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The Board may issue revenue bonds to provide all or part of the money necessary to pay the costs of acquiring, constructing, or improving the facilities of the utility. The bonds must be authorized by an ordinance of the Common Council of the city. Revenue bonds shall be payable solely from the revenues of the utility and are not a corporate indebtedness of the city. The revenue bonds shall bear interest at a rate not to exceed the maximum rate per annum specified by the ordinance, payable annually or at shorter intervals, and shall mature at the time or times determined by the ordinance. The ordinance shall fix the denomination or denominations of the bonds and the place or places of payment of their principal and interest. The bonds may be made redeemable before maturity at the option of the Board. The ordinance may include the terms and conditions considered necessary and proper to protect the bondholders. The ordinance may secure the bonds by a trust indenture between the city and a corporate trustee, which may be any trust company or bank having the powers of a trust company in Indiana, or another state. The ordinance may establish a sinking fund for the payment of the bonds, the interest on the bonds, and the charges of banks or trust companies for making payment of the bonds or interest. The ordinance may pledge the net revenues of the utility after payment of the reasonable expense of operation, repair, and maintenance of the utility, to the payment of the principal of and interest on the bonds and the charges of banks or trust companies for making payment of the bonds or interest. The bonds shall be sold in the manner that it is determined to be in the best interests of the city.
(Ord. 1992-29, passed 1-19-93)