O-74-73ORDINANCE NO. 0 -74- 73
AN ORDINANCE PROVIDING FOR BORROWING MONEY AND
ISSUING BONDS OF THE VILLAGE OF DEERFIELD, LAKE AND COOK
COUNTIES, ILLINOIS, TO THE AMOUNT OF $1,000,000 FOR THE
PURPOSE OF PAYING THE COST OF ACQUIRING LAND TO BE DEVELOPED
AS A RECREATIONAL CENTER, AND PROVIDING FOR THE LEVY AND
COLLECTION OF A DIRECT ANNUAL TAX FOR THE PAYMENT OF THE
PRINCIPAL AND INTEREST ON SAID BONDS
WHEREAS, the President and Board of Trustees of the Village of Deerfield,
Lake and Cook Counties, Illinois, by an ordinance adopted on December 18, 1967,
did call a special election to be held in and for said Village of Deerfield
on January 13, 1968, for the purpose of submitting to the electors of said
Village the following question:
"Shall the Village of Deerfield, Lake and Cook Counties
Illinois, acquire land described as consisting of approxi-
mately 130 acres located west of the Chicago, Milwaukee,
St. Paul & Pacific Railroad right -of -way and north of
County Line Road, including the real estate commonly
known as the Brickyard Property, for a recreational center,
and to pay the cost of acquiring said land issue bonds of
said Village to the amount of $1,300,000, said bonds bearing
interest at the rate of not to exceed six (6%) percent per
annum ?"
WHEREAS, the President and Board of Trustees of said'Village did cause
proper notice of said election to be given by publishing/ notice thereof
once on December 20, 1967, n_the Deerfield Rev -iew being a newspaper published
in and having a general circulation within said Village, said notice
being published not more than thirty (30) days nor les's than fifteen
(15) days prior to the date of said election, which said notice as so
published did specify the places where such election was to be held, the
time of opening and closing the polls, and the question to be voted
upon; and
WHEREAS, the President and Board of Trustees of said Village by
proper proceedings adopted and spread upon its records found that all
legal requirements in connection with said election were duly complied
with, and that a majority of the electors of said Village voting at said
election on said question above referred to voted in favor thereof; and
WHEREAS, after extended litigation challenging the statutory
authority of the Village to condemn the property described in the propo-
sition, the Illinois Supreme Court upheld the validity of the election
and sustained the authority of the Village to condemn said property
(Village of Deerfield v. Rapka, 54 Ill. 2d 217); and
WHEREAS, during the period since the decision of the Supreme Court
became final, interest costs have been rising and market conditions have
been unfavorable for the sale of said bonds within the maximum interest
rate of six percent authorized at the election; and
WHEREAS, the purpose of establishing a recreational center can be
accomplished by acquiring less than the 130 acres described in the prop-
osition, and it now appears to be in the best interests of said Village
to authorize the issuance of bonds in the principal amount of $1,000,000;
NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
THE VILLAGE OF DEERFIELD, LAKE AND COOK COUNTIES, ILLINOIS, AS FOLLOWS:
SECTION That it be and it is found and determined that the President
ONE: and Board of Trustees of the Village of Deerfield have been
authorized by a majority of the electors of said Village
voting on the question at a special election duly called, noticed, held and
canvassed for that purpose to issue bonds of said Village in the amount of
$1,300,000 for the purpose of paying the cost of acquiring land to be
developed as a recreational center for said Village.
SECTION That in order to raise the sum of $1,000,000 presently
TWO: needed for said purpose, there be borrowed by, for and on
behalf of the Village of Deerfield, Lake and Cook Counties,
Illinois, the sum of $1,000,000, and to evidence said loan negotiable coupon
bonds of said Village be issued. Said bonds shall each be designated "Land
Acquisition Bond ", be dated December 1, 1974, be numbered from 1 to 200,
inclusive, be of the denomination of $5,000 each, and mature serially on
December 1 of the years and in the amounts and bearing interest as follows:
Serial
Numbers,
Principal
Year of
Rate of
Both
Inclusive
Amount
Maturity
Interest
1
to
10
$ 50,000
1975
6.00%
11
to
25
75,000
1976
6.00%
26
to
40
75,000
1977
6.00%
41
to
60
100,000
1978
6.00%
61
to
80
100,000
1979
5.90%
81
to
100
100,000
1980
5.40%
101
to
120
100,000
1981
5.40%
121
to
145
125,000
1982
5.50%
146
to
170
125,000
1983
5.60%
171
to
200
150,000
1984
5.70%
Interest on said bonds shall be payable on December 1, 1975 and semi-
annually thereafter on the first day of June and December in each year,
which said interest payments to date of maturity of principal shall be
evidenced by proper interest coupons attached to each bond and maturing
on the dates herein provided, and both principal and interest shall be
payable in lawful money of the United States of America at the First Commercial Bank
in the Ste; of Chicag '. T11 i not s• The seal of said Village shall be affixed
to each of said bonds and said bonds shall be signed by the President
and attested-by the Clerk of said Village, and said coupons shall be
signed and attested by said officials, respectively, by their respective
facsimile signatures, and said officials, by the execution of said bonds,
shall adopt as and for their own proper signatures their respective
facsimile signatures appearing on said coupon.
SECTION That the bonds hereby authorized shall be payable to
THREE: bearer, provided, however, that such bonds may be subject
to registration as to principal in the name of the holder
on the books of the Treasurer of said Village, such registration to be
evidenced by notation of said Treasurer upon the back of such bonds so
registered. No bond so registered shall be subject to transfer except
upon such books and similarly noted on the back thereof unless the last
registration shall have been to bearer. Such registration of any of
said bonds shall not,however, affect the negotiability of the coupons
attached to said bonds, but such coupons shall continue transferable by
delivery merely.
SECTION That each of said bonds and the interest coupons to be
FOUR: thereto attached shall be in substantially the following
form:
(Form of Bond)
UNITED STATES OF AMERICA
STATE OF ILLINOIS COUNTIES OF LAKE AND COOK
VILLAGE OF DEERFIELD
LAND ACQUISITION BOND
Number
$5,000
KNOW ALL MEN BY THESE PRESENTS, that the Village of Deerfield,
Lake and Cook Counties, Illinois, hereby acknowledges itself to owe
and for value received promises to pay to bearer, or if this bond be
registered then to the registered holder hereof, the sum of FIVE
THOUSAND DOLLARS ($5,000) on the first day of December, 19 ,
together with interest on said sum from the date hereof until paid
at the rate of percent ( %) per annum, payable
on December 1, 1975 and semiannually thereafter on the first day
of June and December in each year, upon presentation and surrender
of the respective interest coupons hereto attached as they severally
become due and payable.
Both principal and interest are hereby made payable in lawful
money of the United States of America at ,
For the prompt payment of this bond, both principal and
interest, as aforesaid, at maturity, and the levy of taxes suffi-
cient for that purpose, the full faith, credit and resources of
said Village are hereby irrevocably pledged.
This bond is issued by said Village for the purpose of paying
the cost of acquiring land to be developed as a recreational center,
pursuant to and in all respects in compliance with the provisions
of the "Illinois Municipal Code ", approved May 29, 1961, and all
acts amendatory thereof and supplementary thereto, and is authorized
by a majority of the electors of said Village voting upon the question
at an election duly called, noticed, held and canvassed for that
purpose in said Village, and in compliance with an ordinance duly
passed by the President and Board of Trustees of said Village,
approved by the President thereof, and published, in all respects
as by law required.
It is hereby certified and recited that all acts, conditions
and things required by the Constitution and Laws of the State of
Illinois to exist or to be done precedent to and in the issuance of
this bond, did exist, have happened, been done and performed in
regular and due form and time as required by law; that the indebted-
ness of said Village of Deerfield, represented by this bond and the
issue of which it forms a part, and including all other indebtedness
ofssaid Village, howsoever evidenced and incurred, does not exceed
any constitutional or statutory limitation; and that provision has
been made for the collectionoof a direct annual tax, in addition to
all other taxes, on all of the taxable property in said Village
sufficient to pay the interest hereon as the same falls due and also
to pay and discharge the principal hereof at maturity.
r' This bond is subject to registration as to principal in the
name of the holder on the books of the Village Treasurer, such
registration to be evidenced by notation of such Treasurer on the
back hereof, and after such registration no transfer hereof, except
upon such books and similiarly noted hereon, shall be valid unless
the last registration shall have been to bearer. Registration
hereby shall not affect the negotiability of the coupons hereto
attached, which shall continue negotiable by delivery merely,
notwithstanding registration hereof.
IN WITNESS WHEREOF, said Village of Deerfield, Lake and Cook
Counties, Illinois, by its President and Board of Trustees, has
caused ibsscorporate seal to be hereunto affixed, and this bond to
be signed by the President ofcasaid Village and attested by its
Village Clerk, and the coupons hereto attached to be signed and'
and attested by said officials, respectively, by their facsimile
signatures, and said officials, by the execution hereof, do adopt
as and for their own proper signatures their respective facsimile
signatures appearing on said coupons, all as of the first day of
December, 1974.
President, Board of Trustees
Attest:
Village Clerk
(SEAL)
(Form of Coupon)
Number
S
On the first day of , 19 , the Village of Deerfield,
Lake and Cook Counties, Illinois, will pay to bearer
Dollars ($ ) in lawful money of the United States of America at
, for interest due that day on its Land
Acquisition Bond, dated December 1, 1974, Number
Attest:
Village Clerk
President, Board of Trustees
(Form for Registration as to Principal)
Date of Signature of
Registration Name of Registered Owner Village Treasurer
SECTION That for the purpose of providing the funds required to
FIVE: pay the interest on said bonds promptly when and as the
same falls due and to pay and discharge the principal there-
of at maturity, there be and there is hereby levied upon all of the taxable
property within said Village in each year while any of said bonds are
outstanding a direct annual tax sufficient for that purpose, and that there
be and there is hereby levied on.all the taxable property in said Village,
in addition to all other taxes, the following annual tax, to -wit:
For the Year A Tax Sufficient to Produce the Sum of
1974 $134,187.50
1975
$126,875.00
1976
$122,375.00
1977
$142,125.00
1978
$136,175.00
1979
$130,525.00
1980
$125,125.00
1981
$143,987.00
1982
$137,050.00
1983
$154,275.00
for interest and principal up to
June 1, 1976
for interest and principal
for interest and principal
for interest and principal
for interest and principal
for interest and principal
for interest and principal
for interest and principal
for interest and principal
for interest and principal
Interest or principal coming due at any time when there are insufficient
funds on hand to pay the same shall be paid promptly when due from current
funds on hand in advancement of the collection of said taxes herein levied,
and when said taxes shall have been collected reimbursement shall be made
to said funds in the amounts thus advanced.
SECTION That forthwith as soon as this ordinance becomes effective,
SIX: a copy hereof, certified by the Clerk of said Village, which
certificate shall recite that this ordinance has been passed
by the President and Board of Trustees of said Village, approved by the
President, and published, shall be filed with the County Clerks of Lake
County and Cook County, Illinois, which said officials shall in and for each
of the years 1974 to 1983, both years included., ascertain the rate percent
required to produce the aggregate tax hereinbefore provided to be levied
in each of said years, respectively, and extend the same for collection on
the tax books against all of the taxable property situated within said
Village, and situated within said respective counties, in connection with
other taxes levied in each of said years, respectively, in and by said Village
for general corporate purposes of said Village, and in each of said years
such annual tax shall be levied and collected by said Village in like manner
as taxes for general corporate purposes for each of said years are levied
and collected, and when collected such taxes shall be used solely for the
purpose of paying principal and interest upon the bonds herein authorized
when same mature.
SECTION That the funds derived from such levy be and the same are
SEVEN: hereby appropriated and set aside for the sole and only
purpose of paying principal of and interest on said bonds
when and as same become due, and the funds derived from the sale of said
bonds be and they are hereby appropriated and set aside for the purpose
hereinbefore set out.
SECTION That the proceeds of sale of the bonds will be used and
EIGHT: devoted with due diligence for the purpose as provided
herein, and the Village of Deerfield covenants and agrees
with the purchasers and holders of the bonds herein authorized as follows:
(a) that within six months after the delivery of said bonds
said Village expects to incur substantial binding obligations in connection
with the land acquisition program herein authorized in an aggregate amount
nbt less than 2 -1/2% of the estimated total cost of said program;
(b) that the President and Boardoof Trustees expect more
than 85% oftthesspendable proceeds of the bonds, including investment
proceeds, will be expended on or before November 1, 1977, said date being
within three years following the date of issue of said bonds;
(c) that the acquisition of the land is expected to proceed
with due diligence to completion;
(d) that the land to be acquired with bond proceeds is not
expected to bessold or otherwise disposed of,iin whole or in part, priortto
the last maturity of said',bonds;
(e) that all of the principal proceeds of the bonds are
needed for the purpose of the land acquisition program herein authorized,
including expenses incidental to such purpose and to the issuance of the
bonds; and
(f) that to the best of the knowledgec.and belief of the
President and Board of Trustees there are no facts, estimates or circum-
stances that would materially change the conclusions and representations
set out in this section.
The President and Board of Trustees also certify and covenant with the pur-
chasers and holders of said bonds from time to time outstanding that, so
long as any of said bonds remaintoutstanding, moneys on deposit in any fund
or account in connection with said bonds, whether or not such moneys were
derived from the proceeds of the sale of said bonds or from any other source,
will not be used in a manner which will cause such bonds to be "arbitrage
bonds" within the meaning of Section 103(d) of the Internal Revenue Codeoof
1954,as amended, and any lawful regulations promulgated or proposed there-
under, including Sections 1.103 -13 and 1.103 -14 of the Income Tax Regulations
(26 CFR Part 1), as the same presently exist, or may from time to time here-
after be amended, supplemented or revised. The President and Board of
Trustees reserve the right, however, to make any investment of such moneys
permitted by state law if, when and to the extent that said Section
103(d) or regulations promulgated thereunder shall be repealed or relaxed
or shall be held void by final decision of a court of competent jurisdiction,
but only if any investment made by virtue of such repeal, relaxation, or
decision would not,in the opinion of counsel of recognized competence in such
matters, result in making the interest on said bonds subject to federal
income taxation.
SECTION That forthwith after this ordinance has become effective
NINE: as provided by law, the bonds herein authorized shall be
executed and delivered to the Treasurer of said Village,
and be by him delivered to the purchaser thereof, namely, LaSalle
National Bank, upon receipt of the purchase price therefor, same to be
not less than the par value of said bonds plus accrued interest to date
of delivery, and a premium of $78.50contract for the sale of said
bonds to said purchaser, heretofore entered into, be and the same is
hereby in all respects ratified, approved and confirmed.
SECTION That all ordinances, resolutions and orders, or parts thereof,
TEN: in conflict herewith, be and the same are hereby repealed,
and this ordinance shall be in full force and effect upon
its passage and publication, as provided by law.
AYES: SIX (6)
NAYS: NONE (0)
ABSENT: NONE (0)
PASSED this 4th day of November 1974.
APPROVED this 4th day of November 1974.
V LLAGE PRESIDENT
ATTEST:
VILLAGE CLERK