(A) The bonds shall be designated Water Supply System Revenue Bonds, and shall not be general obligations of the Village of Birch Run, but revenue bonds payable out of the net revenues of the system after provision has been made for the payment of expenses of administration, operation and maintenance and shall consist of 100 bonds of the denomination of $1,000 each, dated as of May 1, 1962, numbered in direct order of maturity from 1 to 100, both inclusive and maturing as follows:
Amount | Date |
$1,000 | April 1, 1964 |
$2,000 | April 1 of each of the years 1965 and 1966 |
$3,000 | April 1, 1967 |
$4,000 | April 1, 1968 |
$5,000 | April 1 of each of the years 1969 and 1970 |
$6,000 | April 1 of each year from 1971 to 1983, both inclusive |
(B) The bonds to bear interest at the rate or rates not exceeding 5% per annum, payable on October 1, 1962, and semi-annually thereafter on April 1 and October 1 of each year, both principal and interest to be payable in lawful money of the United States of America at a bank or trust company to be designated by the purchaser of the bonds.
(C) Bonds numbered 1 to 22, both inclusive, maturing in the years 1964 to 1969, both inclusive, will not be subject to prior redemption.
(D) Bonds numbered 23 to 100, both inclusive, maturing in the years 1970 and 1983, both inclusive, will be subject to redemption prior to maturity, at the option of the village, in inverse numerical order on any interest payment date on or after April 1, 1969.
(E) Bonds called for redemption shall be redeemed at par and accrued interest to the date fixed for redemption, plus a premium for each bond so redeemed as follows:
(1) Forty dollars on each bond called for redemption on or after April 1, 1969, but before April 1, 1972;
(2) Thirty dollars on each bond called for redemption on or after April 1, 1972, but before April 1, 1975;
(3) Twenty dollars on each bond called for redemption on or after April 1, 1975, but before April 1, 1979; and
(4) Ten dollars on each bond called for redemption on or after April 1, 1979, but before maturity.
(F) Thirty-days’ notice of the call of any bonds for redemption shall be given by publication in a paper circulated in the State of Michigan which carries, as part of its regular service, notices of sale of municipal bonds, and in case of registered bonds, 30-days' notice shall be given by mail to the registered address. Bonds so called for redemption shall not bear interest after the date fixed for redemption, provided funds are on hand with the paying agent to redeem the bonds.
(G) The bonds may be registered as to principal only in the manner and with the effect set forth on the face thereof as hereinafter provided.
(H) The bonds shall be signed by the President and countersigned by the Village Clerk and shall have the corporate seal of the village impressed thereon and shall have interest coupons attached bearing the facsimile signatures of the President and Village Clerk.
(1992 Code, § 80.004) (Ord. 1-62, passed - - 1962)