HomeMy WebLinkAboutOrdinances - ORD-05-1256 - 05/23/2005 - AUTHORIZE ISSUANCE GO BONDS TO REFUND SERIES 1997AORDINANCE No. ORD-05-1256
AN ORDINANCE authorizing the issuance of General Obligation
Bonds (Alternate Revenue Source), of the City of McHenry,
McHenry County, Illinois, in an aggregate principal amount not to
exceed $2,800,000.
WHEREAS, the City of McHenry, McHenry County, Illinois (the "City"), is a duly
organized and existing municipality incorporated and existing under the provisions of the laws of
the State of Illinois, and is now operating under the provisions of the Illinois Municipal Code, as
amended; and
WHEREAS, the City Council of the City (the "Corporate Authorities") has determined
that it is advisable, necessary and in the best interests of the public health, safety and welfare to
refund the City's outstanding General Obligation Bonds (Sales Tax Alternate Revenue Source),
Series 1997A, and General Obligation Bonds (Alternate Revenue Source), Series 2002 (the
"Refunding"), all in accordance with the estimate of costs therefor; and
WHEREAS, the estimated cost of the Refunding, including legal, financial, bond discount,
printing and publication costs and other expenses is $2,800,000, and there are insufficient funds
on hand and lawfully available to pay such costs; and
WHEREAS, it is necessary and for the best interests of the City that the Refunding be
undertaken and in order to finance the costs thereof it will be necessary for the City to issue up to
$2,800,000 bonds, being general obligation bonds payable from all collections distributed to the
City from those taxes imposed by the State of Illinois pursuant to the Use Tax Act, the Service
Use Tax Act, the Service Occupation Tax Act and the Retailer's Occupation Tax Act, each as
supplemented and amended from time to time, or substitute taxes therefor as provided in the
future (the "Alternate Bonds"), as authorized to be issued at this time pursuant to the 'Local
Government Debt Reform Act of the State of Illinois, as amended; and
-3-
WHEREAS, if the above -mentioned revenue source is insufficient to pay the Alternate
Bonds, ad valorem property taxes upon all taxable property in the City without limitation as to
rate or amount are authorized to be extended to pay the principal of and interest on the Alternate
Bonds:
Now, THEREFORE, Be It Ordained by the City Council of the City of McHenry,
McHenry County, Illinois, as follows:
Section 1. Incorporation of Preambles. The Corporate Authorities hereby find that all
of the recitals contained in the preambles to this Ordinance are full, true and correct and do
incorporate them into this Ordinance by this reference.
Section 2. Determination to Issue Bonds. It is necessary and in the best interests of the
City to undertake the Refunding for the public health, safety and welfare, in accordance with the
estimate of costs as hereinabove described, and that for such purpose, there are hereby authorized
to be issued and sold the Alternate Bonds in an aggregate principal amount not to exceed
$2,800,000.
Section 3. Publication. This Ordinance, together with a notice in the statutory form
(the "Notice"), shall be published once within ten (10) days after passage hereof by the
Corporate Authorities in the Northwest Herald, being a newspaper of general circulation in the
City, and if no petition, signed by 1,153 electors (the same being equal to the greater of (i) 7.5%
of the registered voters in the City or (ii) 200 of those registered voters or 15% of the registered
voters, whichever is less), asking that the issuance of the Bonds be submitted to referendum is
filed with the City Clerk within thirty (30) days after the date of the publication of this Ordinance
and the Notice, then the Alternate Bonds shall be authorized to be issued.
Section 4. Additional Ordinances. If no petition meeting the requirements of
applicable law is filed during the petition period hereinabove referred to, then the Corporate
-4-
Authorities may adopt additional ordinances or proceedings supplementing or amending this
Ordinance providing for the issuance and sale of the Alternate Bonds, prescribing all the details
of the Alternate Bonds, so long as the maximum amount of the Alternate Bonds, as set forth in
this Ordinance is not exceeded and there is no material change in the Refunding or other
purposes described herein. Such additional ordinances or proceedings shall in all instances
become effective immediately without publication or posting or any further act or requirement.
This Ordinance, together with such additional ordinances or proceedings, shall constitute
complete authority for the issuance of the Alternate Bonds, under applicable law.
Section 5. Severability. If any section, paragraph, clause or provision of this
Ordinance shall be held invalid, the invalidity of such section, paragraph, clause or provision
shall not affect any of the other provisions of this Ordinance.
-5-
Section 6. Repealer. All ordinances, resolutions or orders, or parts thereof, in conflict
with the provisions of this Ordinance are to the extent of such conflict hereby repealed.
ADOPTED by the Corporate Authorities on the 23rd day of May, 2005.
AYES: SANTI, GLAB, SCHAEFER, MURGATROYD, WIMMER, PETERSON, CONDON.
NAYS: NONE
ABSENT: NONE
APPROVED on May 23, 2005.
"41ez� d -��
yor, City of McHenry,
McHenry County, Illinois
PUBLISHED in the Northwest Herald on the day of May, 2005.
RECORDED in the City Records on May 23, 2005.
ATTEST:
ty Clerk, City of M Henry,
McHenry County, Illinois
By Kathleen M. Kunzer, Deputy Clerk
Im
NOTICE OF INTENT TO ISSUE BONDS
AND RIGHT TO FILE PETITIONS
Notice is hereby given that pursuant to Ordinance No. ORD-05-125gdopted on the 23rd
day of May, 2005 (the "Ordinance"), the City of McHenry, McHenry County, Illinois (the
"City"), intends to issue its General Obligation Bonds (Alternate Revenue Source), in an
aggregate principal amount not to exceed $2,800,000 (the "Bonds"), and bearing interest per
annum at not to exceed the maximum rate authorized by law at the time of the sale thereof, for
the purpose of paying the costs of refunding the City's outstanding General Obligation Bonds
(Sales Tax Alternate Revenue Source), Series 1997A and General Obligation Bonds (Alternate
Revenue Source), Series 2002 (the "Refunding"), such refunding being further described in. the
Ordinance. The revenue source that will be pledged to the payment of the principal of and
interest on the Bonds will be all collections distributed to the City from those taxes imposed by
the State of Illinois pursuant to the Use Tax Act, the Service Use Tax Act, the Service
Occupation Tax Act and the Retailer's Occupation Tax Act, each as supplemented and amended
from time to time, or substitute taxes therefor as provided in the future. If this revenue source is
insufficient to pay the Bonds, ad valorem property taxes upon all taxable property in the City
without limitation as to rate or amount are authorized to be extended to pay the principal of and
interest on the Bonds. A complete copy of the Ordinance follows this notice.
Notice is hereby further given that if a petition signed by 1,153 or more electors of the
City (the same being equal to the greater of (i) 7.5% of the registered voters of the City or
(ii) 200 of those registered voters or 15% of the registered voters, whichever is less) asking that
the issuance of the Bonds be submitted to referendum is filed with the City Clerk within thirty
(30) days after the date of publication of the Ordinance and this notice, an election on the
proposition to issue the Bonds shall be held on the 21 st day of March, 2006. The Circuit Court
may declare that an emergency referendum should be held prior to said election date pursuant to
the provisions of Section 2A-1.4 of the Election Code of the State of Illinois, as amended.
By order of the City Council of the City of McHenry, McHenry County, Illinois, this
23rd day of May, 2005.
/s/ Janice C. Jones
City Clerk, City of McHenry,
McHenry County, Illinois
Notice to publisher: Please be certain that this notice appears above the name of the City Clerk.
-2-