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197
<br />
<br />November 9, I982
<br />
<br />numerical order, $4OO,000 principal amount of Bonds maturing on ~ecember 1 in each of the years
<br />1983 to 2002, both inclusive, and shall be issued as coupon bonds registrable as to principal
<br />only or as to both principal and interest.
<br />
<br /> The Bonds maturing on and after December 1, 1993 shall be subject toredemption' ~t the
<br />option of the City prior to their stated maturities on or after December 1, 1992, in yhole at
<br />any time, or in part from time to time on any interest payment date in any order dete2mined by
<br />the City (except that if less than all of the Bonds of a maturity are called for redemption, thc
<br />particular Bonds of such maturity are called for redemption, the particular Bonds of such matur-
<br />ity to be redeemed shall be selected by lot), upon payment of the principal amount of the Bonds
<br />to be redeemed together with the interest accrued°thereon to the date fixed for redemption plus
<br />a premium of one-quarter of one percent (t/4 of lQ of the principal amount of each Bo~ds to be
<br />redeemed for each twelve (12) month period or fraction thereof between the date fixed for re-
<br />demption and the stated maturity date of such Bonds. Any such declaration of the maturity of
<br />Bonds to be redeemed (and of the sele:tion of Bonds within a maturity to be redeemed, which
<br />
<br /> shall be by lot) shall be made by the Director of Finance of the City.
<br />
<br /> Notice of such redemption, specifying the date, numbers and maturities of the Bon
<br />redeemed, the date and place fixed for their redemption and the premium, if any, payab
<br />such redemption, shall be given by the City by publication of such notice once in a ne
<br />printed in the English language and customarily published on each business day and of
<br />circulation in the City and once in at least one newspaper or financial publication pr
<br />the English language and customarily published on eazh business day in New York, New Y
<br />date of Fublication of such not'ice mn each case to be at least thirty days prior to th
<br />fixed for redemption. If any Bond called for redemption is registered as to principal
<br />as to both principal and interest, notice of the redemption thereof shall be mailed no
<br />thirty days prior to the date fixed for redemption by registered mail to the registere
<br />of such Bond at such owner's address as shown on the books of registry; p~ovided howev
<br />notice of redemption by publication need not be given to the registered owner of any r
<br />Bond if notice of redemption shall have been mailed as aforesaid, and if notice of red
<br />is given by publication as aforesaid then neither the failure to mail such notice to t
<br />gistered owner of any registered Bond nor any defect in any notice so mailed shall aff
<br />sufficiency of the proceedings flor the redemption of such Bonds. When notice of redem
<br />Bonds shall have been gmven as hereinabove set forth, and payment of the principal amo
<br />BonSs so called for redemption and of the accrued interest and premium, if any, payabl
<br />such redemption shall have been duly made or provided for, interest on such Bonds shal
<br />from and after the date so specified for thei2 redemption and any coupons representing
<br />interest shall be void.
<br />
<br />ds to be
<br />le upon
<br />wspaper
<br />general
<br />inted in
<br />~rk, the
<br />e~date
<br />only or
<br />tess th~
<br /> owner
<br />r, that
<br />ag~stered
<br />~mption
<br />
<br />~ct the
<br />)tion of
<br />mt of the
<br /> upon
<br /> cease
<br /> such
<br />
<br /> The
<br />interest
<br />forth in
<br />
<br />Bonds may be registered by the holder as to principal only or as to both principal and
<br />in accordance with the provisions for such registration to be endorsed thereon as set
<br />Section 9.
<br />
<br /> 2. The principal of and premium, if any, and interest on the Bonds shall be payable in
<br />such coin or currency of the United States of America as at the respective date of payment is
<br />legal tender for public and private debts. If any Bond shall not then be registered ~ to both
<br />principal and interest, the interest thereon payable prior to maturity shall be payabl~ at the
<br />principal office of Virginia National Bank, in Norfolk, Virginia, or, at the option of the hold~
<br />of such Bonds, at the principai office of The Chase Manhattan Ba~nk (National Associati6n), in t~
<br />City of New York, New York as the paying agents for the Bonds. The interest on any Bo~d while
<br />registered as to both principal and interest shall be payable by the City by check or ~raft mai]
<br />to the registered owner at such owner's address as shown on the books of registry. Th~ principa
<br />of and premium, if any, on the Bonds are payable at the principal office of either of uch pay-
<br />
<br />ing agents for the Bonds.
<br />
<br /> 3. The full faith and credit of the City shall be and hereby is irrevocably pled
<br />payment of the principal of and interest on the Bonds as the same become outstanding a~
<br />there shall be assessed, levied and collected, at the same time and in the same manner
<br />taxes in the City are assessed, levied and collected, upon all property within the Cit~
<br />to taxation by the City, a tax sufficient to provided for the payment of the principal
<br />lnterest on the Bonds as the same become due, if the revenues of the aforesaid underta~
<br />sisting of the water and sewerage system are insufficient to meet the ~btigations hereJ
<br />forth.
<br />
<br />ed to thc
<br />.d unpaid,
<br />as other
<br /> subject
<br />of an
<br />ing con-
<br />n set
<br />
<br /> 4. The Bonds shall not be included in determining the limitation upon the power ~f the
<br />City to incur indebtedness under the provisions of Article VII, Section 10, of the Constitution
<br />of Virginia, but from and after November 6, 1984, whenever~and for so long as the City' water
<br />and sewerage system fails to produce sufficient revenues to pay the cost of operation .nd ad-
<br />ministration [including interest on bonds issued therefor, and the cost of insurance a~ainst lo~
<br />or injuries to persons and property), and an annual amount to b~ placed into a sinking fund suf-
<br />ficient to pay at or before maturity all bonds issued on account of said ~ystem, all s~ch bonds
<br />outstanding shall be included in determing the limitation upon the power of the City tc incur
<br />indebtedness.
<br />
<br /> 5. The City shall make no use of the proceeds of the sale of the Bonds which woul cause
<br />the Bonds to be "industrial development bonds" or "arbitrage bonds" under Section 103 o the
<br />U. S. Internal Revenue Code of 19S4, as amended, and the City shall comply with the app icable
<br />regulations of the Internal Revenue Service adopted under such Section 103 so long as ny Bond
<br />· s outstanding.
<br />
<br /> 6. The Bonds shall be sold in conjunction with the sale of the $22,000,000 Gener 1 Obliga-
<br />tion Public Improvement Bonds of the City authorized by this Council at the meeting at ~hich
<br />this resolution is adopted. The notice of sale of the Bonds referred to in Section 10 ~nd the
<br />legal notice referred to in Section I1 shall each contain provisions suitablFy recognizing and
<br />providing with respect to the foregoing.
<br />
<br />
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