HomeMy WebLinkAboutORDINANCE 1154-198640.
CITY OF KENAI
ALASKA
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ORDINANCE NO. 11— f
AN ORDINANCE OF THE CITY OF KENAI, ALASKA, AMENDINtf
ORDINANCE NO. 972-84 TO CHANGE THE REDEMPTION
FEATURES ON THE $2,850,000 GENERAL OBLIGATION BONDS
OF THE CITY.
WHEREAS, Ordinance No. 972-84 (the "Bond Ordinance") n
passed by the City of Kenai, Alaska (the City) on October 5,
1984 authorised the issuance of $2,850,000 of general obligation -
bonds of the City for the purpose of planning, designing, e,
acquiring and constructing improvements to the road, newer and - -
water system and related capital improvements in the City (the
"Municipal Bonds"); o �;
WHEREAS, pursuant to Section 18 of the Bond Ordinance
the Municipal Bonds were sold to the Alaska Municipal Bond Bank .G
(the "Bank") on the terms and conditions set forth in the Loan :`��;: ;, ';;;1
Agreement approved by Resolution No. 84-22 of the City and the
Bank financed the purchase of the Municipal Bonds through the
issuance of Bank Bonds;
WHEREAS, the Bank has informed the City that a�••.
refunding of the Bank Bonds will effect a reduction in interest
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payable thereon; - — - --- -- .---
WHEREAS, Section 7 of the Loan Agreement authorised the
Bank Bondsi
refunding of the
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CITY OF KENAI, ALASKA Page 2
Ordinance No. 1 54-66
WHEREAS, the savings incurred by refunding the Bank ry
• Bonds will accrue to the Cityst';ta
WHEREAS, it is deemed necessary and advisable and in ,..
the best interest of the City and its inhabitants that the Bank
Bonds be refunded and to assist said refunding that the
redemption features of Municipal Bonds be amended by the City
Councils
NOW, THEREFORE BE IT ORDAINED BY THE COUNCIL OF THE
CITY OF KENAI, ALASKA, AS FOLLOWS:
Section 1. The definitions in the Bond Ordinance shall
have the same meanings set forth therein.
Section 2. Section 10, entitled Redemption of Bonds
In the Bond Ordinance is amended to read as follows:
Section 10. Redemption of Bonds. The
Bonds maturing on or after October 1, 1997, shall be
subject to redemption by or on behalf of the City priorP~
to maturity and upon notice as hereinafter provided, as
a whole or in part ir. Inverse order of maturity on any
interest payment date on or after October 1, 1996, ate
redemption price equal to the principal amount of each
Bond to be redeemed, together with interest accrued
thereon to the redemption date.
If less than all of the Bonds of like
maturity are to be redeemed, the particular Bonds to be
redeemed shall be selected in inverse numerical order. s _
Section 3. The Mayor, City Manager or Finance Director
or any of them are authorized to do all things and execute all
documents necessary to effect the aforesaid amendment including,
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without limitation, execution of an amendment to the Loan
Agreement entered into connection with the Municipal Bonds and 4f
the Bank Bonds providing for reduction in interest payments due v:� . `•';"�
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CITY OF K6NAI, ALASKA
Ordinance No. 1154-86
Page 3
thereunder and an amendment to the Minir-ipal Bonds consletent
with the amendment in Section 2 hereof.
PASSED by the Council of the City of Kenai, Alaska,