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FY1967-27 Issuance and Sale of General Obligation Bonds (2)ORDINANCE NO. e1 2 7 — AN ORDINANCE of Kodiak Island Borough, Alaska, providing for the issuance and sale of $750,000 of general obli- gation bonds of the Borough for the purpose of providing funds to pay the principal of the Bond Anticipation Notes of the Borough, dated August 1, 1966; providing the date, form, terms, and maturities of said bonds, creating a fund for the payment of the principal thereof and interest thereon; and pro- viding for unlimited tax levies to pay such principal and interest. WHEREAS, at the regular general election held in Kodiak Island Borough, Alaska (hereinafter referred to as the "Borough "), on October 5, 1965, pursuant to Resolution No. 65 -16 and other resolutions and ordinances of the Borough, the qualified electors of the Borough authorized the issuance of general obligation bonds of the Borough in the total principal amount of $750,000 for the purpose of providing funds to pay the cost of certain capital improvements to the school facilities of the Borough; and WHEREAS, the Borough has issued, under date of August 1, 1966, pursuant to Ordinance No. 66 -19 -0 and Emergency Ordinance No. 66- 18 -E0, its Notes in the principal amount of $750,000 in anticipation of the issuance of said general obli- gation bonds; and WHEREAS, it is necessary and to the best interests of the Borough and its inhabitants that the issuance and sale of said $750,000 of general obligation bonds be now authorized and that the date, form, terms, maturities and covenants thereof now be fixed; NOW, THEREFORE, BE IT ORDAINED by the Borough Assembly of Kodiak Island Borough as follows: Section 1. As used in this ordinance, the following words shall have the following meanings: a. The word "Borough" shall mean the Kodiak Island Borough, Alaska, a municipal corporation duly organized and exist- ing under the laws of the State of Alaska. b. The word "Bonds" shall mean the Elementary School Building General Obligation Bonds of the Borough in the principal amount of $750,000 provided for herein. c. The word "Notes" shall mean the Elementary School Building General Obligation Bond Anticipation Notes of the Borough in the principal amount of $750,000 dated August 1, 1966, and issued pursuant to Ordinance No. 66 -19 -0 and Emergency Ordinance No. 66 -18 -EO of the Borough Assembly. Section 2. That for the purpose of providing funds to pay the principal of the Notes (issued to pay the cost of construct- ing an elementary school building and all necessary appurtenances) when the same becomes due, and as authorized by Resolution No. 65 - of the Borough Assembly and by the qualified electors of the Borough at the above - mentioned election, the Borough shall issue and sell all of the $750,000 of Bonds so authorized in one issue. The Bonds shall be dated January 1, 1967, shall be num- bered from 1 to 150 inclusive, shall be in the denomination of $5,000 each, shall bear interest at a rate or rates of not more than 6% per annum payable on September 1, 1967, and semiannually on the first days of March and September of each year thereafter as evidenced by coupons to be attached thereto, and shall be numbered and mature in order of their number as follows: 2. Bond Nos. Maturity Date Amount 1 -5 September 1, 1968 $25,000 6 10 September 1, 1969 25,000 11 -15 September 1, 1970 25,000 16 -20 September 1, 1971 25,000 21 -25 September 1, 1972 25,000 26 -30 September 1, 1973 25,000 31 -35 September 1, 1974 25,000 36 -40 September 1, 1975 25,000 41 -45 September 1, 1976 25,000 46 -50 September 1, 1977 25,000 51 -60 September 1, 1978 50,000 61 -70 September 1, 1979 50,000 71 -80 September 1, 1980 50,000 81 -90 September 1, 1981 50,000 91 -100 September 1, 1982 50,000 101 -110 September 1, 1983 50,000 111 -120 September 1, 1984 50,000 121 -130 September 1, 1985 50,000 131 -140 September 1, 1986 50,000 141 -150 September 1, 1987 50,000 Both principal of and interest on the bonds shall be payable in lawful money of the United States of America at the National Bank of Alaska, Anchorage, Alaska. or, at the option of the holder, at Chemical Bank New York Trust Co., City and State of New York. Section 3. The Borough hereby reserves the right to redeem Bonds numbered 61 - 150 on the following interest payment dates in whole, or in part and in inverse numerical order, at the following rates expressed as a percentage of the principal amount plus accrued interest to the date of redemption: At 102 112% if redeemed March 1, 1979, or September 1, 1979; At 102% if redeemed March 1, 1980, or September 1, 1980; At 101 1 /2% if redeemed March 1, 1981, or September 1, 1981; At 101% if redeemed March 1, 1982, or September 1, 1982; At 100 1 /2% if redeemed March 1, 1983, or September 1, 1983; At 100% if redeemed March 1, 1984, or any interest payment date thereafter. 3. Notice of any such intended redemption shall be given by one publication in a financial journal printed in the EnFlish language and of general circulation in the City of New York, New York, such publication to be not more than 45 nor less than 30 days prior to said redemption date. Section 4. There is hereby created a special fund of the Borough to be known as the "Kodiak Island Borough 1967 Ele- mentary School Building General Obligation Bond Redemption Fund" (hereinafter called the "Bond Redemption Fund "), which fund shall be drawn upon for the sole purpose of paying the principal of and interest on the Bonds as the same shall become due. From and after the date of issue of said Bonds and for as long as any of the same remain outstanding and unpaid, the Borough covenants and obligates itself to levy and collect ad valorem taxes upon all of the taxable property within the Borough without limitation as to rate or amount, in amounts which will be sufficient to pay the principal of and interest on the Bonds as the same shall become due. All of said ad valorem taxes as so collected shall be paid promptly into said Bond Redemption Fund at least thirty days prior to the dates on which any installment of interest on or principal of and interest on said Bonds out- standing shall become due and payable. The full faith and credit of the Borough are hereby irrevocably pledged for the annual levy and collection of such taxes and the prompt payment of such prin- cipal and interest. Section 5. All of the proceeds of the sale of the Bonds (except for accrued interest, which shall be paid into the Bond Redemption Fund hereinbefore created) shall be paid into the Elementary School Building General Obligation Note Fund created by Ordinance No. 66 -19 -0 and Emergency Ordinance No. 66 -18 -EO of the Borough Assembly and shall be used only for the purpose of paying the principal of the Elementary School Building 4. General Obligation Bond Anticipation Notes of the Borough, dated August 1, 1966, in the principal amount of $750,000, when the same shall oecome due. Section 6. The Bonds shall be in substantially the following form: UNITED STATES OF AMERICA NO. $5,000 STATE OF ALASKA KODIAK ISLAND BOROUGH ELEMENTARY SCHOOL BUILDING GENERAL OBLIGATION BOND, 1967 KNOW ALL MEN BY THESE PRESENTS: That Kodiak Island Borough, a rnunicipal.corporation of the State of Alaska (hereinafter ca_.ed the "Borough "), for value received, hereby promises to ray to bearer on the 1st day of September, 19 the principal sum of FIVE THOUSAND DOLLARS together with interest thereon at the rate of % per annum payable on the 1st day of September, 1967, and semi- annually on the 1st days of March and September of each year thereafter as evidenced by and upon presentation and surrender of the attached interest coupons as they severally become due. Both principal of and interest on this Bond are payable in lawful money of the United States of America at the National Bank of Alaska, Anchorage, Alaska, or, at the option of the holder, at Chemical Bank New York Trust Co., in the City and State of New York. This Bond is one of an issue of 150 Bonds of like amount, date and tenor except as to number, rate of interest and date of maturity, aggregating the principal .sum of $750,000 and is issued pursuant to an election authorizing the same,uzder and in accordance with the 5. laws of the State of Alaska, and duly adopted ordinances and resolutions of Kodiak Island Borough Assembly for the purpose of redeeming Bond Anticipation Notes of the Borough issued to pay the cost of acquiring, constructing, equipping, making and installing certain additions and improvements to the school facilities of the Borough. This bond and the bonds of this issue are payable, both principal and interest, out of the special fund of the Borough entitled "Kodiak Island Borough 1967 Elementary School Building General Obligation Bond Redemption Fund," created by Ordinance No. and Emergency Ordinance No. of the Borough Assembly. The Borough has irrevocably covenanted and agreed to levy and collect ad valorem taxes annually upon all of the taxable property within the Borough without limitation as to rate or amount, and in amounts sufficient to pay the principal of and interest on such bonds as the same shall become due. For the annual levy of such taxes and the prompt payment of such principal and interest, the full faith, credit and resources of the Borough are hereby irrevocably pledged. The Borough has reserved the right to redeem bonds numbered 61 -150 on the following interest payment dates in whole, or in part and in inverse numerical order, at the following rates expressed as a percentage of the principal amount plus accrued interest to the date of redemption: At 102 1 /2% if redeemed March 1, 1979, or September 1, 1979; At 102% if redeemed March 1, 1980, or September 1, 1980; 6 At 101 1/2% if redeemed March 1, 1981, or September 1, 1981; At 101% if redeemed March 1, 1982, or September 1, 1982; At 100 1/2% if redeemed March 1, 1983, or September 1, 1983; At 100% if redeemed March 1, 1984, or any interest payment date thereafter. It is hereby certified that all acts, conditions and things required by the Constitution and laws of the State of Alaska and resolutions and ordinances of' the Borough have happened, been done and performed precedent to and in the issuance of this bond and that the total indebtedness of the Borough, including this bond and the bonds of this issue, does not exceed any debt limitation provided by such Constitution, laws, resolutions or ordinances. IN WITNESS WHEREOF, Kodiak Island Borough, Alaska, has caused this Bond to be signed by its Chairman, to be attested by its Clerk, the seal of the Borough to be impressed hereon and the interest coupons attached hereto to be signed with the facsimile signatures of said officials this 1st day of January, 1967. ATTEST: KODIAK ISLAND BOROUGH, ALASKA By Borough Clerk The interest coupons to be attached to the bonds shall be in substantially the following form: NO. On the first day of , 19 Kodiak Island Borough, Alaska, will pay to bearer at the National Bank of Alaska 7 Borough Chairman