O-15-14ORDINANCE NO. 0 -15 -14
ORDINANCE AUTHORIZING THE ISSUANCE OF GENERAL
OBLIGATION BONDS, SERIES 2015, OF THE VILLAGE OF DEERFIELD,
ILLINOIS
BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE
VILLAGE OF DEERFIELD, ILLINOIS, AS FOLLOWS:
Section 1. Authority, Purposes and Findings. This ordinance is adopted
pursuant to Section 6 of Article VII of the Illinois Constitution of 1970 for the purpose of
financing infrastructure projects (the "Projects ") consisting of the Village's Street
Rehabilitation Program, the Pfingsten /Kates Road Rehabilitation, North Trail
Subdivision improvements, Briarwood Vista Infrastructure Rehabilitation and Deerfield
Road Reconstruction. The foregoing improvements are for public purposes and are
authorized to be made or undertaken by the Village of Deerfield, Illinois.
Section 2. Appropriation. The sum of $9,893,872.67 is appropriated to pay
the costs of the Projects. Said costs are inclusive of the costs of issuance of the bonds
authorized to fund such appropriation.
Section 3. Authorization of Bonds. Pursuant to the home rule powers of the
Village to incur debt payable from ad valorem property tax receipts and for the purpose
of financing the appropriation for the Projects provided for in Section 2 of this ordinance,
unlimited tax general obligation bonds of the Village are authorized to be issued and
sold in an aggregate principal amount of $9,575,000 (the "2015 Bonds ")
The 2015 Bonds shall be issued as a single series of the bonds of the Village
and shall be designated as the "General Obligation Bonds, Series 2015."
Section 4. Terms of 2015 Bonds. The 2015 Bonds shall be issuable in the
denominations of $5,000 or any integral multiple thereof and may bear such identifying
numbers or letters as shall be useful to facilitate the registration, transfer and exchange
of 2015 Bonds. Unless otherwise determined in the order to authenticate the 2015
Bonds, each 2015 Bond delivered upon the original issuance of the 2015 Bonds shall
be dated as of May 19, 2015. Each 2015 Bond thereafter issued upon any transfer,
exchange or replacement of 2015 Bonds shall be dated so that no gain or loss of
interest shall result from such transfer, exchange or replacement.
The 2015 Bonds shall mature on December 1 in each year shown in the following
table in the respective principal amount set forth opposite each such year and the 2015
Bonds maturing in each such year shall bear interest at the respective rate per annum
set forth opposite such year:
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Year
Principal Amount
Interest Rate
2016
$ 380,000
3.00%
2017
395,000
3.00
2018
405,000
3.00
2019
415,000
3.00
2020
430,000
3.00
2021
440,000
3.00
2022
455,000
3.00
2023
470,000
3.00
2024
485,000
3.00
2025
495,000
3.00
2026
510,000
3.00
2027
530,000
3.00
2028
545,000
3.00
2029
560,000
3.00
2030
575,000
3.00
2032
1,205,000
3.00
2034
1,280,000
3.25
Each 2015 Bond shall bear interest from its date, computed on the basis of a 360
day year consisting of twelve 30 day months and payable in lawful money of the United
States of America on December 1, 2015 and semiannually thereafter on each June 1
and December 1 at the rates per annum herein determined.
The principal of the 2015 Bonds shall be payable in lawful money of the United
States of America upon presentation and surrender thereof at the corporate trust office
of U.S. Bank National Association, in the City of Chicago, Illinois, which is hereby
appointed as bond registrar and paying agent for the 2015 Bonds. Interest on the 2015
Bonds shall be payable on each interest payment date to the registered owners of
record thereof appearing on the registration books maintained by the Village for such
purpose at the corporate trust office of the bond registrar, as of the close of business on
the 15`h day of the calendar month next preceding the applicable interest payment date.
Interest on the 2015 Bonds shall be paid by check or draft mailed to such registered
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owners at their addresses appearing on the registration books or by wire transfer
pursuant to an agreement by and between the Village and the registered owner.
The 2015 Bonds maturing on or after December 1, 2025 shall be subject to
redemption prior to maturity at the option of the Village and upon notice as herein
provided, in such principal amounts and from such maturities as the Village shall
determine and by lot within a single maturity, on December 1, 2024 and on any date
thereafter, at a redemption price equal to the principal amount thereof to be redeemed.
The 2015 Bonds maturing on December 1, 2032 shall be subject to mandatory
redemption, in part and by lot, on December 1, 2031, in the principal amount of
$595,000 constituting a sinking fund installment for the retirement of the 2015 Bonds
maturing on December 1, 2032. The final principal amount of the 2015 Bonds maturing
on December 1, 2032 is $610,000.
The 2015 Bonds maturing on December 1, 2034 shall be subject to mandatory
redemption, in part and by lot, on December 1, 2033, in the principal amount of
$630,000 constituting a sinking fund installment for the retirement of the 2015 Bonds
maturing on December 1, 2034. The final principal amount of the 2015 Bonds maturing
on December 1, 2034 is $650,000.
All 2015 Bonds subject to mandatory sinking fund redemption shall be redeemed
at a redemption price equal to the principal amount thereof to be redeemed. The bond
registrar is hereby authorized and directed to mail notice of the mandatory sinking fund
redemption of the 2015 Bonds in the manner herein provided.
Whenever 2015 Bonds subject to mandatory sinking fund redemption are
redeemed at the option of the Village, the principal amount thereof so redeemed shall
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be credited against the unsatisfied balance of future sinking fund installments or final
principal amount established with respect to such 2015 Bonds, in such amounts and
against such installments or final principal amount as shall be determined by the Village
in the proceedings authorizing such optional redemption or, in the absence of such
determination, shall be credited pro -rata against the unsatisfied balance of the
applicable sinking fund installments and final principal amount.
On or prior to the 60th day preceding any sinking fund installment date, the
Village may purchase 2015 Bonds, which are subject to mandatory redemption on such
sinking fund installment date, at such prices as the Village shall determine. Any 2015
Bond so purchased shall be cancelled and the principal amount thereof so purchased
shall be credited against the unsatisfied balance of the next ensuing sinking fund
installment of the 2015 Bonds of the same maturity as the 2015 Bond so purchased.
In the event of the redemption of less than all the 2015 Bonds of like maturity, the
aggregate principal amount thereof to be redeemed shall be $5,000 or an integral
multiple thereof and the bond registrar shall assign to each 2015 Bond of such maturity
a distinctive number for each $5,000 principal amount of such 2015 Bond and shall
select by lot from the numbers so assigned as many numbers as, at $5,000 for each
number, shall equal the principal amount of such 2015 Bonds to be redeemed. The
2015 Bonds to be redeemed shall be the 2015 Bonds to which were assigned numbers
so selected; provided that only so much of the principal amount of each 2015 Bond shall
be redeemed as shall equal $5,000 for each number assigned to it and so selected.
Notice of the redemption of 2015 Bonds shall be mailed not less than 30 days
nor more than 60 days prior to the date fixed for such redemption to the registered
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owners of 2015 Bonds to be redeemed at their last addresses appearing on said
registration books. The 2015 Bonds or portions thereof specified in said notice shall
become due and payable at the applicable redemption price on the redemption date
therein designated, and if, on the redemption date, moneys for payment of the
redemption price of all the 2015 Bonds or portions thereof to be redeemed, together
with interest to the redemption date, shall be available for such payment on said date,
and if notice of redemption shall have been mailed as aforesaid (and notwithstanding
any defect therein or the lack of actual receipt thereof by any registered owner) then
from and after the redemption date interest on such 2015 Bonds or portions thereof
shall cease to accrue and become payable. If there shall be drawn for redemption less
than all of a 2015 Bond, the Village shall execute and the bond registrar shall
authenticate and deliver, upon the surrender of such 2015 Bond, without charge to the
owner thereof, in exchange for the unredeemed balance of the 2015 Bond so
surrendered, 2015 Bonds of like maturity and interest rate and of the denomination of
$5,000 or any integral multiple thereof.
The bond registrar shall not be required to transfer or exchange any 2015 Bond
after notice of the redemption of all or a portion thereof has been mailed. The bond
registrar shall not be required to transfer or exchange any 2015 Bond during a period of
15 days next preceding the mailing of a notice of redemption that could designate for
redemption all or a portion of such 2015 Bond.
Section 5. Sale and Delivery. The 2015 Bonds are sold to BOSC, Inc., as
purchaser, at a price of $9,893,872.67 and accrued interest from their date to the date
of delivery and payment therefor. The Official Statement prepared with respect to the
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2015 Bonds is approved and "deemed final' as of its date for purposes of Securities and
Exchange Commission Rule 15c2 -12 promulgated under the Securities Exchange Act
of 1934.
The Village President, Village Clerk and other officials of the Village are
authorized and directed to do and perform, or cause to be done or performed for or on
behalf of the Village each and every thing necessary for the issuance of the 2015
Bonds, including the proper execution and delivery of the 2015 Bonds and the Official
Statement.
Section 6. Execution and Authentication. Each 2015 Bond shall be
executed in the name of the Village by the manual or authorized facsimile signature of
its Village President and the corporate seal of the Village, or a facsimile thereof, shall be
thereunto affixed or otherwise reproduced thereon and attested by the manual or
authorized facsimile signature of its Village Clerk.
In case any officer whose signature, or a facsimile of whose signature, shall
appear on any 2015 Bond shall cease to hold such office before the issuance of the
2015 Bond, such 2015 Bond shall nevertheless be valid and sufficient for all purposes,
the same as if the person whose signature, or a facsimile thereof, appears on such
2015 Bond had not ceased to hold such office. Any 2015 Bond may be signed, sealed
or attested on behalf of the Village by any person who, on the date of such act, shall
hold the proper office, notwithstanding that at the date of such 2015 Bond such person
may not have held such office. No recourse shall be had for the payment of any 2015
Bonds against any officer who executes the 2015 Bonds.
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Each 2015 Bond shall bear thereon a certificate of authentication executed
manually by the bond registrar. No 2015 Bond shall be entitled to any right or benefit
under this ordinance or shall be valid or obligatory for any purpose until such certificate
of authentication shall have been duly executed by the bond registrar.
Section 7. Transfer, Exchange and Registry. The 2015 Bonds shall be
negotiable, subject to the provisions for registration of transfer contained herein. Each
2015 Bond shall be transferable only upon the registration books maintained by the
Village for that purpose at the corporate trust office of the bond registrar, by the
registered owner thereof in person or by his attorney duly authorized in writing, upon
surrender thereof together with a written instrument of transfer satisfactory to the bond
registrar and duly executed by the registered owner or his duly authorized attorney.
Upon the surrender for transfer of any such 2015 Bond, the Village shall execute and
the bond registrar shall authenticate and deliver a new 2015 Bond or 2015 Bonds
registered in the name of the transferee, of the same aggregate principal amount,
maturity and interest rate as the surrendered 2015 Bond. 2015 Bonds, upon surrender
thereof at the corporate trust office of the bond registrar, with a written instrument
satisfactory to the bond registrar, duly executed by the registered owner or his attorney
duly authorized in writing, may be exchanged for an equal aggregate principal amount
of 2015 Bonds of the same maturity and interest rate and of the denominations of
$5,000 or any integral multiple thereof.
For every such exchange or registration of transfer of 2015 Bonds, the Village or
the bond registrar may make a charge sufficient for the reimbursement of any tax, fee or
other governmental charge required to be paid with respect to such exchange or
in
transfer, which sum or sums shall be paid by the person requesting such exchange or
transfer as a condition precedent to the exercise of the privilege of making such
exchange or transfer. No other charge shall be made for the privilege of making such
transfer or exchange. The provisions of the Illinois Bond Replacement Act shall govern
the replacement of lost, destroyed or defaced 2015 Bonds.
The Village and the bond registrar may deem and treat the person in whose
name any 2015 Bond shall be registered upon the registration books as the absolute
owner of such 2015 Bond, whether such 2015 Bond shall be overdue or not, for the
purpose of receiving payment of, or on account of, the principal of or interest thereon
and for all other purposes whatsoever, and all such payments so made to any such
registered owner or upon his order shall be valid and effectual to satisfy and discharge
the liability upon such 2015 Bond to the extent of the sum or sums so paid, and neither
the Village nor the bond registrar shall be affected by any notice to the contrary.
Section 8. General Obligations. The full faith and credit of the Village are
hereby irrevocably pledged to the punctual payment of the principal of and interest on
the 2015 Bonds. The 2015 Bonds shall be direct and general obligations of the Village,
and the Village shall be obligated to levy ad valorem taxes upon all the taxable property
in the Village for the payment of the 2015 Bonds and the interest thereon, without
limitation as to rate or amount.
Section 9. Form of Bonds. The 2015 Bonds shall be issued as fully
registered bonds and shall be in substantially the following form, the blanks to be
appropriately completed when the 2015 Bonds are printed:
0
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INTEREST RATE
United States of America
State of Illinois
Counties of Cook and Lake
VILLAGE OF DEERFIELD
GENERAL OBLIGATION BOND,
SERIES 2015
MATURITY DATE DATED DATE CUSIP
% December 1, 20
REGISTERED OWNER: CEDE & CO.
PRINCIPAL AMOUNT:
May 19, 2015
The VILLAGE OF DEERFIELD, a municipal corporation and a home rule unit of
the State of Illinois situate in the Counties of Cook and Lake, acknowledges itself
indebted and for value received hereby promises to pay to the registered owner of this
bond, or registered assigns, the principal amount specified above on the maturity date
specified above, and to pay interest on such principal amount from the date hereof at
the interest rate per annum specified above, computed on the basis of a 360 day year
consisting of twelve 30 day months and payable in lawful money of the United States of
America on December 1, 2015 and semiannually thereafter on June 1 and December 1
in each year until the principal amount shall have been paid, to the registered owner of
record hereof as of the 15th day of the calendar month next preceding such interest
payment date, by wire transfer pursuant to an agreement by and between the Village
and the registered owner, or otherwise by check or draft mailed to the registered owner
at the address of such owner appearing on the registration books maintained by the
Village for such purpose at the corporate trust office of U.S. Bank National Association,
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in the City of Chicago, Illinois, as bond registrar or its successor (the `Bond Registrar ").
This bond, as to principal when due, will be payable in lawful money of the United
States of America upon presentation and surrender of this bond at the corporate trust
office of the Bond Registrar. The full faith and credit of the Village are irrevocably
pledged for the punctual payment of the principal of and interest on this bond according
to its terms.
This bond is one of a series of bonds issued in the aggregate principal amount of
$9,575,000, which are authorized and issued under and pursuant to Section 6 of
Article VII of the Illinois Constitution of 1970 and under and in accordance with an
ordinance adopted by the President and Board of Trustees of the Village on May 4,
2015 and entitled: "Ordinance Authorizing the Issuance of General Obligation Bonds,
Series 2015, of the Village of Deerfield, Illinois."
The bonds of such series maturing on or after December 1, 2025 are subject to
redemption prior to maturity at the option of the Village and upon notice as herein
provided, in such principal amounts and from such maturities as the Village shall
determine and by lot within a single maturity, on December 1, 2024 and on any date
thereafter, at a redemption price equal to the principal amount thereof to be redeemed.
The bonds of such series maturing in the year 2032 are subject to mandatory
redemption, in part and by lot, on December 1, 2031 in the principal amount of
$595,000, by the application of a sinking fund installment, at a redemption price equal to
the principal amount thereof to be redeemed.
The bonds of such series maturing in the year 2034 are subject to mandatory
redemption, in part and by lot, on December 1, 2033 in the principal amount of
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$630,000, by the application of a sinking fund installment, at a redemption price equal to
the principal amount thereof to be redeemed.
Notice of the redemption of bonds will be mailed not less than 30 days nor more
than 60 days prior to the date fixed for such redemption to the registered owners of
bonds to be redeemed at their last addresses appearing on such registration books.
The bonds or portions thereof specified in said notice shall become due and payable at
the applicable redemption price on the redemption date therein designated, and if, on
the redemption date, moneys for payment of the redemption price of all the bonds or
portions thereof to be redeemed, together with interest to the redemption date, shall be
available for such payment on said date, and if notice of redemption shall have been
mailed as aforesaid (and notwithstanding any defect therein or the lack of actual receipt
thereof by any registered owner) then from and after the redemption date interest on
such bonds or portions thereof shall cease to accrue and become payable.
This bond is transferable only upon such registration books by the registered
owner hereof in person, or by his attorney duly authorized in writing, upon surrender
hereof at the corporate trust office of the Bond Registrar together with a written
instrument of transfer satisfactory to the Bond Registrar duly executed by the registered
owner or by his duly authorized attorney, and thereupon a new registered bond or
bonds, in the authorized denominations of $5,000 or any integral multiple thereof and of
the same aggregate principal amount, maturity and interest rate as this bond shall be
issued to the transferee in exchange therefor. In like manner, this bond may be
exchanged for an equal aggregate principal amount of bonds of the same maturity and
interest rate and of any of such authorized denominations. The Village or the Bond
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Registrar may make a charge sufficient for the reimbursement of any tax, fee or other
governmental charge required to be paid with respect to the transfer or exchange of this
bond. No other charge shall be made for the privilege of making such transfer or
exchange. The Village and the Bond Registrar may treat and consider the person in
whose name this bond is registered as the absolute owner hereof for the purpose of
receiving payment of, or on account of, the principal and interest due hereon and for all
other purposes whatsoever.
This bond shall not be valid or become obligatory for any purpose until the
certificate of authentication hereon shall have been duly executed by the Bond
Registrar.
It is hereby certified, recited and declared that all acts, conditions and things
required to be done, exist and be performed precedent to and in the issuance of this
bond in order to make it a legal, valid and binding obligation of the Village have been
done, exist and have been performed in regular and due time, form and manner as
required by law, and that the series of bonds of which this bond is one, together with all
other indebtedness of the Village, is within every debt or other limit prescribed by law.
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IN WITNESS WHEREOF, the Village of Deerfield has caused this bond to be
executed in its name and on its behalf by the manual or facsimile signature of its Village
President, and its corporate seal, or a facsimile thereof, to be hereunto affixed or
otherwise reproduced hereon and attested by the manual or facsimile signature of its
Village Clerk.
Dated: May 19, 2015
CERTIFICATE OF AUTHENTICATION
This bond is one of the General
Obligation Bonds, Series 2015,
described in the within mentioned
Ordinance.
U.S. Bank National Association, as
Bond Registrar
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Authorized Signer
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VILLAGE OF DEERFIELD
Village Presi ent
Attest:
zj� �
Village Cl rk
ASSIGNMENT
For value received the undersigned sells, assigns and transfers unto
the within bond and hereby irrevocably constitutes and appoints
attorney to transfer the said bond on the books kept for registration thereof, with full
power of substitution in the premises.
Dated
Signature Guarantee:
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Section 10. Levy and Extension of Taxes. For the purpose of providing the
money required to pay the interest on the 2015 Bonds when and as the same falls due
and to pay and discharge the principal thereof (including any mandatory sinking fund
installments) as the same shall mature, there is hereby levied upon all the taxable
property in the Village, in each year while any of the 2015 Bonds shall be outstanding, a
direct annual tax sufficient for that purpose in addition to all other taxes, as follows:
Tax Levy Year A Tax Sufficient to Produce
2015
$670,450
2016
674,050
2017
672,200
2018
670,050
2019
672,600
2020
669,700
2021
671,500
2022
672,850
2023
673,750
2024
669,200
2025
669,350
2026
674,050
2027
673,150
2028
671,800
2029
670,000
2030
672,750
2031
669,900
2032
671,600
2033
671,125
Interest or principal coming due at any time when there shall be insufficient funds
on hand to pay the same shall be paid promptly when due from current funds on hand in
advance of the collection of the taxes herein levied; and when said taxes shall have
been collected, reimbursement shall be made to the said funds in the amounts thus
advanced.
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As soon as this ordinance becomes effective, a copy thereof certified by the
Village Clerk, which certificate shall recite that this ordinance has been duly adopted,
shall be filed with the County Clerk of Cook County, Illinois and the County Clerk of
Lake County, Illinois, who are each hereby directed to ascertain the rate per cent
required to produce the aggregate tax hereinbefore provided to be levied in the years
2015 to 2033, inclusive, and to extend the same for collection on the tax books in
connection with other taxes levied in said years, in and by the Village for general
corporate purposes of the Village, and in said years such annual tax shall be levied and
collected in like manner as taxes for general corporate purposes for said years are
levied and collected and, when collected, such taxes shall be used for the purpose of
paying the principal of and interest on the 2015 Bonds herein authorized as the same
become due and payable.
Section 11. Debt Service Fund. Moneys derived from taxes herein levied are
appropriated and set aside for the purpose of paying principal of and interest on the
2015 Bonds when and as the same come due. All of such moneys, and all other
moneys to be used for the payment of the principal of and interest on the 2015 Bonds,
shall be deposited in the "2015 Debt Service Fund ", which is hereby established as a
special fund of the Village and shall be administered as a bona fide debt service fund
under the Internal Revenue Code of 1986.
The moneys deposited or to be deposited into the 2015 Debt Service Fund,
including the tax receipts derived from the taxes levied pursuant to this ordinance, are
pledged as security for the payment of the principal of and interest on the 2015 Bonds.
The pledge is made pursuant to Section 13 of the Local Government Debt Reform Act
Eire
and shall be valid and binding from the date of issuance of the 2015 Bonds. All such
tax receipts and the moneys held in the 2015 Debt Service Fund shall immediately be
subject to the lien of such pledge without any physical delivery or further act and the lien
of such pledge shall be valid and binding as against all parties having claims of any kind
in tort, contract or otherwise against the Village irrespective of whether such parties
have notice thereof. $154,906.67 of the proceeds of sale of the 2015 Bonds (the
"Capitalized Interest Amount") shall be deposited into the 2015 Debt Service Fund and
applied to pay the interest on the 2015 Bonds due December 1, 2015.
Section 12. Bond Proceeds Fund. The proceeds of sale of the 2015 Bonds
(exclusive of the Capitalized Interest Amount) shall be deposited in the "2015 Bond
Proceeds Fund ", which is hereby established as a special fund of the Village. Moneys
in the 2015 Bond Proceeds Fund shall be used for the payment of costs of the Projects
and for the payment of costs of issuance of the 2015 Bonds, but may hereafter be
reappropriated and used for other purposes if such reappropriation is permitted under
Illinois law and will not adversely affect the exclusion from gross income for federal
income tax purposes of interest on the 2015 Bonds.
Section 13. Investment Regulations. No investment shall be made of any
moneys in the 2015 Debt Service Fund or the 2015 Bond Proceeds Fund except in
accordance with the tax covenants set forth in Section 14 of this ordinance. All income
derived from such investments in respect of moneys or securities in any Fund shall be
credited in each case to the Fund in which such moneys or securities are held.
Any moneys in any Fund that are subject to investment yield restrictions may be
invested in United States Treasury Securities, State and Local Government Series,
in
pursuant to the regulations of the United States Treasury Department, Bureau of Public
Debt, or in any tax - exempt bond that is not an "investment property" within the meaning
of Section 148(b)(2) of the Internal Revenue Code of 1986. The Director of Finance
and agents designated by him are hereby authorized to submit, on behalf of the Village,
subscriptions for such United States Treasury Securities and to request redemption of
such United States Treasury Securities.
Section 14. Tax Covenants. The Village shall not take, or omit to take, any
action lawful and within its power to take, which action or omission would cause interest
on any 2015 Bond to become subject to federal income taxes in addition to federal
income taxes to which interest on such 2015 Bond is subject on the date of original
issuance thereof.
The Village shall not permit any of the proceeds of the 2015 Bonds, or any
facilities financed with such proceeds, to be used in any manner that would cause any
bond to constitute a "private activity bond" within the meaning of Section 141 of the
Internal Revenue Code of 1986.
The Village shall not permit any of the proceeds of the 2015 Bonds or other
moneys to be invested in any manner that would cause any bond to constitute an
"arbitrage bond" within the meaning of Section 148 of the Internal Revenue Code of
1986 or a "hedge bond" within the meaning of Section 149(g) of the Internal Revenue
Code of 1986.
The Village shall comply with the provisions of Section 148(f) of the Internal
Revenue Code of 1986 relating to the rebate of certain investment earnings at periodic
intervals to the United States of America.
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Section 15. Bank Qualified Designation. The Village hereby designates the
bonds as "qualified tax - exempt obligations" as defined in Section 265(b)(3)(B) of the
Internal Revenue Code of 1986. The Village represents that the reasonably anticipated
amount of tax - exempt obligations that are required to be taken into account for the
purpose of Section 265(b)(3)(C) of the Code and will be issued by or on behalf of the
Village and all subordinate entities of the Village during 2015 does not exceed
$10,000,000. The Village covenants that it will not designate and issue more than
$10,000,000 aggregate principal amount of tax - exempt obligations in the year in which
the 2015 Bonds are issued. For purposes of the two preceding sentences, the term
"tax- exempt obligations" includes "qualified 501(c)(3) bonds" (as defined in Section 145
of the Internal Revenue Code of 1986) but does not include other "private activity
bonds" (as defined in Section 141 of the Internal Revenue Code of 1986).
Section 16. Continuing Disclosure. For the benefit of the beneficial owners of
the 2015 Bonds, the Village covenants and agrees to provide to the Municipal Securities
Rulemaking Board (the "MSRB') for disclosure on the Electronic Municipal Market
Access ( "EMMA ") system, in an electronic format as prescribed by the MSRB, (i) an
annual report containing certain financial information and operating data relating to the
Village and (ii) timely notices of the occurrence of certain enumerated events. All
documents provided to the MSRB shall be accompanied by identifying information as
prescribed by the MSRB.
The annual report shall be provided to the MSRB for disclosure on EMMA within
180 days after the close of the Village's fiscal year. The information to be contained in
the annual report shall consist of the annual audited financial statement of the Village
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and such additional information as noted in the Official Statement under the caption
"Continuing Disclosure." Each annual audited financial statement will conform to
generally accepted accounting principles applicable to governmental units and will be
prepared in accordance with standards of the Governmental Accounting Standards
Board. If the audited financial statement is not available, then an unaudited financial
statement shall be included in the annual report and the audited financial statement
shall be provided promptly after it becomes available.
The Village, in a timely manner not in excess of ten business days after the
occurrence of the event, shall provide notice to the MSRB for disclosure on EMMA of
any failure of the Village to provide any such annual report within the 180 day period
and of the occurrence of any of the following events with respect to the 2015 Bonds:
(1) principal and interest payment delinquencies; (2) non - payment related defaults, if
material; (3) unscheduled draws on debt service reserves reflecting financial difficulties;
(4) unscheduled draws on credit enhancements reflecting financial difficulties;
(5) substitution of credit or liquidity providers, or their failure to perform; (6) adverse tax
opinions, the issuance by the Internal Revenue Service of proposed or final
determinations of taxability, Notices of Proposed Issue (IRS Form 5701 -TEB) or other
material notices or determinations with respect to the tax - exempt status of the 2015
Bonds, or other events affecting the tax - exempt status of the 2015 Bonds;
(7) modifications to rights of bondholders, if material; (8) bond calls, if material;
(9) defeasances; (10) release, substitution or sale of property securing repayment of the
2015 Bonds, if material; (11) rating changes; (12) tender offers; (13) bankruptcy,
insolvency, receivership or similar event of the Village; (14) the consummation of a
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merger, consolidation, or acquisition involving the Village or the sale of all or
substantially all of the assets of the Village, other than in the ordinary course of
business, the entry into a definitive agreement to undertake such an action or the
termination of a definitive agreement relating to any such actions, other than pursuant to
its terms, if material; and (15) appointment of a successor or additional trustee or the
change of name of a trustee, if material. For the purposes of the event identified in
clause (13), the event is considered to occur when any of the following occur: the
appointment of a receiver, fiscal agent or similar officer for the Village in a proceeding
under the U.S. Bankruptcy Code or in any other proceeding under state or federal law in
which a court or governmental authority has assumed jurisdiction over substantially all
of the assets or business of the Village, or if such jurisdiction has been assumed by
leaving the existing governing body and officials or officers in possession but subject to
the supervision and orders of a court or governmental authority, or the entry of an order
confirming a plan or reorganization, arrangement or liquidation by a court or
governmental authority having supervision or jurisdiction over substantially all of the
assets or business of the Village.
It is found and determined that the Village has agreed to the undertakings
contained in this Section in order to assist participating underwriters of the 2015 Bonds
and brokers, dealers and municipal securities dealers in complying with Securities and
Exchange Commission Rule 15c2- 12(b)(5) promulgated under the Securities Exchange
Act of 1934. The chief financial officer of the Village is authorized and directed to do
and perform, or cause to be done or performed, for or on behalf of the Village, each and
every thing necessary to accomplish the undertakings of the Village contained in this
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Section for so long as Rule 15c2- 12(b)(5) is applicable to the 2015 Bonds and the
Village remains an 'obligated person" under the Rule with respect to the 2015 Bonds.
The undertakings contained in this Section may be amended by the Village upon
a change in circumstances that arises from a change in legal requirements, change in
law, or change in the identity, nature or status of the obligated person, or type of
business conducted, provided that (a) the undertaking, as amended, would have
complied with the requirements of Rule 15c2- 12(b)(5) at the time of the primary offering,
after taking into account any amendments or interpretations of the Rule, as well as any
change in circumstances and (b) in the opinion of nationally recognized bond counsel
selected by the Village, the amendment does not materially impair the interests of the
beneficial owners of the 2015 Bonds.
Section 17. Bond Registrar. The Village covenants that it shall at all times
retain a bond registrar with respect to the 2015 Bonds, that it will maintain at the
designated office of such bond registrar a place where 2015 Bonds may be presented
for payment and registration of transfer or exchange and that it shall require that the
bond registrar maintain proper registration books and perform the other duties and
obligations imposed upon the bond registrar by this ordinance in a manner consistent
with the standards, customs and practices of the municipal securities business.
The bond registrar shall signify its acceptance of the duties and obligations
imposed upon it by this ordinance by executing the certificate of authentication on any
2015 Bond, and by such execution the bond registrar shall be deemed to have certified
to the Village that it has all requisite power to accept, and has accepted such duties and
obligations not only with respect to the 2015 Bond so authenticated but with respect to
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all the 2015 Bonds. The bond registrar is the agent of the Village and shall not be liable
in connection with the performance of its duties except for its own negligence or default.
The bond registrar shall, however, be responsible for any representation in its certificate
of authentication on the 2015 Bonds.
The Village may remove the bond registrar at any time. In case at any time the
bond registrar shall resign or shall be removed or shall become incapable of acting, or
shall be adjudged a bankrupt or insolvent, or if a receiver, liquidator or conservator of
the bond registrar, or of its property, shall be appointed, or if any public officer shall take
charge or control of the bond registrar or of its property or affairs, the Village covenants
and agrees that it will thereupon appoint a successor bond registrar. The Village shall
mail notice of any such appointment made by it to each registered owner of 2015 Bonds
within twenty days after such appointment.
Section 18. Book -Entry System. In order to provide for the initial issuance of
the 2015 Bonds in a form that provides for a system of book -entry only transfers, the
ownership of one fully registered 2015 Bond for each maturity, in the aggregate
principal amount of such maturity, shall be registered in the name of Cede & Co., as a
nominee of The Depository Trust Company, as securities depository for the 2015
Bonds. The Finance Director is authorized to execute and deliver on behalf of the
Village such letters to, or agreements with, the securities depository as shall be
necessary to effectuate such book -entry system.
In case at any time the securities depository shall resign or shall become
incapable of acting, then the Village shall appoint a successor securities depository to
provide a system of book -entry only transfers for the 2015 Bonds, by written notice to
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the predecessor securities depository directing it to notify its participants (those persons
for whom the securities depository holds securities) of the appointment of a successor
securities depository.
If the system of book -entry only transfers for the 2015 Bonds is discontinued,
then the Village shall issue and the bond registrar shall authenticate, register and
deliver to the beneficial owners of the 2015 Bonds, bond certificates in replacement of
such beneficial owners' beneficial interests in the 2015 Bonds, all as shown in the
records maintained by the securities depository.
Section 19. Defeasance and Payment of Bonds. (A) If the Village shall pay
or cause to be paid to the registered owners of the 2015 Bonds, the principal and
interest due or to become due thereon, at the times and in the manner stipulated therein
and in this ordinance, then the pledge of taxes, securities and funds hereby pledged
and the covenants, agreements and other obligations of the Village to the registered
owners and the beneficial owners of the 2015 Bonds shall be discharged and satisfied.
(B) Any 2015 Bonds or interest installments appertaining thereto, whether at
or prior to the maturity or the redemption date of such 2015 Bonds, shall be deemed to
have been paid within the meaning of paragraph (A) of this Section if (1) in case any
such 2015 Bonds are to be redeemed prior to the maturity thereof, there shall have
been taken all action necessary to call such 2015 Bonds for redemption and notice of
such redemption shall have been duly given or provision shall have been made for the
giving of such notice, and (2) there shall have been deposited in trust with a bank, trust
company or national banking association acting as fiduciary for such purpose either
(i) moneys in an amount which shall be sufficient, or (ii) "Federal Obligations" as defined
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in paragraph (C) of this Section, the principal of and the interest on which when due will
provide moneys which, together with any moneys on deposit with such fiduciary at the
same time for such purpose, shall be sufficient, to pay when due the principal and
interest due and to become due on said 2015 Bonds on and prior to the applicable
redemption date or maturity date thereof.
(C) As used in this Section, the term "Federal Obligations" means (i) non-
callable, direct obligations of the United States of America, (ii) non - callable and non -
prepayable, direct obligations of any agency of the United States of America, which are
unconditionally guaranteed by the United States of America as to full and timely
payment of principal and interest, or (iii) non - callable, non - prepayable coupons or
interest installments from the securities described in clause (i) or clause (ii) of this
paragraph, which are stripped pursuant to programs of the Department of the Treasury
of the United States of America.
Section 20. Ordinance to Constitute a Contract. The provisions of this
ordinance shall constitute a contract between the Village and the registered owners of
the 2015 Bonds. Any pledge made in this ordinance and the provisions, covenants and
agreements herein set forth to be performed by or on behalf of the Village shall be for
the equal benefit, protection and security of the owners of any and all of the 2015
Bonds. All of the 2015 Bonds, regardless of the time or times of their issuance, shall be
of equal rank without preference, priority or distinction of any of the 2015 Bonds over
any other thereof except as expressly provided in or pursuant to this ordinance. This
ordinance shall constitute full authority for the issuance of the 2015 Bonds and to the
extent that the provisions of this ordinance conflict with the provisions of any other
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ordinance or resolution of the Village, the provisions of this ordinance shall control. If
any section, paragraph or provision of this ordinance shall be held to be invalid or
unenforceable for any reason, the invalidity or unenforceability of such section,
paragraph or provision shall not affect any of the remaining provisions of this ordinance.
In this ordinance, reference to an officer of the Village includes any person
holding that office on an interim basis and any person delegated the authority to act on
behalf of such officer.
Section 21. Publication. The Village Clerk is hereby authorized and directed
to publish this ordinance in pamphlet form and to file copies thereof for public inspection
in his office.
Section 22. Effective Date. This ordinance shall become effective upon its
passage, approval and publication in pamphlet form.
Passed and adopted this 4th day of May, 2015, by roll call vote as follows:
Ayes:Jester, Nadler, Seiden, Struthers
List Names
Nays: None
Abstain: Shapiro
Absent: Farkas
Published in pamphlet form: May 5, 2015
(SEAL)
Attest:
AIL
Village Cle k
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Approved: M_ ay 4, 2015
Village President
CERTIFICATE
I, Kent S. Street, Village Clerk of the Village of Deerfield, Illinois, hereby certify
that the foregoing ordinance entitled: "Ordinance Authorizing the Issuance of General
Obligation Bonds, Series 2015, of the Village of Deerfield, Illinois," is a true copy of an
original ordinance that was duly passed and adopted by the recorded affirmative votes
of a majority of the members of the President and Board of Trustees of the Village at a
meeting thereof that was duly called and held at 7:30 p.m. on May 4, 2015, at the
Village Hall, 850 Waukegan Road, and at which a quorum was present and acting
throughout, and that said copy has been compared by me with the original ordinance
signed by the Village President on May 4, 2015, and thereafter published in pamphlet
form on May 5, 2015 and recorded in the Ordinance Book of the Village and that it is a
correct transcript thereof and of the whole of said ordinance, and that said ordinance
has not been altered, amended, repealed or revoked, but is in full force and effect.
I further certify that the agenda for said meeting included the ordinance as a
matter to be considered at the meeting and that said agenda was posted at least
48 hours in advance of the holding of the meeting in the manner required by the Open
Meetings Act, 5 Illinois Compiled Statutes 120.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of
the Village, this 4th day of May, 2015.
(SEAL)
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US 102436790v2 223788 -00026 5/4/2015 1:56 PM
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Village Clerk