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HomeMy WebLinkAboutOrdinance No. 19692ORDINANCE NO. I f~~ AN ORDINANCE PROVIDING FUR THE ISSUANCE AND SALE BY THE CITY OF EUGENE, ACTING BY AND THROUGH THE EUGENE WATER & ELECTRIC BOARD, OF NOT MORE THAN $15000,000 AGGREGATE FRINCIPAL AMOUNT OF REVENUE BONDS FOR THE PURPOSE OF fly REFUNDING $14,145,000 OF ELECTRIC UTILITY SYSTEM CONSERVATION REVENUE BONDS, SERIES 1985, AND ~2} PAYING THE COST OF AN ENERGY CONSERVATION PROGRAM UNDERTAKEN BY SAID CITY, ACTING BY AND THROUGH THE EUGENE WATER & ELECTRIC BOARD, TO FINANCE ENERGY CONSERVATION MEASURES AND UNDERTAKINGS ON BEHALF OF CUSTOMERS SERVED BY THE EUGENE WATER & ELECTRIC BOARD; PROVIDING FOR CERTAIN OTHER MATTERS IN CONNECTION THEREWITH; AND DECLARING AN EMERGENCY. THE CITY OF EUGENE DOES ORDAIN AS FOLLOWS: Section i. Findin sand Determinations. The City Council of the City of Eugene, Oregon, hereby finds and determines that ~1} on December 1~, 1954, the City Council enacted and the Mayor approved ordinance No. 19301, authorizing the City, acting by and through the Eugene Water & Electric Board ~"Board"}, to issue and sell up to $30,000,000 aggregate principal amount of revenue bonds or other evidences of indebtedness of the City, payable solely from the net revenues or any portion thereof of the Electric Utility System of the City, or from any other moneys lawfully available therefor, for the purpose of financing energy conservation measures and undertakings on behalf of customers of the Electric Utility System; ~2} pursuant to said Ordinance No. 19301, the City, acting by and through the Board, issued $17,000,000 aggregate principal amount of Electric Utility System Conservation Revenue Bonds, Series 19H5 thereafter referred to as "19$5 Bonds" } ; and ~3 } it is now deemed advisable and in the best interest of the City to issue not more than $15,000,000 aggregate principal amount of Electric Ordinance - 1 Utility System Conservation Revenue Bonds to refund $14,145,044 of the 1955 Bonds, and to pay the cost of an energy conservation program undertaken by the City acting by and through the Board. Section 2. Pravisians far Issuance and Sale of Bands. The terms and provisions of such bonds and the terms upon which the same may be sold shall be as set forth in this ordinance; provided, however, that the Board is hereby authorized to prescribe by resolution ~"Bond Resolution"} all such terms and conditions in addition to and not in conflict with those set forth herein. The terms and conditions prescribed by this ordinance are as follows: a. The bonds shall not be sold at a price less than ninety-eight and f ive-tenths per cent ~ 9 S . 5 ~ } of the par value thereof, shall mature not later than eleven years from the date thereof, and shall bear interest at such rate or rates per annum not exceeding thirteen per cent ~13~} per annum. b. Such bonds shall include a statement on their face to the effect that ~1} they do not in any manner constitute a general obligation of the Board, or of the City of Eugene, or create a charge upon the tax revenues of said City, or upon any other revenues or property of said City, or property of the Board, but are a charge upon and payable solely from the revenues of the Electric Utility System of the City, or any portion thereof, yr from any other moneys lawfully available therefor, pledged to the payment thereof; and ~2} the holders thereof may only look for repayment to the revenues of the Electric Utility System which are pledged to the payment ordinance - 2 thereof, and may not directly, or indirectly, be paid or compensated through the property of the City, or the Board, or by or through the taxing power of the City. c. The Board may provide for the refunding of any bonds by the issuance and sale of refunding bonds or other evidences of indebtedness upon such terms and conditions as it may prescribe, and pledge to such refunding bonds or other evidences of indebtedness all ar such part of the net revenues of the Electric Utility System, or the portion thereof, or any other moneys lawfully available therefor, as it may determine; provided, however, that such refunding bonds or other evidences of indebtedness shall not be sold at a price less than ninety-six percent X96%~ of the par amount thereof, shall mature not later than ten years from the date thereof, and shall bear interest at such rate or rates per annum not exceeding thirteen per cent ~13%~ per annum. d. Provision shall be made for the complete amortization of the principal amount of the bands issued under the authority of this Ordinance within a period of eleven years from the date of issuance, through the medium of serial or sinking fund bonds or otherwise, as the Board may determine. e. Subject only to the provisions of resolutions heretofore adopted by the Board providing for the issuance of bonds payable from the net revenues of the Electric Utility System, any pledge of the revenues or other moneys or obligations of the Electric Utility System made by the City Ordinance - 3 acting by and through the Board shall have such lien and priority as the Board shall determine and shall be valid and bindirng from the time such pledge is made. The revenues or other moneys or obligations so pledged and thereafter received by the City shall immediately be subject to the lien of such pledge without any physical delivery or further act. f. Without limiting the powers extended to the Board to determine terms and conditions of the bonds in addition to and not in conflict herewith, the Board is authorized, in its discretion, and to the extent permitted by law, to provide in connection with the authorization of such bands: that such bonds and the interest thereon may be payable, collectible or registrable at any place or places within or without the State of Oregon; that such bends may be issued in fully registered form; that such bonds may be redeemable, either at the option of the Board, or by the operation of any sinking fund provided for the issue, at such time or times and at such price or prices as the Board may determine; for the appointment of such fiscal or paying agents, registrars, trustees, or other agencies, for such bonds, as the Board may determine, for the benefit and protection of the holders of such bonds; for the deposit of funds including bond proceeds with such agents ar trustees far any lawful purpose for which such funds may be deposited; far the manner of disbursement of, and accounting for, bond proceeds; for the rights and remedies of the holders of such bands ; for the establishing and maintaining of special ordinance - 4 funds or accounts to insure the payment when due and payable of the principal of and interest vn such bands and for other purposes, from proceeds of the sale of bonds or revenues of the Electric Utility System yr other moneys lawfully available and pledged to the payment of such bonds and the interest thereon, and for the investment and reinvestment of moneys or obligations in such special funds; and to covenant with, and for the benefit of, the holders from time to time of such bonds as the Board may determine. g. The Board shall, by resolution, determine the amount or amounts required far the purposes for which the bonds are authorized hereunder, and shall also determine that any and all acts, conditions and things required to exist, to happen and be performed precedent to and in the issuance of such bonds exist, have happened and have been performed in due time, form and manner as required by the Constitution and statutes of the State of Oregon and the Charter of the City of Eugene. h. The bends Shall not be sold until the fn~7nw;nn actions have taken place: ~1~ Legal opinions have been rendered by bond counsel, and special counsel if special counsel is employed, for the Board that the bonds are duly and legally authorized and do not constitute general obligations of the City of Eugene and qualify for tax-- exempt status. Ordinance - 5 ~2~ A legal opinion has been rendere d by general counsel for the Bonneville Power Administrat' ion that the Bonneville Power Administration is author' ized by law to pay the interest and principal on the bon ds and has a legal obligation to do so ursuant to ~ ' p the Residential Weatherization Program Conservation A ree g went, executed by the United States of America De art r p went of Energy, acting by and through the Bo ' nneville Power Administration, and the Cit dated Se Y ptember 29, 1983, as the same is or may be amended and su pplemented from time to time, yr any agreement in subs ' titution therefor; or the Amendatory Residential Weatherization Revenue Bond Financing Agreement, executed b the ' y United States of America, Department of Energy, actin b g y and through the Bonneville Power Administration, and the Cit y, dated June l0, 1985, as the same is or ma be Y amended or supplemented from time to time. ~3} General counsel for the Cit has re ' Y viewed the Bond Resolution and any other resolutions of the Board enacted pursuant to this Ordinance and has ' determined that such resolutions} do not conflict ' with the terms and conditions prescribed by this Ordinance Section 3. Re ortin . The Board shall s ' --~~~~-~ ubmit tv the City of Eugene the following reports on Au ust 1 a g fter the first sale of bonds and on each October 1 thereafter ` until the bonds have been paid and retired. Ordinance - 6 a. A report on the Residential Weatherization Program explaining past and projected expenditures of bond proceeds and conservation benefits realized and anticipated. b. A report on the funds established pursuant to the Bond Resolution describing the funds established, the amounts in each fund, expenditures from each fund, the manner in which the moneys in each fund have been invested, the income from such investments and the application of such income. c. A report on bond payments describing amounts paid and amounts scheduled to be paid and the source of such payment. d. A report on Bonneville Power Administration compliance with the terms of the Amendatory Residential Weatherization Revenue Bond Financing Agreement describing amounts billed to and paid by the Bonneville Power Administration and the dates of such payments. e. If the contents of the reports required by subsections a, through d, are included in the Board's yearly audit report, the Board may comply with this section b Y transmitting a copy of its yearly audit report to the City of Eugene. Section 4. Audits and Bud ets. The Board shall forward to the City all reports and audits prepared or conducted pursuant to the Amendatory Residential Weatherization Revenue Bond Financing Agreement and the Bond Resolution, including, but not limited to, audits conducted by the Bonneville Power Administration, within ten days of the date such reports or audits are prepared or received. ordinance - 7 The Board shall forward to the City all written notices from the Bonneville Power Administration objecting to any expenditure of funds. The Board shall provide the City with copies of all approved and proposed budgets submitted to or approved by Bonneville Power Administration, Section 5. Emer enc Clause. This Ordinance is essential to the public welfare and safety and therefore an emergency is hereby declared to exist and this ordinance shall take effect immediately upon its passage by the City Council and approval by the Mayor, retention by the Mayor for more than ten days, or readoption over a mayoral veto by two-thirds of all members of the Council. Passed by the City Council this ~~day of ~ , 1990 (rte ~. City Recor r Approved by the Mayor this ~,~ day o f ~~„~, , 19 9 0 o, Ordinance - 8