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HomeMy WebLinkAboutOrdinances - ORD-19-1930 - 03/04/2019 - IRS Form 8-38 G MSB purchaseCITY OF MCHENRY MCHENRY COUNTY STATE OF ILLINOIS ORDINANCE NUMBER ORD-19-1930 An Ordinance designating the McHenry Savings Bank issued note of $305,500 as a bank qualified tax exempt obligation pursuant to the Internal Revenue Code and authorizing the City Attorney to complete the IRS Form 8-38 G (Tax -Exempt Governmental Bonds) Adopted by the Mayor and City Council Of the City of McHenry McHenry County State of Illinois March 04, 2019 Published in pamphlet form by authority of the Mayor and City Council of the City of McHenry, McHenry County, Illinois this 4th day of March 2019. ORDINANCE NO.ORD-19-1930 An Ordinance designating the McHenry Savings Bank issued note of $305,500 as a bank qualified tax exempt obligation pursuant to the Internal Revenue Code and authorizing the City Attorney to complete IRS Form 8-38 G (Tax -Exempt Governmental Bonds) WHEREAS, the City of McHenry, McHenry County, Illinois, is a home rule municipality as contemplated under Article VII, Section 6, of the Constitution of the State of Illinois, and the passage of this Ordinance constitutes an exercise of the City's home rule powers and functions as granted in the Constitution of the State of Illinois; WHEREAS, on or about December 17, 2018, the City of McHenry ("City") and McHenry Savings Bank ("MSB") entered into, and thereafter closed, a real estate sales contract, relating to the City's purchase of property consisting of four (4) parcels of vacant land on Green Street in McHenry, Illinois, for a principle purchase price of $611,000 ("Subject Transaction"), of which $305,500 was to be financed by MSB ("Financed Amount"). WHEREAS, MSB has requested the City to designate the signed promissory note of the Financed Amount relating to the Subject Transaction, as a qualified tax exemption, pursuant to 26 USC Section 265(b)(3)(B)(1)(111), small issuer exception, and the City desires to hereby designate such issue. NOW, THEREFORE, BE IT ORDAINED by the CITY COUNCIL of the CITY OF McHENRY, McHenry County, Illinois, that the signed promissory note relating to the Subject Transaction, in the principal sum of $305,500, be and is hereby designated, pursuant to 26 USC Section 265(b)(3)(B)(1)(111), as a bank qualified tax exemption obligation and the City Attorney is directed to complete IRS form 8038-G, including the Line 39 designation, following adoption of this ordinance. SECTION 4: If any section, paragraph, subdivision, clause, sentence or provision of this Ordinance shall be adjudged by any Court of competent jurisdiction to be invalid, such judgment shall not affect, impair, invalidate or nullify the remainder thereof, which remainder shall remain and continue in full force and effect. SECTION 5: All ordinances or parts of ordinances in conflict herewith are hereby repealed to the extent of such conflict. SECTION 6: This Ordinance shall be in full force and effect upon its passage, approval and publication in pamphlet form (which publication is hereby authorized) as provided by law. McHenry Savings Bank, Page 1 Passed and approved this I1 day of March, 2019 Ayes Nays Alderwoman Condon Alderman Curry Alderman Devine Alderman Glab v` . Alderman Mihevc Alderman Santi _ Alderman Schaefer Mayor Jett Mayor. APPROVED: Absent Abstain 1/ Deputy ..' e /////, /I "xz Mayor ne ett (SEAL) ATTEST: %v,L - I 1 , ftj-' Uf=--f' Deputy Clerk Debra Meadows Passed: `r,'% ,? (`' Approved:�s� Z:\M\McHenryCityot\Ordi nances\Mc H enryS avi ngsBank. decx McHenry Savings Bank, Page 2 CERTIFICATION I, DEBRA MEADOWS, do hereby certify that I am the duly appointed, acting and qualified Deputy Clerk of the City of McHenry, McHenry County, Illinois, and that as such Deputy Clerk, I am the keeper of the records and minutes and proceedings of the Mayor and Aldermen of said City of McHenry. I do hereby further certify that at a regular meeting of the Mayor and Aldermen of the City of McHenry, held on the �+ day of - 2019, the foregoing Ordinance entitled An Ordinance n4. ; „ ? J, was duly passed by the City Council of the City of McHenry. The pamphlet form of Ordinance No. )(' (j' I � ) including the Ordinance and a cover sheet thereof, was pre�ared, and a copy of such Ordinance was posted in the City Hall, commencing on the day of Cr v� ir `v1 2019, and will continue for at least 10 days thereafter. Copies of such Ordinance are also available for public inspection upon request in the office of the City Clerk. I do further certify that the original, of which the attached is a true and correct copy, is entrusted to me as the Deputy Clerk of said City for safekeeping, and that I amthe lawful custodian and keeper of the same. GIVEN under my hand and seal this t-1 day of I'C a e ( L`4 2019. (SEAL) r.^ Debra Meadows, Deputy Clerk City of McHenry, McHenry County, Illinois McHenry Savings Bank, Page 3