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The City of Chicago, acting by its city council, may, from time to time, borrow money for the purpose of paying the cost of constructing extensions, improvements, or both, to the existing Chicago Water System, and for the purpose of paying the principal of and accrued interest on interim notes issued pursuant to Sections 2-32-850 through 2-32-890 of this chapter to provide temporary financing for such extensions, improvements, or both, to the Chicago Water System, and in evidence of such borrowing, issue its water revenue bonds, which shall be payable both as to principal and interest solely and only from the revenues to be derived from the operation of the water system of said city, which water revenue bonds shall become due within 40 years of their date and shall not in any event constitute an indebtedness of said city within the meaning of any constitutional or statutory provision or limitation on indebtedness which may be incurred and the water revenue bonds shall not be payable from ad valorem taxes to be levied and extended against taxable property situated within the city. The procedures for the issuance of water revenue bonds shall be as substantially herein provided in Sections 2-32-780 through 2-32-840 of this chapter.
(Prior code § 7-67)
The city council shall adopt an ordinance (hereinafter designated the "water revenue bond ordinance"), which shall set forth the amount of money necessary to be borrowed and the amount of the water revenue bonds to be issued in evidence of such borrowing, shall describe in a general way the improvements, extensions, or both, necessary to be made and the estimated cost thereof. It shall not be necessary that such water revenue bond ordinance refer to or incorporate therein by reference detailed plans and specifications of such improvements, extensions, or both.
Prior to the adoption of any such water revenue bond ordinance, a public hearing shall be held thereon by the finance committee of the city council, provided that no approval of projects to be permanently financed thereby shall be necessary if such projects have been theretofore approved by the finance committee and the city council, and financed through the issuance of interim notes pursuant to Sections 2-32-850 through 2-32-890 of this chapter, pursuant to a notice given of such public hearing, such notice to refer generally to the subject matter of the water revenue bond ordinance and to be published at least once in a newspaper published in and having a general circulation within the City of Chicago, the date of such publication to be not less than ten days prior to the date of the public hearing.
(Prior code § 7-68)
The water revenue bond ordinance shall fix the details of the bonds to be issued, including their date, number, denomination and maturity, which cannot exceed 40 years from their date and their maximum rate of interest which shall not exceed eight percent per annum. The bonds shall be sold in such manner as may be determined in the water revenue bond ordinance and they shall be sold at a price of not less than par. The water revenue bond ordinance shall further provide that it will be plainly stated on the face of each water revenue bond that the same has been issued under and pursuant to the provisions of this ordinance and that such water revenue bond does not constitute an indebtedness of the City of Chicago within any constitutional or statutory provision or limitation as to debt. The water revenue bond ordinance shall further set forth and contain such provisions and covenants as may be deemed necessary or advisable for the assurance of the prompt payment of the water revenue bonds thereby authorized and as may be thereafter authorized and including the prompt payment of water revenue bonds or certificates theretofore issued and which by their terms are payable from the revenues of the Chicago Water System and may be then outstanding.
(Prior code § 7-69)
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