the ownership and other matters relating to all
Parity Bonds registered as to ownership shall be determined from the registration books kept by
the Paying Agent/Registrar therefor The Paying AgentlRegistrar may conclusively assume that
such ownership continues until written notice to the contrary is served upon the Paying
Agent/Registrar For purposes of this Section, the notional amount attributable to a Credit
Agreement that is treated as a Panty Bond shall be deemed to be the principal amount of such
Parity Bond.
(g) The foregoing provisions of this Section notwithstanding, the Crty by action of
the City Council may amend this Ordinance for any one or more of the following purposes
(1) To add to the covenants and agreements of the City in this Ordinance
contained, other covenants and agreements thereafter to be observed, grant additional
rights or remedies to bondholders or to surrender restrict or limit any right or power
herein reserved to or conferred upon the City•
(2) To make such provisions for the purpose of curing any ambiguity or
curing, correcting or supplementing any defective provision contained in this Ordinance,
or in regard to clarifying matters or questions arising under this Ordinance, including,
without limitation, those matters described in Section 26(c)(v} hereof, as are necessary or
desirable and not contrary to or inconsistent with this Ordinance and which shall not
adversely affect the interests of the holders of the Parity Bonds, or
(3) To modify any of the provisions of this Ordinance in any other respect
whatever provided that (i) such modification shall be, and be expressed to be, effective
only after all previously issued Parity Bonds outstanding at the date of the adoption of
such modification shall cease to be outstanding, and (ii) such modification shall be
specifically referred to in the text of all Additional Bonds issued after the date of the
adoption of such modification.
Section 23 DAMAGED MUTILATED LOST STOLEN OR DESTROYED
BONDS (a) That in the event any outstanding Bond is damaged, mutilated, lost, stolen, or
destroyed, the Paying Agent/Registrar shall cause to be printed, executed, and delivered, a new
bond of the same principal amount, matunty and interest rate, as the damaged, mutilated, lost,
stolen, or destroyed Bond, in replacement for such Bond in the manner hereinafter provided.
(b) Application for replacement of damaged, mutilated, lost, stolen, or destroyed
Bonds shall be made to the Paying Agent/Registrar In every case of loss, theft, or destruction of
a Bond, the applicant for a replacement bond shall furnish to the City and to the Paying
Agent/Registrar such security or indemnity as may be required by them to save each of them
harmless from any loss or damage with respect thereto Also in every case of loss, theft, or
destruction of a Bond, the applicant shall furnish to the City and to the Paying Agent/Registrar
evidence to their satisfaction of the loss, theft, or destruction of such Bond, as the case may be.
In every case of damage or mutilation of a Bond, the applicant shall surrender to the Paying
Agent/Registrar for cancellation the Bond so damaged or mutilated.
23
(c) Notwithstanding the foregoing provisions of this Section, in the event any such
Bond shall have matured, and no default has occurred which is then continuing in the payment of
the principal of, redemption premium, if any or interest on the Bond, the Crty may authorize the
payment of the same (without surrender thereof except in the case of a damaged or mutilated
Bond) instead of issuing a replacement Bond, provided security or indemnity is furnished as
above provided in this Section.
(.d) Prior to the issuance of any replacement bond, the Paying Agent/Registrar shall
charge the owner of such Bond with all legal, printing, and other expenses in connection
therewith. Every replacement bond issued pursuant to the provisions of this Section by virtue of
the fact that any Bond is lost, stolen, or destroyed shall constitute a contractual obligation of the
Crty whether or not the lost, stolen or destroyed Bond shall be found at any time, or be
enforceable by anyone, and shall be entitled to all the benefits of this Ordinance equally and
proportionately with any and all other Bonds duly issued under this Ordinance
(e) In accordance with Chapter 1206 Texas Government Code, this Section of this
Ordinance shall constitute authority for the issuance of any such replacement bond without
necessity of further action by the governing body of the City or any other body or person, and the
duty of the replacement of such bonds is hereby authorized and imposed upon the Paying
Agent/Registrar and the Paying Agent/Registrar shall authenticate and deliver such bonds in the
form and manner and with the effect, as provided in Section 5(d) of this Ordinance for Bonds
issued in exchange for other Bonds.
Section 24 TAX COVENANTS That the Issuer covenants to refrain from any action
which would adversely affect, or to take any action to assure, the treatment of the Bonds as
obligations described in section 103 of the Code, the interest on which is not includable in the
gross income of the holder for purposes of federal income taxation. In furtherance thereof, the
Issuer covenants as follows
(a) to take any action to assure that no more than 10 percent of the proceeds
of the Bonds or the projects financed therewith (less amounts deposited to a reserve fund,
if any) are used for any 'pnvate business use as defined in section 141(b)(6) of the
Code or if more than 10 percent of the proceeds are so used, that amounts, whether or
not received by the Issuer with respect to such pnvate business use, do not, under the
terms of this Ordinance or any underlying arrangement, directly or indirectly secure or
provide for the payment of more than 10 percent of the debt service on the Bonds, in
contravention of section 141(b)(2) of the Code;
(b) to take any action to assure that in the event that the 'private business use
described in subsection (a) hereof exceeds 5 percent of the proceeds of the Bonds or the
projects financed therewith (less amounts deposited into a reserve fund, if any) then the
amount in excess of 5 percent is used fora 'private business use which is 'related and
not disproportionate within the meaning of section 141(b)(3) of the Code, to the
governmental use
24
(c) to take any action to assure that no amount which is greater than the lesser
of $5 000 000 or 5 percent of the proceeds of the Bonds (less amounts deposited into a
reserve fund, if any), is directly or indirectly used to finance loans to persons, other than
state or local governmental units, in contravention of section 141(c) of the Code,
(d) to refrain from taking any action which would otherwise result in the
Bonds being treated as 'private activity bonds within the meaning of section 141(a) of
the Code;
(e) to refrain from taking any action that would result in the Bonds being
federally guaranteed within the meaning of section 149(b) of the Code,
(f) to refrain from using any portion of the proceeds of the Bonds, directly or
indirectly to acquire or to replace funds which were used, directly or indirectly to
acquire investment property (as defined in section 148(b)(2) of the Code) which produces
a materially higher yield over the term of the Bonds, other than investment property
acquired with
(1) proceeds of the Bonds invested for a reasonable temporary period
until such proceeds are needed for the purpose for which the bonds are issued,
(2) amounts invested in a bona fide debt service fund, within the
meaning of section 1 148-1(b) of the Treasury Regulations, and
(3) amounts deposited in any reasonably required reserve or
replacement fund to the extent such amounts do not exceed 10 percent of the
proceeds of the Bonds,
(g) to otherwise restrict the use of the proceeds of the Bonds or amounts
treated as proceeds of the Bonds, as may be necessary so that the Bonds do not otherwise
contravene the requirements of section 148 of the Code (relating to arbitrage) and, to the
extent applicable, section 149(d) of the Code (relating to advance refundings) and
(h) to pay to the United States of America at least once during each five-year
period (beginning on the date of delivery of the Bonds) an amount that is at least equal to
90 percent of the 'Excess Earnings within the meaning of section 148(f) of the Code
and to pay to the United States of America, not later than 60 days after the Bonds have
been paid in full, 100 percent of the amount then required to be paid as a result of Excess
Earnings under section 148(f) of the Code
The Issuer understands that the term 'proceeds includes disposition proceeds as defined in the
Treasury Regulations and, in the case of a refunding bond, transferred proceeds (if any) and
proceeds of the refunded bonds expended prior to the date of the issuance of the Bonds. It is the
understanding of the Issuer that the covenants contained herein are intended to assure
compliance with the Code and any regulations or rulings promulgated by the U S Department of
the Treasury pursuant thereto In the event that regulations or rulings are hereafter promulgated
25
which modify or expand provisions of the Code, as applicable to the Bonds, the Issuer will not
be required to comply with any covenant contained herein to the extent that such failure to
comply in the opinion of nationally recognized bond counsel, will not adversely affect the
exemption from federal income taxation of interest on the Bonds under section 103 of the Code.
In the event that regulations or rulings are hereafter promulgated which impose additional
requirements which are applicable to the Bonds, the Issuer agrees to comply with the additional
requirements to the extent necessary in the opinion of nationally-recognized bond counsel, to
preserve the exemption from federal income taxation of interest on the Bonds under section 103
of the Code. In furtherance of the foregoing, any of the Mayor the Crty Manager the Chief
Financial Officer of the City any Assistant Crty Manager and the Director of Finance may
execute any certificates or other reports required by the Code and to make such elections, on
behalf of the Crty which may be permitted by the Code as are consistent with the purpose for the
issuance of the Bonds. In order to facilitate compliance with the above clause (h), a 'Rebate
Fund is hereby established by the City for the sole benefit of the United States of America, and
such Rebate Fund shall not be subject to the claim of any other person, including without
limitation the registered owners of the Bonds. The Rebate Fund is established for the additional
purpose of compliance with section 148 of the Code.
Section 25 ALLOCATION OF AND LIMITATION ON EXPENDITURES FOR
THE PROJECT DISPOSITION OF PROJECT (a) That the Crty covenants to account for
on its books and records the expenditure of proceeds from the sale of the Bonds and any
investment earnings thereon to be used for the purposes described m Section 1 of this Ordinance
(such purposes referred to herein and subsection (b) of this Section as a 'Project") m accordance
with the requirements of the Code. The Crty recognizes that in order for the proceeds to be
considered used for the reimbursement of costs, the proceeds must be allocated to expenditures
within eighteen (18) months of the later of the date that (a) the expenditure on a Project is made
or (b) each such Project is completed, but in no event later than three years after the date on
which the original expenditure is paid. The foregoing notwithstanding, the City recognizes that
in order for proceeds to be expended under the Code, the sale proceeds or investment earnings
must be expended no more than sixty (60) days after the earlier of (a) the fifth anniversary of the
date of delivery of the. Bonds or (b) the date the Bonds are retired. The City agrees to obtain the
advice of anationally-recognized bond counsel if such expenditure fails to comply with the
foregoing to assure that such expenditure will not adversely affect the tax-exempt status of the
Bonds. For purposes of this Section, the City shall not be obligated to comply with this covenant
if it obtains an opinion of anationally-recognized bond counsel to the effect that such failure to
comply will not adversely affect the excludability for federal income tax purposes from gross
income of the interest.
(b) That the City covenants that the property constituting the Project will not be sold or
otherwise disposed in a transaction resulting in the receipt by the Crty of cash or other
compensation, unless the Crty obtains an opinion of anationally-recognized bond counsel
substantially to the effect that such sale or other drsposrtion will not adversely affect the tax
exempt status of the Bonds. For purposes of this Section, the portion of the property compnsmg
personal property and disposed of in the ordinary course of business shall not be treated as a
transaction resulting in the receipt of cash or other compensation. For purposes of this Section,
the Crty shall not be obligated to comply with this covenant if rt obtains an opinion of a
26
nationally-recognized bond counsel to the effect that such failure to comply will not adversely
affect the excludability for federal income tax purposes from gross income of the interest.
Section 26 CONTINUING DISCLOSURE UNDERTAKING (a) Annual Reports.
(i) That the Crty shall provide annually to the MSRB within six months after the end of each
Fiscal Year ending in or after 2009 financial information and operating data with respect to the
City of the general type described in Exhibit B hereto Any financial statements so to be
provided shall be (1) prepared in accordance with the accounting principles described m Exhibit
B hereto or such other accounting principles as the Crty may be required to employ from time to
time pursuant to state law or regulation, and (2) audited, if the Crty commissions an audit of such
statements and the audit is completed within the period during which they must be provided. If
the audit of such financial statements is not complete within such period, then the Crty shall
provide unaudited financial statements by the required time and will provide audited financial
statements for the applicable Fiscal Year to the MSRB when and if the audit report on such
statements become available.
(ii) If the Crty changes its Fiscal Year it will notify the MSRB of the change (and of the
date of the new Fiscal Year end) pnor to the next date by which the Crty otherwise would be
required to provide financial information and operating data pursuant to this Section. The
financial information and operating data to be provided pursuant to this Section may be set forth
in full in one or more documents or may be included by specific reference to any document
(including an official statement or other offering document, if it is available from the MSRB)
that theretofore has been provided to the MSRB or filed with the SEC Filings shall be made
electronically in such format as shall be prescribed by the MSRB
(b) Material Event Notices. The City shall notify the MSRB in a timely manner of any
of the following events with respect to the Bonds, if such event is material within the meaning of
the federal securities laws
1 Principal and interest payment delinquencies,
2 Non-payment related defaults
3 Unscheduled draws on debt service reserves reflecting financial
difficulties,
4 Unscheduled draws on credit enhancements reflecting financial
difficulties;
5 Substitution of credit or liquidity providers, or their failure to perform,
6 Adverse tax opinions or events affecting the tax-exempt status of the
Bonds,
7 Modifications to rights of holders of the Bonds,
8 Bond calls
9 Defeasances,
10 Release, substitution, or sale of property securing repayment of the Bonds,
and
11 Rating changes
The City shall notify the MSRB in a timely manner of any failure by the City to provide
27
financial information or operating data in accordance with subsection (a) of this Section by the
time required by such subsection.
(c) Limitations Disclaimers. and Amendments (i) The Crty shall be obligated to
observe and perform the covenants specified in this Section for so long as, but only for so long
as, the Crty remains an obligated person with respect to the Bonds within the meaning of the
Rule, except that the City m any event will give notice of any deposit made in accordance with
this Ordinance or applicable law that causes Bonds no longer to be outstanding.
(ii) The provisions of this Section are for the sole benefit of the holders and beneficial
owners of the Bonds, and nothing m this Section, express or implied, shall give any benefit or
any legal or equitable right, remedy or claim hereunder to any other person. The City
undertakes to provide only the financial information, operating data, financial statements, and
notices which rt has expressly agreed to provide pursuant to this Section and does not hereby
undertake to provide any other information that may be relevant or material to a complete
presentation of the City's financial results, condition, or prospects or hereby undertake to update
any information provided in accordance with this Section or otherwise, except as expressly
provided herein. The Crty does not make any representation or warranty concerning such
mformatzon or its usefulness to a decision to invest in or sell Bonds at any future date.
(iii) UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE
HOLDER OR BENEFICIAL OWNER OF ANY BOND OR ANY OTHER PERSON IN
CONTRACT OR TORT FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM
ANY BREACH BY THE CITY WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS
PART OF ANY COVENANT SPECIFIED 1N THIS SECTION BUT EVERY RIGHT AND
REMEDY OF ANY SUCH PERSON IN CONTRACT OR TORT FOR OR ON ACCOUNT
OF ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR
SPECIFIC PERFORMANCE.
(iv) No default by the Crty in observing or performing its obligations under this Section
shall comprise a breach of or default under this Ordinance for purposes of any other provision of
this Ordinance. Nothing in this Section is ,intended or shall act to disclaim, waive, or otherwise
limit the duties of the City under federal and state securities laws.
(v) Should the Rule be amended to obligate the City to make filings with or provide
notices to entities other than the MSRB the City agrees to undertake such obligation in
accordance with the Rule as amended.
(vi) The provisions of this Section may be amended by the Crty from time to time to
adapt to changed circumstances that arise from a change in legal requirements, a change in law
or a change in the identity nature, status, or type of operations of the Crty but only if (1) the
provisions of this Section, as so amended, would have permitted an underwriter to purchase or
sell Bonds in the primary offering of the Bonds in compliance with the Rule, taking into account
ariy amendments or interpretations of the Rule since such offering as well as such changed
circumstances and (2) either (a) the holders of a ma~orrty in aggregate principal amount (or any
greater amount required by any other provision of this Ordinance that authorizes such an
28
amendment) of the outstanding Bonds consent to such amendment or (b) a person that is
unaffiliated with the Crty (such as nationally recognized bond counsel) determines that such
amendment will not materially impair the interest of the holders and beneficial owners of the
Bonds. If the City so amends the provisions of this Section, rt shall include with any amended
financial information or operating data next provided m accordance with subsection (a) of this
Section an explanation, in narrative form, of the reason for the amendment and of the impact of
any change m the type of financial information or operating data so provided. The City may also
amend or repeal the provisions of this continuing disclosure agreement if the SEC amends or
repeals the applicable provision of the Rule or a court of final jurisdiction enters judgment that
such provisions of the Rule are invalid, but only if and to the extent that the provisions of this
sentence would not prevent an underwriter from lawfully purchasing or selling Bonds in the
primary offering of the Bonds.
Section 27 SALE OF BONDS That the sale of the Bonds to ,and
associates (the 'Purchaser"), at a puce of par and accrued interest on the Bonds to the date of
delivery is authorized, ratified and confirmed. The Bonds were sold pursuant to the terms of a
'Notice of Sale and Bidding Instructions 'Official Bid Form and Official Statement" the use
of these documents, a true and correct copy of each document being attached to this Ordinance,
is approved. The City Council hereby finds, determines and declares that the Bonds were sold to
the highest bidder at terms that were the most advantageous reasonably obtained. One Bond in
the principal amount maturing on each maturity date as set out in Section 2 of this Ordinance
shall be delivered to the Purchaser and the Purchaser shall have the right to exchange such
certificates as provided in Section 5 of this Ordinance without cost. The Crty Council ratifies use
of the 'Preliminary Official Statement" prepared in connection with the sale of the Bonds.
Section 28 APPROVAL AND REGISTRATION OF BONDS That the Crty
Manager of the Crty is hereby authorized to have control of the Bonds and all necessary records
and proceedings pertaining to the Bonds pending their delivery and their investigation,
examination and approval by the Attorney General of the State of Texas, and their registration by
the Comptroller of Public Accounts of the State of Texas. Upon registration of the Bonds, the
Comptroller of Public Accounts (or a deputy designated in venting to act therefor) shall manually
sign the Comptroller's Registration Certificate The Bonds thus registered shall remain m the
custody of the City Manager (or the designee thereof) until delivered to the Purchaser The Crty
Council hereby authorizes the payment of the fee of the Office of the Attorney General of the
State of Texas for the examination of the proceedings relating to the issuance of the Bonds, in the
amount determined to accordance with the provisions of Section 1202 004 Texas Government
Code
~ Section 29 FURTHER PROCEDURES That the Crty Manager any Assistant City
Manager and all other officers, employees, and agents of the City and each of them, shall be
and they are hereby expressly authorized, empowered, and directed from time to time and at any
time to do and perform all such acts and things and to execute, acknowledge, and deliver in the
name and under the corporate seal and on behalf of the City all such instruments, whether or not
herein mentioned, as may be necessary or desirable in order to carry out the terms and provisions
of this Ordinance, and the sale and delivery of the Bonds and fixing all details in connection
therewith.
29
Section 30 USE OF PROCEEDS. That the proceeds from the sale of the Bonds shall
be used for the System in the manner described m the letter of instructions executed by the City
or by rts financial advisor on behalf of the City provided, that any accrued interest received from
the sale of the Bonds shall be deposited to the Debt Service Fund, and any proceeds representing
premium on the Bonds shall be used in a manner consistent with the provisions of Section
1201 042(d), Texas Government Code
Section 31 PREAMBLE That the preamble to this Ordinance is incorporated by
reference and made a part hereof for all purposes.
Section 32 MISCELLANEOUS PROVISIONS (a) Titles Not Restrictive. That the
titles assigned to the various sections of this Ordinance are for convenience only and shall not be
considered restnctive of the subject matter of any section or of any part of this Ordinance.
(b) Rules of Construction. The words 'herein 'hereof' and hereunder" and other
words of similar import refer to this Ordinance as a whole and not to any particular Section or
other subdivision. Except where the context otherwise requires, terms defined m this Ordinance
to impart the singular number shall be considered to include the plural number and vice versa.
References to any named person means that party and rts successors and assigns. References to
any constitutional, statutory or regulatory provision means such provision as rt exists on the date
this Ordinance is adopted by the City and any future amendments thereto or successor provisions
thereof. Any reference to 'FORM O.F BOND" shall refer to the form of the Bonds set forth in
Exhibit A to this Ordinance. Any reference to the payment of principal in this Ordinance shall
be deemed to include the payment of any Amortization Installments as may be described herein.
(c) Inconsistent Provisions All ordinances, orders and resolutions, or parts thereof,
which are in conflict or inconsistent with any provision of this Ordinance are hereby repealed
and declared to be inapplicable, and the provisions of this Ordinance shall be and remain
controlling as to the matters prescribed herein.
(d) Severability If any word, phrase, clause, paragraph, sentence, part, portion, or
provision of this Ordinance or the application thereof to any person or circumstance shall be held
to be invalid, the remainder of this Ordinance shall nevertheless be valid and the City hereby
declares that this Ordinance would have been enacted without such invalid word, phrase, clause,
paragraph, sentence, part, portion, or provisions.
(e) GoverningLLaw This Ordinance shall be construed and enforced in accordance with
the laws of the State of Texas
(f) Open Meeting. The Crty officially finds and determines that the meeting at which this
Ordinance is adopted was open to the public and that public notice of the time, place, and
purpose of such meeting was given, all as required by Chapter 551 Texas Government Code.
30
Section 33 IMMEDIATE EFFECT That this Ordinance shall be effective
immediately from and after rts passage in accordance with the provisions of Section 1201 028
Texas Government Code, and rt is accordingly so ordained.
SIGNED AND SEALED THIS 22ND DAY OF
Mayor '
Crty of Fort
Crty Secretary
APPROVED AS TO FORM AND LEGALITY
City Attorney
2009
orth, Texa ,~~,,~~~~" ~~~ -rs,,,~~fr
~4 ' ~ 1 ~
1 1~ ~~ ~~
. (:SEAL)
~-
`~ / '==
~~ ~~
f ~ ~°
~~ rr~ ~,~.,,~ t~ 4'4~~~~,1,~i~.
31
EXHIBIT A
FORM OF BOND•
NO R
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTIES OF TARRANT AND DENTON
CITY OF FORT WORTH, TEXAS
DRAINAGE UTILITY SYSTEM
REVENUE BOND SERIES 2009
MATURITY INTEREST ORIGINAL CUSIP
DATE RATE ISSUE DATE
ON THE MATURITY DATE SPECIFIED ABOVE, THE CITY OF FORT WORTH, IN
TARRANT AND DENTON COUNTIES, TEXAS (the City"), hereby promises to pay to
or the registered assignee hereof (either being hereinafter
called the 'registered owner") the principal amount of
and to pay interest thereon, from the original issue date of this Bond specified above, to the date
of rts scheduled maturity or the date of its redemption prior to scheduled maturity at the rate of
interest per annum specified above, with said interest being payable on February 15 2010 and
semiannually on each August 15 and February 15 thereafter except that if the Paying
Agent/Reg~strar's Authentication Certificate appearing on the face of this Bond is dated later than
February 15 2010 such interest is payable semiannually on each August 15 and February 15
following such date.
THE PRINCIPAL OF AND INTEREST ON this Bond are payable in lawful money of
the United States of America, without exchange or collection charges The principal of this
Bond shall be pazd to the registered owner hereof upon presentation and surrender of this Bond at
maturity or upon the date fixed for its redemption prior to maturity at the designated corporate
trust office in Fort Worth, Texas (the 'Designated Trust Office') of Wells Fargo Bank, National
Association, which is the 'Paying Agent/Registrar" for this Bond. The payment of interest on
this Bond shall be made by the Paying Agent/Registrar to the registered owner hereof as shown
by the Registration Books kept by the Paying Agent/Registrar at the close of business on the
Record Date (hereinafter defined) by check drawn by the Paying Agent/R.egistrar on, and
payable solely from, funds of the Crty required to be on deposit with the Paying Agent/Registrar
for such purpose as hereinafter provided, and such check shall be sent by the Paying
Agent/Registrar by United States mail, first-class, postage prepaid, on each such interest
payment date, to the registered owner hereof at rts address as rt appears on the Registration
Books kept by the Paying Agent/Registrar as hereinafter described. The record date ("Record
Date') for the interest payable on any interest payment date means the 1 Sth day of the preceding
month. In the event of anon-payment of interest on a scheduled payment date, and for 30 days
thereafter anew record date for such interest payment (a Special Record Date') will be
Al
established by the Paying AgentlRegistrar if and when funds for the payment of such interest
have been received from the City Notice of the Special Record Date and of the scheduled
payment date of the past due interest (the Special Payment Date" which shall be 15 days after
the Special Record Date) shall be sent at least five business days prior to the Special Record Date
by United States mail, first-class, postage prepaid, to the address of each registered owner of a
Bond appearing on the books of the Paying Agent/Registrar at the close of business on the last
business day next preceding the date of mailing of such notice. The Crty covenants with the
registered owner of this Bond that no later than each principal payment date and interest payment
date for this Bond rt will make available to the Paying Agent/Registrar the amounts required to
provide for the payment, m immediately available funds, of all principal of and interest on the
Bonds, when due, m the manner set forth in the ordinance authorizing the issuance of the bonds
(the 'Ordinance')
IF THE DATE for the payment of the principal of or interest on this Bond shall be a
Saturday Sunday a legal holiday or a day on which banking institutions are authorized by law
or executive order to close in the city where the Designated Trust Office of the Paying
Agent/Registrar is located, then the date for such payment shall be the next succeeding day
which is not such a Saturday Sunday legal holiday or day on which banking institutions are
authorized to close; and payment on such date shall have the same force and effect as if made on
the original date payment was due. Notwithstanding the foregoing, during any period in which
ownership of the bonds of this Series is determined only by a book entry at a securities
depository therefor any payment to the securities depository or its nominee or registered
assigns, shall be made in accordance with existing arrangements between the Crty and the
securities depository
THIS BOND is one of a Series of bonds of like tenor and effect except as to
denomination, number maturity interest rate and right of prior redemption, dated as of the
Original Issue Date stated above, issued m the aggregate principal amount of $45 190 044 for the
purpose of (i) acquiring, constructing, improving, enlarging and repairing all or part of the
facilities which constitute the City`s drainage utility system and (ii) paying costs of issuance
incurred m connection with the issuance of the Bonds All Bonds of this Series are issuable
solely as fully registered bonds, without interest coupons, m the denomination of any integral
multiple of $5 000 (an Authorized Denomination')
THE BONDS of this Series scheduled to mature on and after February 15 2020 may be
redeemed prior to their scheduled maturities, m whole, or in part in principal amounts of $5 000
or any integral multiple thereof, at the option of the City on February 15 2019 or on any date
thereafter at the redemption price of par plus accrued interest to the date fixed for redemption.
If less than all of the Bonds are to be redeemed by the City the City shall determine the maturity
or maturities and the amounts therewith to be redeemed and shall direct the Paying
Agent/Registrar to call by lot Bonds, or portions thereof, within such maturity or maturities and
in such principal amounts, for redemption, provided, that during any period in which ownership
of the Bonds is determined only by a book entry at a securities depository for the Bonds, if fewer
than all of the Bonds of the same maturity and bearing the same interest rate are to be redeemed,
the particular Bonds of such maturity and bearing such interest rate shall be selected in
accordance with the arrangements between the City and the securities depository
A2
THE BONDS are also subject to mandatory redemption in part by lot pursuant to the
terms of the Ordinance, on February 15 in each of the years 20_ through 20~ wrth respect to
Bonds maturing February 15 20_, in the following years and in the following amounts, at a
price equal to the principal amount thereof and accrued and unpaid interest to the date of
redemption, without premium.
Year Principal Amount ($)
* Final Maturity
To the extent, however that Bonds subject to sinking fund redemption have been previously
purchased or called for redemption in part and otherwise than from a sinking fund redemption
payment, each annual sinking fund payment for such Bond shall be reduced by the amount
obtained by multiplying the principal amount of Bonds so purchased or redeemed by the ratio
which each remaining annual sinking fund redemption payment for such Bonds bears to the total
remaining sinking fund payments, and by rounding each such payment to the nearest $5 000
integral, provided, that during any period in which ownership of the Bonds is determined only by
a book entry at a securities depository for the Bonds, the particular Bonds to be called for
mandatory redemption shall be selected m accordance with the arrangements between the City
and the securities depository
AT LEAST 30 days prior to the date fixed for any such redemption, (i) a written notice of
such redemption shall be given by the Paying Agent/Registrar to the registered owner of each
Bond or a portion thereof being called for redemption by depositing such notice in the United
States mail, first-class, postage prepaid, addressed to each such registered owner at his address
shown on the Registration Books of the Paying Agent/Registrar and (ii) a notice of such
redemption shall be published one (1) time in a financial journal or publication of general
circulation in the United States of America or the State of Texas carrying as a regular feature
notices of municipal bonds called for redemption, provided, however that the failure to send,
mail or receive such notice described in (i) above, or any defect therein or in the sending or
mailing thereof, shall not affect the validity or effectiveness of the proceedings for the
redemption of any Bond, and the publication of notice as described in (ii) above shall be the only
notice actually required in connection with or as a prerequisite to the redemption of any Bonds.
By the date fixed for any such redemption due provision shall be made by the City wrth the
Paying Agent/Registrar for the payment of the required redemption price for this Bond or the
portion hereof which is to be so redeemed, plus accrued interest thereon to the date fixed for
redemption. If such notice of redemption is given, and if due provision for such payment is
made, all as provided above, this Bond, or the portion hereof which is to be so redeemed, thereby
automatically shall be redeemed prior to its scheduled maturity and shall not bear interest after
the date fixed for its redemption, and shall not be regarded as being outstanding except for the
right of the registered owner to receive the redemption price plus accrued interest to the date
fixed for redemption from the Paying Agent/Registrar out of the funds provided for such
payment. The Paying Agent/Registrar shall record in the Registration Books all such
redemptions of principal of this Bond or any portion hereof. If a portion of any Bond shall be
A3
redeemed a substitute Bond or Bonds having the same maturity date, bearing interest at the same
rate, in any Authorized Denomination, at the written request of the registered owner and in
aggregate principal amount equal to the unredeemed portion thereof, will be issued to the
registered owner upon the surrender thereof for cancellation, at the expense of the City all as
provided m the Ordinance.
AS PROVIDED IN THE ORDINANCE, this Bond, or any unredeemed portion hereof,
may at the request of the registered owner or the assignee or assignees hereof, be assigned,
transferred, and exchanged for a like aggregate principal amount of fully registered bonds,
without interest coupons, payable to the appropnate registered owner assignee, or assignees, as
the case may be, having the same maturity date, and bearing interest at the same rate, in any
Authorized Denomination as requested in writing by the appropnate registered owner assignee,
or assignees, as the case may be, upon surrender of this Bond to the Paying AgentlRegistrar at its
Designated Trust Office for cancellation, all in accordance with the form and procedures set
forth in the Ordinance Among other requirements for such assignment and transfer this Bond
must be presented and surrendered to the Paying Agent/Registrar together with proper
instruments of assignment, in form and with guarantee of signatures satisfactory to the Paying
Agent/Registrar evidencing assignment of this Bond or any portion or portions hereof in any
Authorized Denomination to the assignee or assignees in whose name or names this Bond or any
such portion or portions hereof is or are to be transferred and registered. The form of
Assignment panted or endorsed on this Bond may be executed by the registered owner to
evidence the assignment hereof, but such method is not exclusive, and other instruments of
assignment satisfactory to the Paying Agent/Registrar may be used to evidence the assignment of
this Bond or any portion or portions hereof from time to time by the registered owner The City
shall pay the Paying Agent/Registrar's reasonable standard or customary fees and charges for
transferring, converting and exchanging any Bond or portion thereof; provided, however that
any taxes or governmental charges required to be paid with respect thereto shall be paid by the
one requesting such transfer conversion and exchange. In any circumstance, neither the City nor
the Paying Agent/Registrar shall be required (1) to make any transfer or exchange during a
period beginning at the opening of business 15 days before the day of the first mailing of a notice
of redemption of bonds and ending at the close of business on the day of such mailing, or (2) to
transfer or exchange any Bonds so selected for redemption when such redemption is scheduled to
occur within 30 calendar days, provided, however such limitation shall not be applicable to an
exchange by the registered owner of the uncalled principal balance of a Bond.
WHENEVER the beneficial ownership of this Bond is determined by a book entry at a
securities depository for the Bonds, the foregoing requirements of holding, delivering or
transferring this Bond shall be modified to require the appropnate person or entity to meet the
requirement's of the securities depository as to registering or transferring the book entry to
produce the same effect.
IN THE EVENT any Paying Agent/Registrar for the Bonds is changed by the City
resigns, or otherwise ceases to act as such, the City has covenanted in the Ordinance that it
promptly will appoint a competent and legally qualified substitute therefor and promptly will
cause written notice thereof to be mailed to the registered owners of the Bonds.
A-4
BY BECOMING the registered owner of this Bond, the registered owner thereby
acknowledges all of the terms and provisions of the Ordinance, agrees to be bound by such terms
and provisions, acknowledges that the Ordinance is duly recorded and available for inspection in
the official minutes and records of the City and agrees that the terms and provisions of this Bond
and the Ordinance constitute a contract between each registered owner hereof and the City
THE CITY has reserved the right, subject to the restrictions stated, and adopted by
reference, in the Ordinance, to issue or incur bonds or other obligations ("Panty Bonds') which
also may be made payable from, and secured by a lien on and pledge of, the Gross Revenues
(as defined in the Ordinance) on a panty with the lien on and pledge of the Gross Revenues
securing this Bond and the series of which rt rs a part.
THE REGISTERED OWNER HEREOF shall never have the right to demand payment of
this obligation out of any funds raised or to be raised by taxation, or from any source whatsoever
other than the Gross Revenues.
IT IS HEREBY certified and covenanted that this Bond has been duly and validly
authorized, issued and delivered, that all acts, conditions and things required or proper to be
performed, exist and be done precedent to or in the authorization, issuance and delivery of this
Bond have been performed, existed and been done in accordance with law that this Bond is a
special obligation, and that the principal of and interest on this Bond and the series of which rt is
apart, together with any Panty Bonds hereafter issued or incurred and outstanding, are payable
from, and secured by a first lien on and pledge of, the Gross Revenues.
IN WITNESS WHEREOF this Bond has been signed with the imprinted or lithographed
manual or facsimile signature of the Mayor of said Issuer attested by the imprinted or
lithographed facsimile signature of the Crty Secretary and approved as to form and legality by
the imprinted or lithographed facsimile signature of the Crty Attorney and the official seal of
said Issuer has been duly affixed to panted, lithographed or impressed on this Bond.
CITY OF FORT WORTH, TEXAS
By
Mayor City of Fort Worth, Texas
ATTEST
City Secretary Crty of Fort Worth, Texas
APPROVED AS TO FORM AND LEGALITY
Crty Attorney City of Fort Worth, Texas
(SEAL)
AS
FORM OF PAYING AGENT/REGISTRAR SAUTHENTICATION CERTIFICATE
PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
It is hereby certified that this Bond has been issued under the provisions of the
proceedings adopted by the City as described in the text of this Bond, and that fhis Bond has
been issued in exchange for or replacement of a bond, bonds, or a portion of a bond or bonds of
an issue which originally was approved by the Attorney General of the State of Texas and
registered by the Comptroller of Public Accounts of the State of Texas
Dated.
Paying Agent/Registrar
By•
Authorized Representative
A-6
(FORM OF COMPTROLLER'S CERTIFICATE ATTACHED TO
THE BONDS UPON INITIAL DELIVERY THEREOF ONLY)
OFFICE OF COMPTROLLER
STATE OF TEXAS
REGISTER NO
I hereby certify that this Bond has been examined, certified as to validity and approved
by the Attorney General of the State of Texas, and that this Bond has been registered by the
Comptroller of Public Accounts of the State of Texas
Witness my signature and seal this
xxxxxxxx
Comptroller of Public Accounts of
the State of Texas
A7
FORM OF ASSIGNMENT
ASSIGNMENT
FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto
Please insert Social Security or Taxpayer Identification Number of Transferee
(Please print or typewrite name and address, including zip code of Transferee)
the within Bond and all rights thereunder and hereby irrevocably constitutes and appoints
attorney to
register the transfer of the within Bond on the books kept for registration thereof, with full power
of substitution in the premises.
Dated.
Signature Guaranteed
NOTICE Signatures must be guaranteed by
an eligible guarantor institution participating
m a Securities Transfer Association
recognized signature guarantee program.
NOTICE The Signature above must
correspond with the name of the registered
owner as rt appears upon the front of this
Bond in every particular without alteration
or enlargement or any change whatsoever
A-8
Exhibit B
to
Ordinance
DESCRIPTION OF ANNUAL FINANCIAL INFORMATION
The following information is referred to in Section 26 of this Ordinance.
Annual Financial Statements and Operating Data
The financial information and operating data with respect to the City to be provided
annually in accordance with Section 26 of thrs Ordinance are as specified (and included in the
Appendix or under the headings of the Official Statement referred to) below
The quantitative financial information and operating data with respect to the Crty of the
general type included m the main text of the Official Statement under Tables 1 through 5
The portions of the financial statements of the City appended to the Official Statement as
Appendix B but for the most recently concluded fiscal year
Accounting Principles
The accounting principles referred to in Section 26 of the Ordinance are the accounting
principles described in the notes to the financial statements referred to in the third
paragraph under the heading Annual Financial Statements and Operating Data above
B-1
THE STATE OF TEXAS
COUNTIES OF TARRANT AND DENTON
CITY OF FORT WORTH
I, Marty Hendrix, Crty Secretary of the Crty of Fort Worth, in the State of Texas, do
hereby certify that I have compared the attached and foregoing excerpt from the minutes of the
regular open, public meeting of the Crty Council of the Crty of Fort Worth, Texas held on
September 22, 2009 and of the ordinance authorizing the issuance of Drainage Utility System
Revenue Bonds, Series 2009 which was duly passed at said meeting, and that said copy is a true
and correct copy of said excerpt and the whole of said ordinance Said meeting was open to the
public, and public notice of the time, place, and purpose of said meeting was given, all as
required by Chapter 551 Texas Government Code, as amended.
In testimony whereof, I have set my hand and have hereunto affixed the seal of said Crty
of Fort Worth, this 22nd day of September 2009
,~ 1~°s~ a~r~rr,.,l~
~~" """`: '~ X''~ Crty Secretary the
=' ~ • /` ~ <^- ;, Crty of Fort Worth, Texas
..~~ ~.~/ ..
~ -~ ~
-,
~:~~~,
(SEAL)`''? .,,
;
~
r.
A
.}!' 4
'~ `\ IRS
i
~
~~ .
~'AagrA./ 4. 1 ~
~~11
V y~
~~.~:
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION_ Approved on 9/22l_2009~„Ord ~No. 1.8838=09^=2009 .;~ ` ~ `.~~::'
~~.
DATE Tuesday September 22 2009 REFERENCE NO G-16716
LOG NAME 13SWREVBOND09
SUBJECT
Adopt an Ordinance Providing for the Issuance and Sale of Approximately $45 190 000 00 of the City of
Fort Worth Texas Drainage Utility System Revenue Bonds Series 2009
RECOMMENDATION
It is recommended that the City Council
1 Adopt the attached ordinance providing for the issuance of approximately $45 190 000 00 City of Fort
Worth Texas, Drainage Utility System Revenue Bonds, Series 2009 and ordaining all other matters
related thereto and
2 Authorize approximately $45,190,000 00, City of Fort Worth Texas Drainage Utility System Revenue
Bonds, Series 2009 be sold to Robert W a~rB d and',Company~, the bidder offering the lowest true interest
rate of 3 96 533 96 37 percent.
DISCUSSION
Bids for approximately $45 190 000 00 City of Fort Worth Texas Drainage Utility System Revenue
Bonds, Series 2009 were received today September 22 2009 at 1000 a.m A summary of the true
interest rates for the bids received by the City is attached
The Drainage Utility was established in 2006 for the purposes of increasing capital improvements and
improving operations, maintenance and watershed planning Its first revenue bond sale was authorized by
City Council (M&C G-15932) in the amount of $24 430 000 00 and funded capital projects in Fiscal Year
2008 and Fiscal Year 2009
Proceeds from. the sale of the bonds will be used to fund capital improvements to the drainage utility
system that are scheduled over the next two years Major categories of projects included in the Capital
Improvements Program are storm drain improvements roadway culvert improvements, erosion protection
improvements and the rehabilitation and replacement of existing infrastructure due to age and capacity
deficiencies.
It is anticipated that the closing and delivery of the funds will occur on October 27 2009
FISCAL INFORMATION /CERTIFICATION
The Financial Management Services Director certifies that funding. for the annual debt service payments
will be available from the current operating budget, as appropriated of the Storm Water Utility Fund
FUND CENTERS
TO Fund/Account/Centers FROM Fund/Account/Centers
Logname 13SWREVBOND09 Page 1 of 2
... ri
CERTIFICATIONS
Submitted for City Manager's Office b~
Originating Department Head.
Additional Information Contact:
Karen Montgomery (6222)
Lena Ellis (8517)
James Mauldin (2438)
.~, ~.
Logname 13SWREVBOND09 Page 2 of 2