|
|
File #:
|
100654
Version:
0
|
Name:
|
|
|
Type:
|
Bill
|
Status:
|
ENACTED
|
|
On agenda:
|
|
Final action:
|
11/18/2010
|
|
Title:
|
Authorizing the issuance of one or more series of general obligation bonds to provide funds to refund certain outstanding general obligation bonds of the City of Philadelphia; authorizing the Mayor, City Controller and City Solicitor or a majority of them to sell the bonds at public or private negotiated sale; setting forth the purposes for which the proceeds of the bonds will be expended; providing for the maturities and for other terms and conditions and for the form of the bonds; providing that bonds may be redeemable prior to maturity; providing sinking funds for the bonds and for appropriations to the Sinking Fund Commission for the payment thereof; authorizing agreements to provide credit enhancement or payment or liquidity sources for the bonds and certain other actions.
|
Title
Authorizing the issuance of one or more series of general obligation bonds to provide funds to refund certain outstanding general obligation bonds of the City of Philadelphia; authorizing the Mayor, City Controller and City Solicitor or a majority of them to sell the bonds at public or private negotiated sale; setting forth the purposes for which the proceeds of the bonds will be expended; providing for the maturities and for other terms and conditions and for the form of the bonds; providing that bonds may be redeemable prior to maturity; providing sinking funds for the bonds and for appropriations to the Sinking Fund Commission for the payment thereof; authorizing agreements to provide credit enhancement or payment or liquidity sources for the bonds and certain other actions.
Body
THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:
- The Mayor, City Controller and City Solicitor, or a majority of them (in this Ordinance, called the Bond Committee), are hereby authorized on behalf of the City of Philadelphia (the City) to borrow, by the issuance and sale from time to time, of one or more series of general obligation bonds of the City (the Bonds), for the payment of which the full faith, credit and taxing powers of the City shall be pledged, a sum or sums which, in the aggregate, shall not exceed Three Hundred Twenty Million Dollars ($20,000,000), exclusive of Bonds in an amount required to pay costs of issuance of the Bonds, including, but not limited to, underwriters' discount, costs of liquidity and/or credit enhancement, original issue discount or redemption premiums, if any, on the Prior Bonds (hereinafter defined) or similar items, to be expended as provided in Section 2 of this Ordinance. The Bonds authorized by this Ordinance may be sold, from time to time, at a private negotiated sale or at a public sale to the highest responsible bidder as authorized by law, at such prices and upon such other terms and conditions not inconsistent with this Ordinance or other applicable law as the Bond Committee shall prescribe. The Council finds that, if a private negotiated sale is utilized, the sale of all or any portion of the Bonds authorized by this Ordinance at a private negotiated sale or sales is in the best financial interest of the City.
- The proceeds of the Bonds shall be used to provide funds for and towards the refunding of all or a portion of the City's General Obligation Refunding Bonds, Series 1998, General Obligation Bonds, Series 2001, General Obligation Bonds, Series 2003A, and General Obligation Bonds, Series 2008B (collectively, the Prior Bonds).
- The date(s) of issue of the Bonds authorized under this Ordinance, the maturities of such Bonds, the provisions for payments into the sinking fund created pursuant to Section 4 hereof, and the other terms, conditions, provisions and details thereof, within the requirements and limitations of this Ordinance, shall be determined from time to time by the Bond Committee or, as applicable, may be specified in one or more purchase proposals of the successful bidder or bidders or purchaser or purchasers of the Bonds and accepted by the Bond Committee. The Bonds: shall contain series or subseries designations; shall be in denominations of Five Thousand Dollars ($5,000) or any whole integral multiple thereof, as may be determined by the Bond Committee; and shall be substantially in the forms approved by the Bond Committee from time to time, consistent with applicable law and regulations, with such modifications as may be required to express the terms and conditions authorized by this Ordinance.
The Bonds: shall bear interest from the respective dates of issuance thereof at the prescribed rates, including variable interest (not exceeding any limitation prescribed by law), payable initially on a date not more than six (6) months from the date of issuance thereof and thereafter on a monthly, quarterly, semi-annual or annual basis or such other time period as shall be set forth in the Bonds, to maturity or prior redemption, if any; may be subject to redemption prior to maturity at the option of the City, either as a whole or from time to time in part, or be subject to mandatory redemption, on prescribed dates, at prescribed prices, not less than par, and, in respect of partial redemption, by lot or prescribed order and within a maturity by lot; may be subject to tender as shall be set forth in the Bonds; and shall be payable as to both principal and interest at the office of the City's Fiscal Agent and in lawful money of the United States. If the Bonds shall be subject to redemption prior to maturity, such redemption shall be made only after mailing notice of redemption to the registered owners of the Bonds at the owners' addresses on the registry of the Fiscal Agent not less thirty (30) (or such lesser amount of days as shall be set forth in the Bonds) nor more than sixty (60) days prior to the date fixed for redemption.
- There is hereby created a sinking fund to be administered by the Sinking Fund Commission for the payment of the principal of and interest on the Bonds authorized by this Ordinance. The City covenants that in each year in which any such issue of the Bonds shall be outstanding, there shall be appropriated from the tax and other general revenues of the City to the Sinking Fund Commission for deposit to the credit of such sinking fund a sum at least equal to the interest on and the principal of such Bonds as the same become due and payable, whether at maturity or upon redemption. The amounts of such appropriation shall be paid over to the Sinking Fund Commission in respect of principal and interest on or before the respective due dates of or required sinking fund payments for such principal and interest. The City also covenants that in each year that the Agreements (defined in Section 5) are outstanding, it shall appropriate from the tax and other revenues of the City sufficient funds to meet its obligations as they become due under the Agreements.
The City covenants that so long as any Bonds issued by virtue of this Ordinance shall remain outstanding, it will make payments out of its sinking fund or any other of its general revenues or funds at such times and in such annual amounts as shall be sufficient for the payment of interest thereon and the principal thereof when due, whether at maturity or redemption, and so long as the Agreements are outstanding, it will make payments out of its general revenues or funds at such times and in such amounts as shall be sufficient to pay the City's obligations under the Agreements.
- The Bond Committee is authorized on behalf of the City to enter into Agreements (the Agreements) with any bank, insurance company or other appropriate entity (including any governmental insurance program) providing credit or payment or liquidity sources for the Bonds, including, without limitation, letters of credit, lines of credit and insurance. Such Agreements may provide for payment or acquisition of the Bonds if the City does not pay the Bonds when due and may provide for repayment to the bank or other institution from the date of such payment or acquisition.
The Bond Committee is further authorized to make all such covenants and to take any and all such other actions on behalf of the City as may be necessary or appropriate in connection with the consummation of the transactions contemplated herein or as may be necessary to effect this Ordinance.
End
3
|