(A) The right is reserved, in accordance with the provisions of Public Act 94 of 1933, being M.C.L.A. §§ 141.101 through 141.138, as amended, to issue additional bonds payable from the revenues of the system, which shall be of equal standing with the bonds herein authorized for the following purposes and on the following conditions and limitations: for completion of the project in accordance with the plans and specifications therefor; and such bonds shall not be authorized unless R.W. Petrie, or his or her successor engineer in charge of construction, shall execute a certificate evidencing the fact that additional funds are needed to complete the project in accordance with the plans and specifications therefor. If such certificate shall be so executed and filed with the Village Clerk, it shall be the duty of the Village Council to provide for and issue additional revenue bonds in the amount stated in said certificate to be necessary to complete the project in accordance with the plans and specifications. Except, as herein authorized, no additional bonds having equal standing with the bonds of this issue, shall be authorized as issued.
(B) Said bonds shall be in substantially the following form:
UNITED STATES OF AMERICA
STATE OF MICHIGAN
COUNTY OF BERRIEN
VILLAGE OF EAU CLAIRE
WATER SUPPLY SYSTEM REVENUE BOND
No. _____ $1,000.00
KNOW ALL MEN BY THESE PRESENTS that the VILLAGE OF EAU CLAIRE, County of Berrien, State of Michigan, for value received, hereby promises to pay to the bearer, or if registered, to the registered holder hereof, but only out of the revenues of the Water Supply System of the Village, including all appurtenances, extensions and improvements thereto, the sum of
ONE THOUSAND DOLLARS
on the first day of January, A.D. 20__, with interest thereof from the date hereof until paid at the rate of ____ per cent per annum, payable on January 1, 1953, and semiannually thereafter on the first day of July and January of each year, on presentation and surrender of the proper interest coupons hereto annexed 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 ____________________ and, for the prompt payment thereof, the gross revenues of the Water Supply System of the Village of Eau Claire, including all appurtenances, extensions and improvements thereto, after provisions has been made for reasonable and necessary expenses of operation, administration and maintenance are hereby irrevocably pledged and a statutory first lien thereon is hereby created.
This bond is one of a series of one hundred thirty (130) bonds of even date and like tenor except as to date of maturity __________ aggregating the sum of $130,000.00, issued pursuant to Ordinance No. _____, duly adopted by the Village Council on __________ 1952, and under and in full compliance with the Constitution and statutes of the State of Michigan, including specifically Act 94, Public Acts of Michigan, 1933, as amended, for the purpose of paying the cost of acquiring and constructing a water supply and distribution System for the Village.
For a complete statement of the revenues from which, and the conditions under which this bond is payable, a statement of the conditions under which additional bonds of equal standing may hereafter be issued, and the general covenants and provisions pursuant to which this bond is issued, reference is made to the above-described Ordinance.
Outstanding bonds of this issue may be called for redemption prior to maturity, at the option of the Village, in inverse numerical order, on any interest payment date on or before January 1, 1958, at par and accrued interest plus a premium as follows:
$40.00 on each bond called for redemption on or before January 1, 1963.
$30.00 on each bond called for redemption after January 1, 1963, but on or before January 1, 1968.
$20.00 on each bond called for redemption after January 1, 1968, but on or before January 1, 1973.
$10.00 on each bond called for redemption after January 1, 1973, but on or before January 1, 1978.
$5.00 on each bond called for redemption after January 1, 1978, but on or before January 1, 1983.
No premium shall be paid on bonds called for redemption after January 1, 1983.
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 said bonds.
This bond is a self-liquidating bond, and is not a general obligation of the Village of Eau Claire, and does not constitute an indebtedness of the Village of Eau Claire within any constitutional or statutory limitation, and is payable, both as to principal and interest, solely from the revenues of the Water Supply System of the Village. The principal and interest on this bond are secured by the statutory lien hereinbefore mentioned.
The Village of Eau Claire hereby covenants and agrees to fix and maintain, at all times, while any of such bonds shall be outstanding, such rates for service furnish by said Water Supply System as shall be sufficient to provide for payment on the interest upon and the principal of all such bonds as and when the same become due and payable, to create a Bond and Interest Redemption Fund (including a Bond Reserve Account) therefor, to provide for the payment of expenses of administration and operation and such expenses for maintenance of said Water Supply System as are necessary to preserve the same in good repair and working order, and to provide for such other expenditures and funds for said System as are required by said Ordinance.
This bond and the interest thereon are exempt from any and all taxation whatsoever by the State of Michigan or by any taxing authority within said State.
This bond may be registered as to principal only on the books of the Village Treasurer in the name of the holder, and such registration noted on the back hereof by the Village Treasurer, after which no transfer shall be valid unless made on the books and noted hereon in like manner, but transferability by delivery may be restored by registration to bearer. Such registration shall not affect the negotiability of the interest coupons.
It is hereby certified and recited that all acts, conditions and things required by law precedent to and in the issuance of this bond and the series of bonds of which this is one have been done and performed in regular and due time and form as required by law.
IN WITNESS WHEREOF the Village Council of the Village of Eau Claire, County of Berrien, State of Michigan, has caused this bond to be signed in the name of said Village by the President and countersigned by the Village Clerk and the corporate seal of the Village to be affixed hereto, and the coupons hereto attached to be signed by the Village Treasurer, as of the first day of July, A.D. 1952.
VILLAGE OF EAU CLAIRE
By ______________________
President
(Seal)
Countersigned:
_______________________________
Village Clerk
(Form of Coupon)
No. ____ $_______
On the first day of __________ A.D. 20__, unless the bond to which this coupon pertains shall have been called for redemption, the VILLAGE OF EAU CLAIRE, Berrien County, Michigan, will pay to the bearer the sum of _____________ Dollars, in the manner and out of the revenues described in said bon, at ____________________ being the semiannual interest then due on its Water Supply System Revenue Bond, dated July 1, 1952, No. _____.
This coupon is not a general of the Village of Eau Claire, but is payable from certain revenues as set forth in the bond to which it pertains.
_________________________
Village Treasurer
REGISTRATION
Nothing to be Written Hereon Except by the
Village Treasurer
Date of Registration: Name of Registered Owner: Registrar:
(Ord. 201, passed - -)