HomeMy WebLinkAboutORDINANCES-1992-060-O-92•
ORDINANCE NO. 60-0-92
OF CITY COUNcm OF
CITY OF EVANSTON
An Ordinance authorizing the issuance of not to exceed $9,500,000
aggregate principal amount of Residential Mortgage Revenue
Refunding Bonds, Series 1992, of the City of Evanston, Cook
County, Illinois, authorizing the execution and delivery of certain
documents in connection therewith, confirming the sale thereof,
and related matters.
WHEREAS, the City of Evanston, Cook County, Illinois (the "Issuer"), has a
population in excess of 25,000, as determined by the last official census, and accordingly,
pursuant to the provisions of the 1970 Constitution of the State of Illinois and particularly
Article VE, Section 6(a) thereof, the City is a home rule unit of government and as such
may exercise any power or perform any function pertaining to its government and affairs,
including, but not limited to, the power to incur debt; and
WHEREAS, pursuant to its home rule powers and Ordinance No. 93-0-78 duly adopted
• by the City Council of the Issuer on November 13, 1978 (the "Enabling Ordinance"), the
Issuer developed a program with certain lending institutions (together with their successors
in interest, the "Lending Institutions") for the/ Origination by the Lending Institutions of
mortgage loans to finance residential real property owned by persons of low and moderate
income within the City of Evanston, Illinois, which mortgage loans are serviced by the
Lending Institutions; and
WHEREAS, the Issuer provided for the financing of the making of the residential
mortgage loans by the sale and issuance of its Residential Mortgage Revenue Bonds, Series
1979A (the "Prior Bonds"), such Prior Bonds being secured by the Trust Indenture dated as
of January 1, 1979, by and among the Issuer, First Wisconsin Trust Company, as Trustee,
and Continental Illinois National Bank and Trust Company of Chicago, as Custodian (the
"Prior Indenture"), and, except to the extent payable from proceeds of the Prior Bonds,
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744276/RDStaphan/07/13/92
0 certain reserve funds, certain insurance proceeds or moneys from the investment thereof, to
be payable solely from the revenues and receipts and other amounts received by the Issuer
from said mortgage loans; and
WHEREAS, the Issuer has also issued its Residual Revenue Bonds, Series 1987 (the
"1987 Bonds"), payable from the residual revenues and receipts under the Prior Indenture
upon payment in full of the principal of, premium, if any, and interest on the Prior Bonds;
and
WHEREAS, it is now considered desirable and in the public interest for the Issuer to
issue its revenue bonds for the purpose of refunding the Prior Bonds; and
WHEREAS, pursuant to its home rule powers and the Enabling Ordinance, the Issuer is
authorized to issue its revenue bonds for the purpose of refunding, in whole or in part at any
time, bonds theretofore issued by the Issuer to finance the origination or acquisition of
mortgage loans made to finance residential real property owned by persons of low and
• moderate income; and
WHEREAS, pursuant to its home rule powers and the Enabling Ordinance, the Issuer
has now determined to issue its revenue bonds to refund the Prior Bonds; and
WHEREAS, it is necessary and desirable in connection with the issuance of not to
exceed $9,500,000 aggregate principal amount of Residential Mortgage Revenue Refunding
Bonds, Series 1992 of the Issuer (the "Bonds") that a First Amendment to Sale and Service
Agreement dated as of July 1, 1992 (the "Agreement") be executed and delivered by and
among the Issuer and the Lending Institutions; and
WHEREAS, it is necessary and desirable in connection with the issuance of the Bonds
that a Trust Indenture dated as of July 1, 1992 (the "Indenture") be executed and delivered
by and between the Issuer and Continental Bank, National Association, as Trustee (the
"Trustee"); and
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WHEREAS, it is necessary and desirable in connection with the issuance of the Bonds,
the refunding of the Prior Bonds and the provision for payment of the accreted value of the
1987 Bonds that an Escrow Agreement dated as of July 1, 1992 (the "Escrow Agreement")
be executed and delivered by and between the Issuer and First Bank (N.A.), as Escrow
Agent (the "Escrow Agent"); and
WHEREAS, B.C. Christopher, A Division of Fahnestock & Co., Inc. (the
"Underwriter"), has submitted to the Issuer a form of Purchase Contract (the "Purchase
Contract"), setting forth the Underwriter's proposal to purchase the Bonds; and
WHEREAS, in connection with the offering and sale of the Bonds a Preliminary
Official Statement (the "Preliminary Official Statement") and an Official Statement (the
"Official Statement") have been or will be prepared for distribution to prospective
purchasers of the Bonds; and
WHEREAS, copies of the Agreement, the Indenture, the Escrow Agreement, the •
Purchase Contract and the Preliminary Official Statement have been presented to and are
before this meeting;
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NOW, THEREFORE, Be It Ordained by the City Council of the City of Evanston, Cook
County, Illinois, as follows:
Section 1. That it is the finding and declaration of the Issuer that the refunding of
the Prior Bonds through the issuance of the Bonds is advantageous to the Issuer and
therefore serves a valid public purpose; that this authorizing ordinance is adopted pursuant
to the home rule powers of the Issuer and the Enabling Ordinance; and that the words and
terms as used in this authorizing ordinance shall have the meanings set forth in the Indenture
and in the Purchase Contract unless the context clearly indicates another or different
meaning or intent.
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0 Section 2. That the form terms and provisions of the proposed Agreement be and
they are hereby, in all respects approved; that the Mayor of the Issuer be, and is hereby,
authorized, empowered and directed to execute, and the City Clerk of the Issuer be, and is
hereby, authorized, empowered and directed to attest and to affix the official seal of the
Issuer to, the Agreement in the name and on behalf of the Issuer, and thereupon to cause the
Agreement to be delivered to the Trustee and the Lending Institutions; that the Agreement is
to be in substantially the form presented to and before this meeting and hereby approved or
with such changes therein as shall be approved by the officer of the Issuer executing the
Agreement, her execution thereof to constitute conclusive evidence of her approval of any
and all changes or revisions therein from the form of Agreement before this meeting; that
from and after the execution and delivery of the Agreement, the officers, officials, agents
and employees of the Issuer are hereby authorized, empowered and directed to do all such
• acts and things and to execute all such documents as may be necessary to carry out and
comply with the provisions of the Agreement as executed, and that the Agreement shall
constitute and is hereby made a part of this gthorizing ordinance and copies of the
Agreement shall be placed in the official records of the Issuer and shall be available for
public inspection at the office of the City Clerk of the Issuer.
Section 3. That the form, terms and provisions of the proposed Indenture be, and
they are hereby, in all respects approved; that the Mayor of the Issuer be, and is hereby,
authorized, empowered and directed to execute, and the City Clerk of the Issuer be, and is
hereby, authorized, empowered and directed to attest and to affix the official seal of the
Issuer to, the Indenture in the name and on behalf of the Issuer, and thereupon to cause the
Indenture to be delivered to the Trustee, and the Indenture shall constitute a lien for the
security of the Bonds issued under the Indenture upon the trust estate described therein; that
the Indenture is to be in substantially the form presented to and before this meeting and
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hereby approved, or with such changes therein as shall be approved by the officer of the
Issuer executing the Indenture, her execution thereof to constitute conclusive evidence of her
approval of any and all changes or revisions therein from the form of Indenture before this
meeting; that from and after the execution and delivery of the Indenture, the officers,
officials, agents and employees of the Issuer are hereby authorized, empowered and directed
to do all such acts and things and to execute all such documents as may be necessary to carry
out and comply with the provisions of the Indenture as executed; and that the Indenture shall
constitute and is hereby made a part of this authorizing ordinance and a copy of the
Indenture shall be placed in the official records of the Issuer and shall be available for public
inspection at the office of the City Clerk of the Issuer.
Section 4. That the form, terms and provisions of the proposed Escrow Agreement
be, and they are hereby, in all respects approved; that the Mayor of the Issuer be, and is
hereby, authorized, empowered and directed to execute, and the City Clerk of the Issuer be, •
and is hereby, authorized, empowered and directed to attest and to affix the official seal of
the Issuer to, the Escrow Agreement in the nam�,dnd on behalf of the Issuer, and thereupon
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to cause the Escrow Agreement to be delivered to the Escrow Agent; that the Escrow
Agreement is to be in substantially the form presented to and before this meeting and hereby
approved, or with such changes therein as shall be approved by the officer of the Issuer
executing the Escrow Agreement, her execution thereof to constitute conclusive evidence of
her approval of any and all changes or revisions therein from the form of Escrow
Agreement before this meeting; that from and after the execution and delivery of the
Escrow Agreement, the officers, officials, agents and employees of the Issuer are hereby
authorized, empowered and directed to do all such acts and things and to execute all such
documents as may be necessary to carry out and comply with the provisions of the Escrow
Agreement as executed; and that the Escrow Agreement shall constitute and is hereby made a
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• part of this authorizing ordinance and a copy of the Escrow Agreement shall be placed in the
official records of the Issuer and shall be available for public inspection at the office of the
City Clerk of the Issuer.
Section S. That the Mayor and the City Clerk of the Issuer be, and are hereby,
authorized, empowered and directed to cause to be prepared an issue of not to exceed
$9,500,000 aggregate principal amount of the Bonds of the Issuer, bearing interest at a rate
not to exceed 8.00% per annum, payable on such date or dates, maturing in such amount or
amounts on such date or dates not later than January 1, 2009, subject to redemption prior to
maturity, in such form and having the other terms and provisions specified in the Indenture
(as executed and delivered); provided, that the officers of the Issuer executing the
documents, instruments and certificates authorized and approved by this authorizing
ordinance may approve all such changes in such documents, instruments and certificates to
conform to the Indenture as executed and delivered. The Bonds shall be executed in the
• name of the Issuer with the manual or facsimile signature of the Mayor of the Issuer and
attested by the manual or facsimile signature of thp� City Clerk of the Issuer, and the official
seal of the Issuer may be affixed thereto or imprinted thereon, as provided in the Indenture.
The Mayor or the City Clerk of the Issuer shall cause the Bonds, as so executed, to be
delivered to the Trustee for authentication.
Section 6. That the form of the Bonds submitted to this meeting, subject to
appropriate insertion and revision in order to comply with the provisions of the Indenture
be, and the same are hereby, approved, and when the Bonds shall be executed on behalf of
the Issuer in the manner contemplated by the Indenture and this authorizing ordinance in the
aggregate principal amount of not to exceed $9,500,000, they shall represent the approved
form of the Bonds of the Issuer.
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Section 7. That the Mayor or the City Clerk of the Issuer be, and is hereby,
authorized, empowered and directed to issue and sell to' the Underwriter not to exceed
$9,500,000 aggregate principal amount of the Bonds at a price of 100% of the par amount
thereof plus accrued interest to the date of delivery; that the form, terms and provisions of
the proposed Purchase Contract be, and they are hereby, in all respects approved; that the
Mayor of the Issuer be, and is hereby, authorized, empowered and directed to execute and
thereupon to cause the Purchase Contract to be delivered to the Underwriter; that the
Purchase Contract is to be in substantially the form presented to and before this meeting and
hereby approved, or with such changes therein as shall be approved by the officer of the
Issuer executing the Purchase Contract, her execution thereof to constitute conclusive
evidence of her approval of any and all changes or revisions therein from the form of
Purchase Contract before this meeting; that from and after the execution and delivery of the
Purchase Contract, the officers, officials, agents and employees of the Issuer are hereby •
authorized, empowered and directed to do all such acts and things and to execute all such
documents as may be necessary to carry out and,o6mply with the provisions of the Purchase
Contract as executed; and that the Purchase Contract shall constitute and is hereby made a
part of this authorizing ordinance and a copy of the Purchase Contract shall be placed in the
official records of the Issuer and shall be available for public inspection at the principal
office of the Issuer.
Section 8. That the use of the Preliminary Official Statement dated July 27, 1992,
is hereby ratified, confirmed and approved; that the Preliminary Official Statement is
"deemed final," within the meaning of Rule 15c(2)-12 of the Securities and Exchange
Commission; that the form, terms and provisions of the Official Statement are to be in
substantially the same form as the Preliminary Official Statement presented to and before
this meeting and hereby approved, or with such changes therein as shall be approved by the
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officer of the Issuer executing the Official Statement, her execution thereof to constitute
conclusive evidence of her approval of any and all changes or revisions therein; and that the
Mayor of the Issuer be, and is hereby, authorized, empowered and directed to execute the
Official Statement and cause the same to be delivered to the Underwriter.
Section 9. That the Mayor, the City Clerk, the City Manager, the Finance Director
and the proper officers, officials, agents and employees of the Issuer are hereby authorized,
empowered and directed to do all such acts and things and to execute all such documents and
certificates, including without limitation a Tax Exemption Certificate and Agreement, as
may be necessary to carry out and comply with the provisions of the Agreement, the
Indenture, the Escrow Agreement, the Purchase Contract, the Preliminary Official
Statement, the Official Statement and the Bonds, as executed, and to further the purposes and
intent of this authorizing ordinance, including the preamble hereto.
Section 10. That all acts of the officers, officials, agents and employees of the Issuer
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which are in conformity with the purposes and intent of this authorizing ordinance and in
furtherance of the issuance and sale of the Bond; -and the refunding of the Prior Bonds be,
and the same hereby are, in all respects, approved and confirmed.
Section 11. That the appointment of First Bank (N.A.), Milwaukee, Wisconsin, as
Escrow Agent under the Escrow Agreement, and the appointment of Continental Bank,
National Association, Chicago, Illinois, as Trustee, paying agent and bond registrar under
the Indenture, are hereby authorized, approved and confirmed.
Section 12. That after the Bonds are issued, this authorizing ordinance shall be and
remain irrepealable until the Bonds and the interest thereon shall have been fully paid,
cancelled and discharged.
Section 13. That the provisions of this authorizing ordinance are hereby declared to
be separable, and if any section, phrase or provision of this authorizing ordinance shall for
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any reason be declared to be invalid, such declaration shall not affect the validity of the
remainder of the sections, phrases and provisions of this authorizing ordinance.
Section 14. That all ordinances, resolutions and orders, or parts thereof, in conflict
with the provisions of this authorizing ordinance are, to the extent of such conflict, hereby
superseded; and that this authorizing ordinance shall be in full force and effect upon its
adoption and approval as provided by law.
Section 15. That this ordinance shall be in full force and effect immediately upon its
passage.
PASSED, ADOPTED AND APPROVED this 27th day of July, 1992.
AYES: Aldermen Brady, Esch, Washington, Kent, Moran, Nelson, Wollin, Engelman,
Kainey, Lanyon reidman, WaLshaw, riske, Newmau, ra�iell, Lavi".
NAYS: None
Aldermen Heydemann and Drummer
ABSENT OR NOT VOTING:
Mayor •
RECORDED IN CITY RECORDS: July 31 19w-
(SEAL]
ATTEST:
City Clerk
App oved as ta`form
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