Ordinance 1981-725 - Laserfiche WebLink

Home Browse Search

the City hereby further covenants and agrees to establish, main- tain, collect and enforce a schedule of rates, fees, tolls and charges for connection to and use of the waterworks system of the City, which schedule shall be sufficient to assure that the revenue thereby produced, together with the proceeds of general ad valorem taxes and any other legally available funds, shall pay all reasonable costs and expenses of operating and maintaining the waterworks system and to pay the interest on and principal of the bonds, herein authorized, promptly as the same become due and payable, respectively. Section 6. Defesance. When all principal, interest and prior redemption premiums, if any, in connection with the bonds hereby authorized have been duly paid, the pledge and lien and all obligations hereunder shall thereby be discharged and the bonds shall no longer be deemed to be outstanding within the meaning of this ordinance. There shall be deemed to be such due payment when the City has placed in escrow and in trust with a commercial bank located within or without the State of Colorado, and exercising trust powers, an amount sufficient (including the known minimum yield from Federal Securities in which such amount may be ini- tially invested) to meet all requirements of principal, interest and prior redemption premium, if any, as the same become due to their final maturities or upon designated prior redemption dates. The Federal Securities shall become due at or prior to the respec- tive times on which the proceeds thereof shall be needed, in accordance with a schedule established and agreed upon between the City and such bank at the time of the creation of the escrow, or the Federal Securities shall be subject to redemption at the option of the holders thereof to assure such availability as so needed to meet such schedule. The term "Federal Securities" within the meaning of this section shall include only direct obligations of, or obligations the prinicpal and interest of which are unconditionally guaranteed by, the United States of America. Section 7. Repealer. All ordinances or parts thereof in conflict with this Ordinance are hereby repealed. - 9 -