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Home My WebLink AboutMinutes 06/25/1959June 25, 1959 ;10 :00: A M. City AA 11 �,- - Petal,umaj Calif. ,pecial� meeting of:the-Council of the'-Ci ty called to order _b y � Mayor Parent, ent.. ..' ROLL CALU. Pres Councilmen -Crinella, 7 Ellis - King - Van..Babher- &. Mayo. . r'P,a.ren.t. Absent:- - Councilmen.GUs.tafso.n - and Matzen. CALL POA MEETING: The" y Clerk read the Mayora 91 9 - Q411. for the' Meeting the certificate of mailing of . notices of'said call; and the consent of the mem hers of the Council to the holding of said meeting. 4 d7 Th,e.purpos I e I Of the meprovid eting being to consider the proposed or a . creating water departmentng water rates a nd charges for water furnished by -the water . sysXem of the City - setting forth and , providing ;for establishment of rules:. - T.ogulati6nsfor"water service - and. connections;: etc. ........ members of the City, Q.0uncil ex res Np, sed their-Wishes regarding certain changes which they felt necessary. A : a l engthy discussion in which members of the.Counci-1, Mr., Ed Wells of Stone Youngberg., - City. Attorney, Robert- and „City Manager-Ed Frank partici- pat.Od; . and, . after .polling the Council, the following ch were directed made in the proposed - ordinance: Sec*tion 11, paragraph .A, changed to read,- :.Connections; Permit to Connect; Main: Extensions .Anypei; I son whose premises not connected with the -Water System upon the date of acquisition of the Water System by.the City shall connect any premise's or cause Any premises to be connected with the -Water System only,after first obtaining a permit .to.do s the,Manager, a h G or -H of �t his and, for d connection made pursu Paragr-ap, SL section, shall pay a connection charge which shall. be the vactual cost of the ". - -, — SectiQp,ll,, paragraph G; lines ..8 & 9.: The words "if required:, or $100, whichever .is greater" deleted. Section n 1.1 paragraph G;. lines 17 4 18: the wo r ds -"if more than , $100'." deleted. Sec r 't C changed, to read: pa ragraph h H; ids' senten p "Adjustment of any substantial difference between the estimated and rieisonable.'ac*tdal cost of such installation will be made within 90 days , afier'complotion . of'the instdllatibnViAnd's,qch - connec'ii except _ for.the cost o f : the meters) shah be su bject to refund' 152 J41Y.25), 1959 .-!Water Department,;.,. Duties of Manager. :.Section .12, paragraph b, ch-anged read,.- " . ub Counci 'S iect to the control of the and the' limitations of the Charter the .Water. Department shall consist'of q Manager of f the - en -- ag" Water Department,, and other em o ees,� are d eter m ined 1- . -;- - . p .'y dete,r-mined to be necessary, The changes having been made, Ord., #544 N. Co S, introduced .b. b Councilman .-. Ellis, seconded byCou.ncilm.4A Van B.ebber. ent !'AN ORDINANCE OF THE CITY OF PETALU MA,. CATI A RENG ., WATER — 11 . L. ME . .1.. � T AND _ . ". -- .. a � ... D W . G WATER RATES. CKARG ES' WATER FU RNISH ED I B - Y THE WATER . S . YSTEM OF ... . SAID: CITY SETTING FORTH AND PROVIDING FOR ESTABLISHMENT OF RULES AND'REGULA-TIONS FOR WATER ;SERVIC AND CONNECTIONS% PROVIDING 10R'�'M AS 'N OF F COLLECTION 0 , F CHARGES AND FOR ENFORCEMENT ME'A8,P�, k gi . S.I ; N, CASE OF NONPAYME NT OF CHARGES OR FOR CERTAIN VIOLATIONS; PROVIDING FOR:APPEALS.IN CERTAIN CIRCUMSTANCES: PROVIDING I I �. .. -1- w. 1,- b --4 '"AF P URSUANT ' ' -- xv- . P FOR, DISPOSITION OF R RECEIVED TO THIS ORDI NANCE, FOR USES TO, WHICH, SUCH REVENUES- SHALL; _ BE ' APPLIED AND PROVIDING FOR EFFECTIVE DATE OF THIS ORD!�:` INAN[C'E AND OF CHARGES HEREUNDER. . ..... was ordered *published by the following vote Ayes Councilman Crinell.a, -.- Ellis, King,- Van,.Be4bgr M and : M ayor P arent. Noes`. None, Absent - Councilmen Gustafson '& Matzen. The purpose forwhich the meeting was -called ha in' been°acc6mblisho.d , g the meeting Was adjourned. Md Attest, / City, Glerk 2 June 2 1959 - 7:30 me City Hall - Petaluma,- Calif; Adjourned ineeting of the Council of the City,of Petaluma called to order by Mayor Parent. ROLL CAL Present: Councilmen Crinella, El.lis,. Gustafson,' Matzen, Van..Bebber and Mavor Parent. Absent: Councilman King. APPROVAL OF MINUTES: Minutes :from the meeting of June 25, 1959, were approved as recorded. Mayor Parent requested that the minutes of June 22, 1959, be corrected to indicate. that moneys received by the Chamber of Commerce from the City were not used to pay salaries or to run the Chamber of Commerce, but for Butter and Egg 'Days; industrial promotion, etc, The Clerk was directed to correct the minutes accordingly., Minutes from the meeting of June 22, 1959, were then approved ;PETIT COMMUNICATIONS: Letter-from Slate Dept. of -- Public_ Works dated June 23, 1 signed ley, F'o W. Montell, Assistant: Dist. - Engineer, attaching Memorandum of Agreement for expenditure of Engineering Allocation for City streets for the fiscal: year ending June 30, 1960, submitted and filed; whereupon, Res,- #2267 Na Co S. introduced by Councilman Matzen, seconded by Councilman .Crinella, entitled, 'RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PETALUMA ADOPTING BU DGET AND APPROVING MEMO- RANDUM OF' AGREEMENT EXPENDITURE OF FUNDS ALLOCATED UNDER SECTION 2.107.5 OF THE STREETS AND HIGHWAYS CODE. was read and adopted by 6 affirmative votes, 1 absentee, Naval Ammunition Depot � Re Moving of - Same Letter from Petal Chamber of Commerce dated J une 23, 1959; requesting that the City protest the relocation of the ammunition depot to Tubbs Island, read and filed. Members of the Council unanimously agreed that the proposed reloca- tion of the depot should , be protested.' Councilmen Ian Bebber and pointed out harm the relocation of the depot could do in regard to any future industrial - bay frontage. The City. Attorney wa s -- directed to prepare a resolution the Council 's , opposition to the project, and the matter was to be taken up later in the mee�tinga Letter from Assistant County. Counsel John Co dated-June 22, 195% .ire McDowell School site road. problem, read and filed. Councilman King . entered the meeting at this time - - approximately 7 :45 p.-,.m, (1) Draft of. proposed letter composed by Dir. of Public :Works Alfred J Roberts, addressed to -Swanson_Construction Co. re'McDoWell Apartments was read,' approved by the Council for maii. `and filed. Referring back to the letter from A,ssisiant CountyCouns� -_I John .Co Gaffney, - Councilman King suggested thaE the Council go out to the area involved . to hook over the street situation and decide what should be done° Letter from James L Scott, 651 Central Ave. , dated June 22, 1959 thanking the.. City Council and - Commission for- the favorable - action taken on h:1s recent request to rezone property, read and ,filed, Letter from Cordon- -W. - Miller Chi & Water. Conserv�ation.Dist. , darted dune 26, design, read . and ,filed, The letter stated in part. "It would Council, by resolution:, were to request the to start surveys, route .studies,, and design ing that District costs so incurred 'would'bE funds when - available. - that the Board would utilizing other funds available .to the Distric Copies of the - letter were to be subn for their information. - The City- Attorney was directed - to 'p in Mr. Miller °. s letter. for next Monday nib Engineer Sonoma°. County Flood 1959p re .Petaluma aqueduct appear to me that if your City' board of Directors of the - District as scheduled with the: - understand a retroactive charge' against- bond authorize the start' of' work' t on an interim basis"., itted to members of the, Council f '1 8 mo ° Councilman King was time, REPORTS OF CITY OFFICIALS,. Claims approved for payment by and filedQ whereupon, ✓pare a - resolution, as suggested t s me.eti.ngo :used from the rneet.ng at this Qi ty Manager4ere submitted Res, . #2272 N CD.Sa introduced by Councilman Matzen, seconded by Councilman Crinella appr.ov° ing claims and (Nos. .4797 `to 4999 incl�usiveJ was read`and adopted by 6 affirmative votes,. 1 absentee, City - T isson gen Woodworth - Annexation Resolution bf'P1ann1ng C6'm, mission recommending 'adopticjn of .proposed amendment to Zoning Ord.. #340 NCS, reclassifying the "U" :zoned - area known as 'Ben .Woodworth - -Annexation, except the 92 X 50 ft. parcel on the NW bound ary, and the adjoining R'.l R 2 a?ad R73 lairds to the sotithwhich are owned by Ben Woodworth to - an R-° 1 "zone or distric submitted - filed; letter of explanation thereon dated June 2,6, 1959 signed b - : Director .oi Plarnii g Richard Ho Coleman, submitted and - filed, Mr. Ben:Woodworth addressed the Council pointing out the ;exact boundaries of the proposed rezoning `l°o'a question by. Counoi.lman :Gustafson relative to the inclusion :of a playground area in the - annexation, Mra Woodworth stated that a playground area consisting of 3 blocks had originally been planned. However., - tb comply with F. H A regulation on this. it was learned that the p.laygrou ld area :have to contain. - an area of-some.- 6.or.7- blocks. If the City wishes to - acquire the necessary additional -for rhis CMr Woodworth stated that he would be willing xo sell th lots 'at the development price of approxirncately- $2400° ea. ( (cont "d) June 29, 1959 Ben. Woodworth - A nne'xation- cont'd Mr. Woodworth stated there would not be adequate space within the annexation for a school site, although there was suitable property on the north boundary, of the annexation for this purpose. The following 9rdinance was . then introduced: Ord. . #545 -Na Co S. introduced by Councilman..Gus seconded by Councilman. Ellis, entitled, "AN ORDINANCE AMENDING THE ZONING ORDINANCE NO, .3,40 No C Sa BU RECLASSIFYING ' ' THE "U" ZONED AREA KNOWN AS BEN WOODWORTH ANNEXATION EXCEPT THE 92 X 50 FOOT PARCEL ON THE NO - RTHWEST BOUNDARY' AND TEE ADJOINING R-1, R- and R3 LANDS TO THE SOUTH WHICH ARE OWNED BV BEN WOODWORTH.- TO AN "R-l" ZONE OR DISTRICT., ?i ordered published by the following vote. Ayes- Councilmen Crinella, Ellis, Gustafson, Matzen and Mayor Parent. Noes, Councilman Van Bebber. Absent- Councilman King. .Variance:-. E. Von Raesfeld Resolution recommending. - - granting of Variance to E. . Von Raesfeld, 26 LdCfesta, submitted and filed; whereupon, Res. - 422.69 N, C. So introduced by Councilman Ellis, seconded by Councilman Van Bebber, entitled, "RESOLUTION GRANTING APPLICATION OF E, VON RAESFELD FOR A VARIANCE FROM THE REQUIREMENTS OF ZONING ORDINANCE NO, 340N. Co S.. T? was read and adopted by 6 affirmative votes, I absentee, ..Variance - Kenilworth,.Enterprises Resolut ion, rec(im.rt0nd.in 9 grbnting of Variance to Kenilworth Enterprises, submitted and filed; whereupon, Res. #2270 No Ce S. introduced by Councilman Ellis, seconded by Councilman Matzen, entitled, "RESOLUTION GRANTING APPLICATION OF KENILWORTH ENTERPRISES FOR A VARIANCE FROM THE REQUIRE- I -MENTS OF ZONING ORDINANCE NO 340 N. C'. S. TV was road and adopted by 6 affirmative votes, I absentee. , Use Permits - -Vera Prevette & Mrs. joy Bertolu'cci Resolution granting Use Perin-it td',' Vera . PreV6tte to -conduct home for foster children, submitted and filed, Resolution granting Use Permit to Mrs. joy Bertolucci to conduct home for foster children, submitted and filed.' (3) J une 2.9 1959 Naval Amin EM the subject matte.r. Thexesolution was s g of -Same;, � - qont!d iO - .61 ution' he had'p on - read and`adopfed'as follows: Res #2268 No C.-S ' introduced by Councilman Van Bebber,_ by Councilm.an.Crinella, entitled, "RESOLUTION EXPRESSING OPPOS PETALUMA TOTHERELOCATIO.' AMMt D EPOT' FROM` TO T-U9BS_ISL_ANDI. . N.SONOMA 'Q FORNIAo adopted by 6 affirmAtive.votes, 1 absentee. Copies ' of'the resolution Mere -to be W. Miller and ,senator Joseph A Ra,ttiga.n. , of IN Of THE CITY jDF THE N�AVAL (IC AGO - CALIFORNIA, A 7Y, STATE QALI- Lt to U.. S. Congressman Clement 11c -Morks -Old Adobe School. Site Rdport of Public . June 29, 1939, re Old. School site, submitted and filed. Report of Planning. Dira dated , June 2 1959.:' re Old I Adobe Schootsite submitted Cit and fil.(,jd'. y-Engineer A.1 Robe s explained the various reasons why his office Rebe and the officeof - the - Planning, Di ector felt - that this site - would be - a proper location for the proposed new school He suggested the Co uncil meet with the Trustees of the Old Adobe School District - to 'discuss thematter with them, in.asmuch - as - thiss . ito was b eing . iproo6sedby the Cft' Y. Engineer W an ger `a's'diretted At the suggestion ofthe'Clty - M , a the City _s t h i s ' - area showi n'g how 4heva .rioius' sfr�66t 1 - eventually to prepare a map of I be extended in order that the City might be prepared for future pldlnning,� e of Portion, of Mc,,. Park Edduard Robert and signed by Field '..Efigi gine filed, The communication as follows " From the measure rents taken on i Club it is evident that the woven wife - fenc property from MqNeAr Park f . s not on said :show that the ferice.l's l on Mr. Robert explained - that at the' app foot, the 'total sale price - the property wt that the,. Boy s..Club `was aware of this sitbat final. price; whereupo'n, Club ddr6ss,ed to Roy Co Kelly submitted "and ile ground at''the Petaluma Boys. - separating"the Bovs,.° - Club Tqperty line'., The measurements McNedr."Pdik property Af vais.a price of GO 00 per front, ild now run :$ - - Ho sfdted_ in and had'n objection to the Or'd,- introduced by Councilman" Gustaf sb b y Co Cou 'c*'Iman Van Bebber. entitled, "AN ORDINANCEAM'THO-RIZING THE SALE AND EXEC ' UTION OF DEED`TO THE P ETA LUMA'B6YS:`."dLQB' 9 11 N C. Op "A PORTION OF Mc-NEA:R' A ! . . 1. ! was ordered. posted by 6 atfifmative votes, � I absentee. MO p. m. Mayor Parent declared a . 10 minute recess. (4) 1'57 June -2.9, 1959 The meeting was called back to order Councilman King returned to the: Council Chamber at this time. . CONSIDE'RA "TI'ON OF UNFINISHED BUSINESS. Water Revenue Bonds Ord.'.. #'544 NCS - Creating a. Water Dept. , Providing Water Rates, etc Ord. #544 Co S introduced by Counc .l.man Ell;►.s, seconded by Councilman `Tan Bebber, entitled, "AN ORDINANCE OF THE CITY OF PETALUMA CREATING A WATER DEPARTMENT; PROVIDING WATER RATES AND CHARGES FOR WATER FURNISHED BY THE WATER SYSTEM OF SAID CITY; SETTING FORTH AND .PROVIDING FOR ESTABLISHMENa' OF RULES AND REGULATIONS FOR WATER SERVICE AND CONNECTIONS; PROVIDING FOR MEANS OF COLLECTION OF CHARGES AND FOR ENFORCEMENT MEASURES IN CASE OF NONPAYMENT OF CHARGES OR FOR CERTAIN VIOLATIONS; PROVIDING FOR APPEALS IN CERTAIN CIRCUMSTANCES; PROVIDING., FOR DISPOSITION OF REVE- NUES RECEIVED PURSUANT TO THIS . OR_DINANCE, AND FOR USES TO WHICH SUCH REVENUES SHALL BE APPLIED; AND PROVIDING FOR EFFECTIVIE DATE OF THIS'OR'DINANCE AND OF CHARGES HEREUNDER,` adopted by 7 affirmative votes. Councilman King asked Mr, Ed. Wells if he felt that the bonds would sell for under 57 Mr. Wells answered that there was not a. particularly good outlook on the subject at this time, He went on to explain if the bids received Were over the anticipated 5%, the Council if'so desired, reject all of the bids and readvertise at a later date, The .resolution providing for issuance of bonds was then adopted, Res #2260 NCo S introduced by Councilman Van Bebber, seconded by Councilman Ellis, entitled, "PROVIDING FOR THE ISSUANCE OF $3� 300, 000 PRINCIPAL AMOUNT OF "CITY :OF PETALUMA 1959 WATER REVENUE BONDS' AND OF $x,.800;'000 PRINCIPAL AMOUNT OF SERIES A BONDS ` PRESCRMING THE TERMS, CONDITIONS, DATE AND FORM OF SAID SERIES A BONDS AND OF THE COUPONS TO BE ATTACHED THERETO AND PRESCRIBING THE MATURITIES THEREOF; F`1XING THE MAXIMUM RATE OF INTEREST ON THE BONDS OF SAID ISSUE; AUTHORIZING THE EXECUTION OF SAID SERIES A'BONDS AND COUPONS; PROVIDING* FOR' THE SECURITY OF THE BONDS OF SAID ISSUE AND APPOINTING A FISC AL AGENT THEREFOR; AND ,PROVIDING FOR THE ISSUANCE OF ADDITIONAL BONDS'°. " adopted by 7 affirmative: votes. (5) 15 8 Jrne'29, 1959 Water Revenue Bon , .. cone ° d Resolution A thorizing :Sa.le of Series . A Bonds _... _ Resro - #2271 No G.S. introduced by-Cotinciln n .Crinella,, seconded by C- unciln an Mat zenH entitled, '!RESOLUTION OF THE CITY COUINICIL OF THE CITY OF P Eq'AL A Atg'THORIZING AND D1 ` G T �INE THE :SALE` OF $2; 8W 00 0 PR_1'NCIPAL .AMOU OF C ITY OF PETTALUMA ' 1959 WATER E N B - SERIES A adopted by -7 affirmative votes The foregoing Ordinance 4544 No Co S. and - Resolution Nos 2260 Co S' and 2271 No Co So are attached hereto and m ade "a part Hereof as though. fully set forth heroin, Commission Ord .,�,. Discussion on the basic law of 'the water operation. The - `Water follow through on that ordinance, Following :dlseussion as to how specific thi setting forth the duties of the Water Commission -. read .excerpts. from. x_ he Ci ity Charter pertain%ng to signs, the Library Board and the City Manager. ceugn liraar water btdfnange sets forth Commission would .merely .ordinance sl7 of ld be .1n etc ., -th :e= City.Attorney the duties of City , commis° ApproMmately 9 p.m. Councilman Matzen was encased from the meeting, It was the consensus of the Lou'ncl the ordinance setting' up the commission should read that the commission would work very close.. ly 'with. the water 'dept.. :It was also felt that the , comn'ssion should. have the - authority to make , certain decisions without brixaging the - matter before the . Council., Mrs Robert suggested adding a section to the ordinance to provide. for appeals There were no objections tot hiso The' City Attorney was directed to draft the subject ordinance in its ,final 'form in :accordance with the wishes of 'the Council, Mrs 'Ed.'Wells requested that the Council pass a : _resolution appointing its bond printeres in the near future, The (amity Clerk o:�pl;ained - that this is specialized work and fhe Carlisle Co had been contacted in _regard to same There ,be ng. no objection `to the appointment` of Carlisle Co, as th bond printer, the City Attorney was direpted to prep'a're 'a resolution on the m atter, Mr,, - Wells asked if the Council would be interested in advertising in the Bond : Buyer, He stated that his firm was . recommending such - .action in this case. The cost this advertising would be between and.1300a City .Clerk Gla.d:ys Wallin stated that she 'b the .City usually advertised its ,general obligation, bonds in this manner, Mt. Wells was directed to secure further details on subject. To a question by Councilman Cr nella concern ng the billboard ordinance Mr FFrank -stated that as he understood, there. is nothing to - .. prevent people from advertising by billboard this time -- as long as planning and zoning rules and regulations are observed, - He , expl.a'ined - that - this advertising matter would have to be removed, however, one year after the landscaping of the freeway, 1 `61 0. ` 10:30 p. m. - A 10 minute recess was declared, The meeting was called back to order, June 29 1.959 Budget Study Budget Sections 100, 150, 101 & 103.were tentatively approved as recommended by the City Manager., with the exceptions listed below: Section_ 100, 110 ® Personal, Services Added - $3120 130 - Personal Services, Overtime.- Added $2000 0 230.- Travel Expense _- Added $150, 410 - Office Supplies- Added.$1500 420 Field Supplies - Deleted $100. 431 - Electricity,- Del.eted $250 460 - Meals for Prisoners.- Added $50e 467 - in.- service Training - Added $500 51.0 - Office Equipment - Added $500. Section 150. 310 - Repairs, Office Equipment ° Added $200 A request was made for funds in Section 1500 120 to be used for the part-time parking meter repairman until. such time as the full-time repairman reports on the job, This request was not granted, with the on the part of the Council., that a sum of money would transferred into this section at a. later date to compensate for the expenditure. Section 101 322 - Repairs, Auto Equipment - Added $1000 422 - Auto Parts & Materials,,- Added $200. 433 - Water Added $500 450 - Special. Services - Added $50. 522 - Auto Equipment - Added $2500., new Chief's car. Section 10 322 ° Ambulance Repairs Added $25. ADJOURNMENT: There being no further business to come before the Council, the meeting was adjourned until Wednesday, July 1, 1959, 7:30 p. m. Mayor. o Attest .., Gt/ City Clerk., (7) 1 Y l,� J �. 162 1 - �` . -, INTRODUCED BY"COUNCILM In Nbrman, P. Van DEebber .:SECONDED BY COUNCILMAN Thos. J. Ellis', Jr: RESOLUTION '_No _ 2260 NCS Providing for ,the Issuance, of $%300 Principal 'Amount of 'Ci of PetJuma 190" Water Revenue Bonds" and' o f $2,80(1,00O.Principal ond Prescribing, the Terms, Conditions Amount of Series A B res iions j Date and Form Said gqries A bonds and :-o f the C01i " onsto Be 'AttacheJ P Thereto and P *b in e g M" Maturifies2 Thereof.- Fixingthel.Maximum rescri- the bonds.o h, h Execution e f SaiJ Issae.,,,Aui Authorizing the Ra Said Se ries 'f Int . rest o A Bonds and eou Pons; Providing - for the WSeeuriq . of ' the Bonds of Said Issue, an fi F ' ,Avent Therefor; an _P Me A r d ProvId'in" fortheIssuance, of Additional Bonds. WH the Council of the City of'Petaluma on the 4th day of March- 1959, duly passed an d adopted, �a resolution calling a special, revenue: bond eleeff"on 'held in the City on, April 2S, 1959, f or the purpose - submitthi to the 9 q ualified electors of� the. City the measure ,(hereinafter set fo'Ah) to issue, $-3,300,P00 principal ,amount of water. revenue, 'bond's under the Revenue Bond Law of 1941; ;and - WHEREAS, all requirements of I.aw have been compli with in calin and holding , ,said special revenue bond election, and ihe,;Council, did duly and regularly canvass the returns of said election and did by r g that said, said canvass deter-mine and - decl4, e- and do hereby , ce - measure ,received at said special revenue bond ,oloet-i-onithe affirmative votes op, said es of a majority of all Ahe. voters: V, otipg measure at said .election and said measure was thereby y carried and ado by said election and the issuance ;of said -water revepue' bonds . by the City for , the purpose d'ose :in said, measure was dulyauthori4edl; and WHEREAS, the City does tnOt now pwwn, or operate: any "water system - for the supply,, treatment. t-ransmission.,or distribution of water sand the Co uncil deems it%�advis6ble,to acquire,, construct improve and ;fmance the", Enterprise compfis a municipal . water sv,,stern for the :City'as described: in said measure; Now, BE IT RESOLVED by the Couii6il of the City of Petaluma as TolloWs.f SECTION 1. Definitions'. The terms .hereinafter in this Section I d4in6&8haIl for- all purposes of this Resolution, -of any resolution pro- viding for the issuance of Ronds of any subsequent "series or of Addi , tional. Bonds hereqnder, of all s ,B.ohds and of -uny certificate, opinion or other docuinent herein mentioned, have the :meanings herein specified ; - 2; - (a) "City" means the municipal corporation.known as the "City of Petaluma' ; in the County° of 'Sonoma, State of California., ' "Council" means.: the Council- of the City or any other govern- rig board of.•the City hereafter. rovided for pursuant to, law. -'� - (c), "Resolution" means this,Resoliitiari: (d) "Bonds" means the $3 principal °amount "of .City' of Petaluma MO Wager Revenue Bonds ::authorized by and at any time _ outstanding pursuant' to'this Resolution:• (including- the Series A ;Bonds hereinafter provided for .arid all subsequent ser-- es of,: Bonds' 'of said issue): ; Add tionaI'' '.Bonds means Additional Bonds • (n addition to =said $3;3,0.0,00;0 `principal amount of the. Bonds') hereafter authorized, pursuant to the Law and at any time outstanding pursuant to the pro= vi910 and subject, to the limitatio of Section. 11. hereof. "Serial 'Bonds"' means Bonds, falling -due by their •terns, in specified years, for which no minimum' siniting fund is provided. "Term' Bonds" means Bonds ;payable at ror before their specified maturity dates from mini ;mum'sinking fiend- payment's: established . for that purpose arid:calculated p y eS T` to retire such B; means the Revenue BondeLawa f 1941 bein e (e)' «Law" . - - g - 5, Division, 2, Part 1, 'Chapter ,6, of the California Government Code. (f) "Enterprise" means whole ,and each and .every part, of the - municipal water system. of the ,City described, in -,the measure ,`set forth in.,Section '2 Thereof; together , with all additions,'better•-ments,. extensions and improvements to isa'id municipal water system or'anypart thereof now or hereafter `made. . (g)'; "Gross•,Reveniies of the . Enterprise ", "Revenues of the Enter- I. prise" and • "Revenues" mean 611 gross revenues of the Enterprise, in- '1 eluding; all fees, •tolls rates and other °charges received from, and all :. other income, receipts and : profits, derived by °the City ,from the , opera- 4tion of the Enterp`ri`se; or a4sin out of the Enterprise,,.or in °anyway incidental to the ownership of the Enterprise by, the City, i- ncludng y interest,anduincome from any investment'of' ofthe.Funds provided' for in' Section 9 hereof; togethetwith 'all gross revenues) of all add t oils, `betterments; improvements and extensions to the; Enterprise her constructed,, or acquired,; excepting• all, connection charges and. refund- , able deposits ;made to establi§h, credit. (h') "Mantena'rice and Operation Costs" of the Enterprise means the reasonable and; "necessary costs of maintaining and' oper__atmg, the - Enterprise, ,calculated on , sound .accounting principles, . excluding. in All cases depreciation and. obsolesce p nee charges or reserves therefor and amortization of - intang tiles. or other bookkeeping entries of a similar nature, but mcluding (among other things.) the xeasonable'expenses of management; repair,; and other `expenses necessary to maintain. and good repair and workin preserve the Enterprise 'in g order, adminis- traton, overhead, insu taxes (if any except. to: the extent other- p ( =_ h errand other similar, costs. "Fiscal w,ise(I) "Fis al Year means teeepe od beginning on July 1 of each P. y and endin on thenext succeedin June 30.. ear g (' ) ""Annual Revenues means all 41ross Revenues of the Enterprise during any, period .of twelve months; (excluding from Gross Revenues of the Enterprise} ,(i) all "moneys. transferred from the. 1959 Water - f ystem Acquisition. and Construction Fund to the 1959 Water Revenue. Fund pursuant to 'the.. pr.oVisions of Section'? hereof, (ii) all proceeds of iinsuraiice deposit in the Revenue =Fund pursuant to P Section 10:(k), hereof' and (iii) all net proceeds realized by the City P g 13 hereof ded Revenues of from _ eminent domain :: roceedin s and determined to be n is of the Enterprise there= rise durin' f om all Maintenance and Opertation Costs ; p g p p. su . period: or_ means "the Mayor of `the City; "Clerk" m ealis the City c: Clerk) "May " Cle rk; and "Treasurer" means the Treasurer. (I) "Fiscal Agent" means Bank lof America National Trust and Savings Association, 'being 'the 1959 Water Revenue Bond Fiscal. Agent provided,for in, Section 16::hereof:' (m) "Water" means water :furnished by the City through the Ente rprise n " Maximum Annual Debt :Service" means the,'maximum amount ( ) py a a on all outstanding Bonds and Additional Bonds, in any fiscal year (beginning with> °the, fi "seal year i which. such calculation is made 1. and ending with the fiscal yearin'which the last.of such Bonds by their terms "mature) on account of (i)' interest, plus (:ii) serial�°maturties of principal of Serial. Bonds 'or nnandatory miniiizum annual, sinking fund payments of Term Bonds. SECTION 2. Due Aicthorizatzon and:,Purpose of Issue: (a) 'Phe Council. ;has 'reviewed all proceedings' heretofore taken relative 'to the "authorization of °"the Bonds and has found, as 'a result of` such review, and does hereby find-. and determine, that all acts,,con -, ns dit o and thins require by 1'aw to exist,'happen and be g q p _J . •V 4 precedent to and in the :issuance, of the Bonds have existed, happened` and been ;performed in -due time, form and manner as required by law, and the City is now authorized, pursuant to each and every requirement of law, to 'issue the Bonds_in manner and form as: n this: Resolution Provided.. (b) The Bonds shall issue for .the purpose;. set forthin the. following ;measure MEASURE (A) : S'ha t the City of Petaluma issueprevenue b'onds:in (Water the principal amount of $3,300,000, =pursuant to System) the Revenue Bond. Law of 1941, to provide 'funds for theacquisition, construction, improvement and financing of the following enterer- ise,'to wit: A water system for, the supply, :treatment, ;storage, transmission `and; distribution of,' water, including, ,lands, easements, reservoirs, water rights, water tanks,. wate mains, wells, pumps, pumping; equipment, meters, fire - ' hydrants storage, treatment, transmission1 and distribution facili ties, and other works,, properties or structures` necessary or con- F venient f or a`mumcip ;4 water system for the City of Petalunia 9 (c) It is hereby found. and determined that the City does not n_ow. own nor operate, municipal water system that the` Enterprise, . when acquired, . constructed and = improved as described in said measure, will constitute a -, new mun cipal improvement and a - complete municipal -. water system forAe City; that the City hAs�made all necessary, arrange- menu for the acquisition (including acquisition by purchase. from _ • c ds t i sale of t vement and financ g of thee Com pany), I n r r se from the ro eed&` e r . o he Series A California . � p * Bond's hereinafter provided for:; and that the.'proceeds of sale of the Series A Bonds shall. therefore be applied to the payment of the costs of 'the ,acquisition, ,construction, improvement and . 'financing of the Enterprise, Accordingly, it. is', hereby found and.,determm_ed as follows': r the Enter rise can 'be,., cquire :and imp d, constructed roved as a O p °. complete municipal waster system from the funds; available and- tbi be available to. the City .from the proceeds. of sale of the Series A Bonds,; (u)i rates and charges can be fixed,. levied and.collected upon the Enterer - -ise for the services, facilities and water fur- niched by the Enter prise; (rr) said water rates and charges; together with all other Gross .Revenues of the Enterprise (as said term is defined` in Section: 1(g) hore.6f), shall constitute the Revenues of the, Enterprise pledged to thel payment of the principal of and interest on and to the security, of the and Additional s Bbnd �,a . herein provided;, and (iv) the Gross , Revenues of the *Enterprise : are hereby pledged to -the, s'erVice. of the Bonds and Additional'Boiidg heteinAfterauthoriz6d, and all Gross , Rev .-enues accruing,, to the Enterprise on or affer date of delivery of and payment for the Sbri6s A Bonds, shall be deposited in. and Accounted for through the Revenue Ftn(I -provided. for in Section 90) hereof. No sums collected by the City d a Fiscal Year as�fees for connec- . y P - rin . % any y tions to the Enterprise 'or tefiin&ble, deposits made. to. establish credit - shall constitute Gross. Revenues .of the E nterprise. 3. Authorizat' n -of Bonds;. The; B"onds shall be issued and sold as naft set-4 ofth and pursuant to the -Law and shall be known .as," City of Petaluma 1959 Water Revenuet'Bonds, The aggre- gate principal amount of bonds% Which may be is sued by the City and secured by this Resolution, ;and , outstanding At Any one, time is limited to j3,300,'000,, except as hereinafter provided, With respect to the i a . ne , e of Additional Bonds hereunder. The Bonds shall b&negotiable -in form and shall. contain a recital that they are issued pursuant'to the Law. The Bonds „shall be divided into series. An initial series of. Bonds, lirnit6d in aggregate, principal, Amount to not exceeding $2,800,000 at any one time outstanding, :is herObTereated and shall constitute "Series A "; and the remaining" $500 ;000 principal ,amount of the Bonds may be divided into one .or more 'series As the Council shall determine by res,o- lutionafthe time of the issuance of all or any part of said remaining ggOOO principal amount Bond al nt of B* d �subject, however, to the - provisions and limitations, of S 11 hereof The Series A-,,B,6,nds shall, be 2,300 in-number, numbered consecutively from Al to A2800, both inclusive 6f the denomination of $1000 each The .Series A Bond shall, be dated S eptember 1, 1959 (which is hereby de . termined to be; the , date. , of the 'issue of the Series, A.'BoRds.).. The Bonds shall 'bear interest from their date until paid at the rate l or rates designated by the Council at the time of th& sale thereof but not , to exceed, six per, cent '(6: %) per annum: 'Saidlntet6st 0 n each 'series of Bonds shall be, payable, semi - annually or annually the first year and thereafter semi - annually as determined by the. Council at) the t ime of the issuance and sale of ea6li-series, of" the Bonds,., .Such interest shall be evidenced by coupons attaehed to each Bond andoach of said J z. 1 1 coupons shall represent' six (,6) months' interest i(eXcept` the .first coupon on Bonds as to which interest is `payable annually the .first' year which shall represent. twelve '('12) months' interest); ,on the Bond to which it Is attached:. . Interest on :the Series A Bonds shall be payable;'annually the. first. year -and thereafter semi - annually. The interest coupons' on the Series A :Bonds shall `be payable' .annually: the first'year° on `September 1, 1960, and thereafter semi_ annually on the •first day of M ' rch ;and the'first day, of September in each; year until the, Series A Bonds are paid. Both 'the °principal, of and.-interest "on the Bonds shall, be payable. m lawful money° of the. United States of America at the San Francisco Main Office of Bank, of America National T =rust and Savings Associa- tion, in the City and County of $'an Francisco:; State of California, _, the . Fiscal Agent, but only outs of the special. `funds hereinafter provided for that purpose: _ p y ` The Series A Bond`s .shall mature and become a able .a s set forth in following schedule Bontl Numtiers. Principal Maturity Date Bond•Numbers . - Principal Maturity Date (All: numbers Amount- Septembei I (All;;numbers Amount September 1; inclusive ands inclusive aril . beanng:Prefix 'A"). tearing NO "A ") 1- 25 , $ 25`,000 1961 386- 440 $: 55,000 1970 26- 60 35,000 1962 441- 495 55,004 1971 61- ,100 40,060 1963. 496- 555 60;000 1972' 101- 140 40 1 000 1964. 556- ,620 65,000 1973 T41- ..185' 45,000 1965 6,21- 685` 65,000 1974 `. - 186- 230 45,000 1966? 686= 755 70 1975 231 280' 50,000 1967 756- 825 70,000 1976 281 330 '50;000 1968 826- 900 75,000 1977' 3317 385 55,000' 1969 901 -2800 1 1994 Series A. Bonds. maturing in the ,years- `1961 =1977, both inclusive, are hereby desi`gnat_ed "Serial Bonds" and Series: A.Bonds maturing in .the year. are, hereby designated "Term Bonds ". 'Serial Bonds numbered.A1 to'A900, both inclusive, .maturing by their terms on or prior to .September. _1, 1977, are not.;subject to call and redemption prior. to' ; their, fixed maturity dates. Terre Bonds numbered; A901 to ,A2800 both,inelusive, maturing on .September 1, 1094, are -sub - - ject `to call and, redemption, at. the option of .the City, on September-1, 1970; but not prior thereto, and on .any rnterest:payment date thereafter_ prior to maturity as a' i 61e, or in part. by lot, from funds .derived by 7 the City from any source - eluding the Series A Sinking Fund- Account p "r "ovided.for in Section 9 (°e:) hereof, at`the principal, amount thereof and ,accrued interest to "date of',-redemption plus a premium as set forth in �- -; Column 3 below, as follows Column I ColumnI ColumfiFI Column I Column ',2 - o Column 3 Bonds Redeemed And'Prior to, Premium - Bonds Redeemed And Prior to, Premium On or After September i On on After, , - September-ill "September f 1970 1972 4 % 1982; 1983; 2 % 1972, 1974 3 =1983 1984 13/4% 1974 1976 3 1984 ;1985 1976' 1978 3 1985 1986 li /4, 0 1978 1979 '3 % 1986 1987 1 - 1979 1980, 23/4% 1987 1988 3 /4 of'1'fo 1980 1981 2 1988 198.9 1%2 of 1 50 1981 '198.2 2 1989 T990 1 /4 of J70 1990' 1Vlaturity none: Whenever funds are available for the, -call and redemption of any of the Bonds' then "s-ubject. to call, and redemption, the Fiscal Agent shall determine the serial numbers of the Bonds to be; redeemed (including the serial numbers, of the Bonds to be redeemed by.lof) and the Fiscal Agent, shall also determine Itho date of redemption of such Bonds:. Notice of any such redemption shall. be published, 'by -the Fiscal Agent, as agent of ;the City, once week for two successive weeks in ,a newspaper of general circulation printed. and published in the City, and County of.San Francisco, State of Calif6rnia'r The notice of redemp- tion shall, set forth the, Bond numbers and. principal` amount. of, the Bonds so to be called redeemed, the amount of'the premium payable ,and thereon at the date of redemption and the fund; or funds from which said principal and premium are ,to be paid by the Fiscal Agent. A copy of such notice" shall be forwarded to the Clerk by`the Fiscal Agent: not `later than. ten - days' after lhe..date of first .publication of said notice. ' ..Similar notices shall' 'be, mailed :at -the: ame time by the Fiscal Agent to the original purchaser of each series of .Bonds or Additional Bonds issued hereunder: and also to the respective registered owners of , a_ ny Bonds called for redemption at their addresses appearing oii he r'egis- trati'on book in the office of the Fiscal,Agent; provided that such'mail- ing shall not be a condition precedent; to such redemption and failure to - mail, or receive any: "such notice'" shall° not affect - the: validity of-the pro,- ceedings for the redemption of such Bonds. The .first publication of. such notice of redemption. shah: be not less �th'aii 30.,days, nor more than , 66 days prior to the date fired for such redemption. After the date fixed for -such redemption 'if the .Fiscal Agent, as' agent :for the City, shall have- duly published notzmof such redemption and the City ;slia'll have provided funds available for. payment of the' pyl cipal, premium, if .'any, and'accrued interest. on the Bonds. so called, interest•on such,Bond.s shall, cease. All Bonds and coupons surrendered to the-Fiseal, Agent upon call for redemption: and; all Bonds and coupons purchased_ by the Fiscal Agent pursuant to. `iSeetions 9(e) and (h) (3) Hereof shall be. cancelled by the Fiscal Agent and 'shall not ,be °reissued: SECT ON 4 forms of ' Series. , A Bonds, Coupons and I�eg2st,ration = Endorsement The Series..A Bonds and coupons �and'.for of 'regis ` tration endorsement shall,each be-in substantially the following respee- 'five forms, the blanks...'in said forms to Ve,filled with appropriate, words or figures, namely UNITED'STATES OF AMERICA . STATE OF CALIFORNIA COUNTY OF ,SONOIVI 'CITY OF PETAL'C MA 1959 WATER REVENUE BOND SERIES' A No. A. . ............... $1,000 _ The. CITY: - of PETALU•MA, '.a. municipal corporation iorganized and - existing under the Constitution and ;laws of the State: °of Cali_ forn a. hereinafter called' "the .City "), '-for value - received, `hereby promises to pay exclusively out of the ,special fund, hereinafter mentioned, to the `bearer. (or if' ;this Bond be, registered, to the registered owner hereof ), on'tlie first day of September, 19 .... , sub; ject to any .right of 1 prior redemption hereinafter- in ithis -Bond ex'" . _ pressly provided for, the principal sum of ONE' THOUSAND DOLLiAR& ($1 together wi -ih inter:est�thereon :from the date :hereof at .. rate of .. - - - -• -- - - - - - -- - - - - -•- _- . - - -_- . -. ..................... '� - - - -- -- - - - - -- ) per cent.; per annum' until_ payiiment of� said principal Burn in: full, annually the first year. on: September. 1, 19:60, and thereafter semi- annually on March_ 1 and September' `1 in each. year. Unless this. Bond be p ,I p y p y on pre sentation -and surrender of the proper interest cou only'. 'registered, such :interest rior to maturit shall be,.. a able _ . ons hereto attached as they respectively become ..due. ;Both the.prin cipal of and 'interest on thisi`B'ond are "payable, exclusively out of said special fund, in,lawful of the United States of .America at — the:'!Sa.n Main Office of "Bank of America.Nationa'l.Trust ; Francisco and Savi -ngs- Association in the City, and County of 'San Francisco, :the "Fiscal Agent "). State of California (Hereinafter called 'This Bond is. one of a. duly authorized ,issue, of - Bonds of the Cit a r..e atin Three Million Three .Hundred Thousand Dollars y gg g g' ($3;300;000) principal. amount, all of like tenor and ,date (except foresuch variations, if'any; as +maybe required, to designate varying series, dates,, numbers; maturities, interest: ;rates or redemption, ' provisions) and• is issued under and pursuant ` o, the Constitution and; tatutes of the State of . California, including; the; Revenue. Bond Law of 1941 ..(hereinafter referred to ;as ":-the .Law-''), and under and pursuant to the :proceedings .of the City duly adopted aril :tal0n, including. Resolution, No _ = -- - -� hereinaf ter called the Resolution "),, adopted' by the City Council of the :City on Rune 29, 1959; ,and a vote and assent of .a majority of the qualified voters of .City voting at a. special, election duly called and „ ,the held "for that purpose. Reference °is hereby made to the Resolu- tion ,all of the rovisions of.which are orated. herein , p _m for a speci and m the coupons appurtenant hereto,. _ description. of the security therein provided, the nature, extent ,and manner of enforcement of such security, and 16. statement of the rights- of bearers or. registered owners of the Bonds, to all of the provisions - :of whi'cli the bearer or regist__ red_ —net hereof consents;an agrees'. Each taker and subsequent holder hereof and of said ,coupons, p eto or detached herefrom, h haoe t shall ecourse of the p ovision"s of the Law and the :Resolution' and shall be bound by All of the terms and conditions thereof:. This Bond is issued ,for the purpose of raising money for the . -. acquisition, construction, improvement and financing of an Enter- prise comprising a muni cipal water'system of the City, and both the principal lieieof` and interest :hereon, and of a11 Bonds of said authorized issue, and of M, Additional Bonds that may be issued ursuant 'to the rov'sioris of the: Resolution, m, accordance with p r p the` terms and conditions thereof - -;: are equally, secured (except as to maturity, •redemption provisions and''varyng interest rates and; 10 except insofar as any sriliing fund account or .account established in, accordance' with the ' rovisons of the Resolution may, afford p _ additional security for any series of Bonds or for any .Additional Bonds) without priority, for number,. date :of bonds, of sale, of. execution or of delivery; by a pledge, charge and lien upon the Revenues of the Enterprise pledged to the payment. of the prin = cipal ,of and interest on the Bonds. in accordance with the; provi- sions hereof and of the. Law acid the Resolution: Both: the .principal hereof andinterest hereon;.and-of all Bonds of said authorized issue are payable egclusively from the= special fund' hereinafter' and in, the Resolution referred to,. which said fund is hereby pledged for. the security of the Bonds of said. authorized' . . issue and all Additional. Bonds, issued pursuant. to the:,Resolution. The, City hereby covenants: and warrants that, for the payment of this Bond' and all 'other Bonds of, .:said authorized issue and all Additional ,Bonds issued pursuant to the Resolution :and interest hereon and thereon when. ,due and for the, protection or better securing of all, Bonds, there has been created and will be main - 1 . tained�a s ecial,fun p d ' (,designated�ihe `-`1959 Water Revenue Fundl into which all of the .Grosse Revenues of the Enterprise shall be deposited, ,and the City will promptly pay this Bond and all Bonds of said authorized issue I and all Additional Bonds issued pursuant to the Resoluton interest accruing hereon and thereon and all premiums (if any-,) when ,due or redeemed, out of said ,special fund, all in accordanceVith`the terms hereof and the terms and pro- visions of`.the.Resolut_ion. This Bond, 'including interest hereon is a spec, ial,obli obligation of :the. City and is payable solely from the Reve= nues pledged to the paymenthereof and the City is not'obligated to xeept from said Revenues. This Bond is not secured P 3' a the same e by the taxing power of the City The City hereby covenants and warrants that it will operate the:Enterprise in an-efficient and,,econom cal manner and will open= ate maintain a n,the Enterprise in,good repair and work;. �� i d reserve P ing order from the Revenues available.'for such purposes as pro. oided in the Resolution and that,,it will prescribe, revise and collect. such fees, tolls rate s and.other charges in connection therewith as will produce, Revenues at least equal to the amounts thereof pre scribed by the Resolution, and: sufficient to ,pay the ,interest: on and, pr :of the Bonds in accordance with the. provisions of the Resolution: . 1 11 inclusive; maturing Bonds numbered At- to. A900,._botl -: - by . :.: their terms on or prior to September-..1, .1977, are not subject to call - "... ° and redemption ,prior to their fixed matur -ity .dates., Bonds_ nom' -. b,_ a bered A901 'to A2$00, both,:inclus ve, .maturing.,on 'Septemb_er 1, _ 1994 r p p of the City, ' f , ., . r- thereto and on any interest oiiSe tember 19701but notap o ' p ,, p y , part by . p date t hereafter' rior to maturit, a s a, whole or m , '. lot, from funds der- ived'by the.City.from +any source; including the g p _ in tlie. Resolution, Series. A Sinkin - Fund. Account rovided for at the principal amount thereof and "accr-.ued interest to date of redemption ;plus' .a premium as set forth in- Column 3 below, as follows 6iumn'1 Columpl , ColumO Column t Column 3 Column 3 Bonds Redeemed And Priorto Premium- Bondsi 'i med And Priub , Premium On or After` September 1 On or After Seotember.l ' September 1 September I 1970 1972 4� . ;% 1982.. 1983 2 R - 1972; 1974 $ 1983 1984 ' 1974 1976 31,/2% 1984 1989` 1 1976 1978 31/4 1985 158'6. 1 1979 % - 1987' 1978 3 198& 1 19.79 198U :23/4% 1987 1,988'' 3/4 of I% 1980 - 1981 21/Z% 19881 19891 1 /2,of °176 1/' 1989' 1990 1/4 of 1 °fo :1981 1982 2 4 '70 1996 Maturity` none Notice of any such redemption shall be,publishedby.the Agent, as- agenf, of the City; once a eek for two successive'weeks, a newspaper of general circulation, printed:and published in the City - and County of San.Francisco,, State of California. The first publica- tion of such notice 9hall,be not, less than'30 nor.-,more than 60 days prior to the d"ate:fixed for such rederription After the date fixed for such redemption, if the Fiscal Agent, as _ agent of the City, shall have duly published riot] ce - of such redemption and the City shall have provided funds available for payment of" the 'principal, pre= mium, .if any, and accrued. interest, on. the Boiids s'o called, interest _ on:suchBonds shall cease. The Bonds 'of said :authorized issue and, .the coupons apper_ taming thereto, -'and the Resolution, may be amended, altered or modified at •any -tune; in the manner, to: the eXtent and upon the -. terms . providedlthe- Resolution< „ 12 It is hereby certified and declared that all acts con& tons and things requlred,`by 1 aw to exist, happen" be performed precedent to and in the 'issuance of this Bond have existed hap- 're- pened and been performed in due time, form and mariner as that the amount of this Bond; •together with all quired by law and other j debtedness of the City, does not exceed =any lixiiit prescribed by the Constitution,o"r statutes of said State. 'in the manner in .the This Bond may' be reglstered ,provided Resolution and thereafter 'principal hereof and interest hereon shall be. payable only to such registered. owner. IN WITNESS Wj EREOF, the City of Petaluma 1ias Caused this be under its; official. seal, signed by its ,Mayor and Bond to executed its T and .countersigned by its Clerk,, and has. caused the . interest= coupons attached hereto to be signed by its Treasurer and ° this Bond to be dated the 1st day of September, 1959i' . Mayor o f the ,City of pet:aluma - - -- T reasurer of the City o f Petaluma Countersigned ;. __ ... City Clerk o f the City p f Petaluma (FORM OF COUPON) On the 1st. day o f subject Coupon No.. to any right of prior' redemption' reserved in the Bond ,hereinafter mentioned to which this coupon, appertains, the City of: Petaluma will (unless the within mentloned Bond be r- egistered) pay to the bearer exclusively from the.,special fund referred to in the hereinafter mentioned Bond, at the San Francisco Main of, Batik, of... America National , offi ce Trust and Savings, Association in the City and County of San: Francisco, State of Cahforma (the - - - - - -- - -- - - -• -- - -- ... _ Fiscal A ent of said Cit) ------------------------ _._ g y /! Z - 13 in lawful money of the'United States of America, being interest then due on its ;19.59 Water Revenue' Bond,' Series A, INo A • - -- ....,, dated September '1,1959: T reasurer o f the, GYity`o f Petaluma (FORM OV'IEGISTRAT-ION ENDORSEMENT This. 'Bond is _ regstered in the; name. of the registered .'owner whose name: and.;address appear last in the space, below and both , .the 'principal of and interest on this Bond are ,payable to. such registered owner. Note: There must be: no, writin in the space bel et ow excp . g -by the .. -. . Fiscal Agent.. Ditcof• Name of Address,of Signature.o Registry Registered Owner Registered Owner' Fiscal Agent: SECTION 5. Execution o f Bonds and Coupons R'egistrat'ion; Sub=: ° stztution o f Bonds; Temporary Bond. s. (a) Execution o f ,Bond_'s ,and Coupons. The Mayor and the Treas- urer are hereby authorized. and ,directed, respectively; .as ,such officers, to execute each of the Bonds; on behalf of the City, aiid'the Clerk, or one or, more of his deputies; is-hereby authorized. and directed to „counter- sign each of the Bonds and to affix the official seat 0 the City thereto. The Treasurer ;is hereby authorized and directed to `sign each of the interest ;coupons by' printed, -lithographed or engraved facsimile Signa „ ture. Such signing, countersigning and sealing as herein provided shall be a sufficient and binding leXedution of the Bonds and coupons by the City, a and: all, such signatures and countersignatures , ,excepting that of the Clerk or his deputies; may be 'printed, lithographed or engraved° Ag 14 In .case any of - such officers whose signatures or countersignatures ap=. - ear on the Bonds or toti ohs, shall cease to be such officer before .the. p p delivery of such Bonds, to the purchaser, such. signature or counter signature -shall nevertheless,; be valid - and sufficient for all purposes the same as though he liad remained.in office until the,delivery of the Binds. (b) Registrc�tio.. The will keep a , t the San Francisco. 1Vlan ©ffice of the Fiscal Agent, at all times when. any of the Bonds shall be outstanding.'and unpaid,,bools for the- registration and transfer o_f_the Bond "s. The owner. of an coupon ,Bond may present the Bond at such office "to the Fiscal Agent and the conversion of the Bond;nto a registered Bond. The Treasurer shall cut off and cancel.,tlie coupons;' of any coupon Bond go presented and shall cause ;to be endorsed,.upoh the back of such coupon Bond so,presented a statement•to the effect; that the Bond is registered in the - name of the: owner and that "thereafter the interest and principal of the Bond are payable to the registered owner. , Such statement shall be ;substantially in the f orm hereinabove set forth. After such reg'istrat'ion and. notation no transfer of .any such coupon, Bond hall be valid unless evdenced:by a written instrument of transfer "> inform satisfactory to the Fiscal Agent, duly executed by thee registered owner in person or by duly authorized agent' The Fiscal�Agent shall keep in its office a registration book which shall at all times show what Bonds `are registered and 'the -names and addresses of the registered . owners, respectively. The° addresses ,appearing in the registration book ur os p ` es the addresses` of the registered shall' ,be deemed to beT for all. p g pay owners. The Fiscal Agent shall a interest to the owner of anyregis- tered Bond by check mailed to such owner at his address appearing on the registration book and, shall pay to the owner or, his legal assignee the principal of any registered Bond upon presentation and surrender of such ":r.egistered Bond. The,,registered owner of any registered Bond may at any time (provided; such.B,ond shall not have 'been. called for redemption), present sucli..Bond to the Fiscal ,.Agent and request con - version, of 'such Bond `into a coupon Bond' in which . event the Fiscal Agent shall cancel the registration of such Bond and ,shall `attach there to coupons for all "unmatured in erest thereon t cond ition of any g and as a cond such: conversion may re quire such. .char e therefor, as it may deem proper, not exceeding; $3.00., (c) Bonds. Mutilated, Lost or Destroyed: a case any Bond shall= oupons;; become 'mutilated in respect the body of such Bond or ;;the c �1 s 15 if' any appertaining thereto, or shall be believed by the City and the Fiscal Agent to.have been - destroyed; stolen or lost, upon proof Hof own_ ership satisfactory - to; thee. City and the Fiscal Agent and upon the = . surrender of such mutilated Bond with'its cou if any, at the office of. th. e Fiscal Agent, or. upon. the- receipt of evidence satisfactory to the City Arid the Fiscal Agent of such destruction, theft loss; and upon receipt also of indemnity satisfactory to the City and the ;Fiscal _Agent, and upon payment of all expenses incurred by"the City and the Fiscal Agenf for any investigation_ relating thereto, :and for each new .Bond issued under this paragraph (c),.the City shall execute and the, Fiscal' Agent in 'its discretion. may deliver at its San: Francisco .Main Office in.San Francisco,, California,,a new Bond or B, "onds:of'the same maturity and for- the same4aggregate principal .amount, with'the coupons if any, appertaining thereto, oUlike tenor and, date bearing the same; 'issue number or numbers, with ; such , notations as the City, with the approval. of the FiseaT Agent, shall determine, in exchange and substitution for and upon" cancellation.. of the .mutilated Bond and its coupons, if any ,or.' in lieu. of and in substitution for the Bond and its coupons, if 'any, so' . destroyed; stolen or aost: If, 'any such destroyed-, stolen'. or lost Bond shall have matured, payment of the amount due may be made- by the City upon . receipt of like 'proof, ;indemnity aiid payment of expenses., Any such duplicate .Bonds or coupons issued: hereunder shall be' enttled,to equal and proportionate benefits with�all other" Bonds `issued hereunder:,:Neither the City ;nor 'the Fiscal Agent shall. be- :required to' treat' bothAhe original Bond and any duplicate Bond as 'being,, outstand ing fof 6e purpose'of determining;,the prhi6paliamount.of Bonds, which may be" issued hereunder or for the ,purpose:•of .determining any per - centage of - Bonds outstanding hereunder, ,but. Uth the original and duplicate Bond shall be treated as one; and the same: , . (d) .Temporary Bonds.., U " ntl' definitive Bonds shall be prepared; the City may cause to be executed anddelivered''in lieu of ;sueh,definitive . Bonds and subject to the same provisions limitations" and conditions . as are applicable 'in the case of 'definitive Bonds, except that they may be i any denominations author -ized by the Council and sli_all be regis- trable as to ;both principAl .and interest and may he discharged 'fr.om. re gistration,in. the. .same " .manner - :and ;subject, the same provisions herein contained applicable to definitive Bonds; :one or, more temporary LE 16 -raved Bonds: in be er form without cloliz printed lithograph9d. or engraved ar may be autho' rized. b* the Council or with, one ormpm coupons, as � - " , ' � _ - .. "d for. definitive and, until, exchan substantially of the: same tenor Bonds, entitled -and subject twihe same benefits and, provisions of this Resolution as definitive Bonds of the same 'character and maturi ty and' executed .1 an issued. hereunder. Temporary Bonds,AQ I � be exchangeable t with .6* n aggregate princip a ou f or definitive B :the aggr t in .. n t at the.zsanie -rate fb.6 same maturity pr-matu bearing interes e rities; and or ra te I s, - As are provided f or In said temporary Bonds. Temporary Bo shall be exchangeable - from time ,.to ,time at, he office 4 "the 'FisQ61 , fortemporqry Bonds or fo r defi- Agent without expense to the 'holder, 1 ' aggregate pri ncipa l : imount when ..prep of'the a -niti�e-Bonds of likeaggy same , series,: character and serial maturiby as the .case may be and of A l l temporary u the ,denominations , autho,rized. 1 Bonds go sur rendered r shall be. cancelled by ..the Fiscal Agent And sur.rendeT-ed, to the City. Without- unnecessary delay the City will execute and will furnis%h, sA, definitive, -Bonds to., be - exchanged at 'the San Francisco Main Office 6f t& Fiscal ,Agent, San Francisco California,-, f or temporary , nds oi�d'§upoil thereof 'to hall be litho or. engraved', in whole �,or in part;, except that `the _ text. of the Bonds, maybe printed or iype, comp,69ition reproduced _ nearl f arable as n as, actimble to marketable co bond:s o comp ara ble pr jike: ch, et. al e f Bonds SECTION 6. S . The City herebyLeovenants � o. that it - vill:gell and deliver Bbiids'� hereunder only,subject °f6 the coed= tidn . g hereinafter set- forth -in 'this Section 6. The City will 'initially sell , the .I$2 7 1 800' principal, tamo the S'Qr-ies A,B ond's which will be 1—— s ufficient . cient I to enable , the City to 4cq*e,;consttuat, improve and finance' the Enterprise, 'including ,payment :of 'incidental. ex pehs6s' reimburse- ' ine . nt, to the. City's General Fund, nd. and,,. de posits int flle�'Rese Reserve Fund -- Maintenance and Operations Fund and _Replacement and ' Repair Re serve - e Fund all hereinafter provided in .Section hereof. Bonds of . , an y other series -may be issued and '861d, by the City Only purs uant to . Section II hereof. : S E CTION 7., A tpon,,the pp li o f p� bf Salo of Bonds. caton " receipt of paym6nl for the Bonds or any. part thereof when the same shall have . dul 9 61db y -' they City - , the TreasurerTreasurer of the City shall set . ,suoh sa-le,"llithe R &T iv�e_ fr - §fd depoA the 6ee s `6cei iid in , res�ecfive,fund& "and in the tollowin der of �pnorit� g or /_4 1 1 17 `(a), The Treasurer ,shall deposit from the•prc, - ceeds , received from the sale ,of any of the Bonds, with the Fiscal N Ag ent. o be �. deposited by 9 it in the Interest Fund hereinafter provided f or in. Section 9:(d) kereof), the accrued interest.' to the date of payment of the _puf&eLse price -of such Bonds - receive upon the, sale thereof. (b) The - Treasurer shall deposit, from the proceeds: of sale of the Series A Bonds, with the Xiscal AgOnt ("to, be deposited by it in the Reserve Fund hereinafter. provided fojr'in Section : 9 (T) hereof) the sum of $150,000, and .shall , also depDsit, from, the proceeds of - sale of any- Bonds of any subs equent.!series- with the Fiscal Agent (to'be deposited by it in the Reserve Fund) the, sum required by the-pr - ovisions of Section 11(`c) hereof. (p) - The Treasu shall set aside and dep osit ; from- the proceeds of'sale of the 'Series A. Bonds, in the City Treasury M theaintenanee and Operation Fun ' d,liereinaf i . er;providod for in Section 9 hereof the sum of $35, 1000. (d) The Treasurer shall set aside and deposit., from the proceeds of. sale of the Series A Bonds, in the City Treasury in the 1959 Water. System :Rep - and .R Reserve Fund - %khich.the City her=eby -PI p covenants and,,aarees'Ito establish, and maintain as ; r evolving -fund,. the sum of $25,000. Monevs in said Fund shall be withdrawn- only fo necessary repairs or 'replacements of the Enterprise when no other funds of the City are, available, therefor. The City agrees to replenish said Replacement and Repair Reserve Fund from the first Revenues of the 'Enterprise practicable after any rise available to th&..City, as soon as withdrawals therefrom, so as to maintain said Fund i the full amount wj n V5,000 so long as ahyBonds or Additional Bonds issued hereunder are outstanding. (e) The remainder. of the - proceeds received f rom. the §41 of any of the Bonds ( "in cluding ;any premium, but excluding accrued 'interest in from the .date of the. Bonds so. to the date of'payment of the pur- �chase price thereof) shall be set. aside and deposite by the Treasurer in a separate fund inihe, City Treasury, to be known as A mid the " $YstOn cqui�itiom,C . Construction Fund", which, said fund the City hereby covenants and agr ees lo establish, and maintain. The moneys in the 1959 Water System Acquisition. and Construction Fund shall be used , in the mamiet by law purpose ,,of'the acquisition, construction, I improveffi0it and. financing of the X iit'erpfise described including p - levied l in said measure including ._vod.during theFiscdL 1 19 Year 1959-1960 on, all _portions of the Enterp "rise acquired by the.'C ty during said Fiscal Year and also including payment of all costs of said specia - revenue'bond:'Aection and ali'eosts, of the':issuance of; the Bonds and 411 engineering, appraisal legal and fiscal a.gent's fees incident thereto, and reimbursement to the City for all funds advanced by the City, from 'its General Fund for the acquisition,, .construction, IMP. , or financing of the Enterprise. Any balance, rema'ning if the 1959 Water System. Acquisition and Construction Fund after collpletion of, the acquisition,, construction, nd financing, o emed to be improvement'..,. f :the Enterprise, shall be de revenues of the Enterprise and shall be paid over to, and deposited by the Treasurer with the Fiscal .Agent, and shall be; deposteel by :the Fiscal' Agent in p Section 9(b,ghereof and shall be used for any purpose or p uposes thereof relatin to 'the: ,Enterprise. rise. System Re .All moneys held, by the 'Treasurer m the 1959 Water ; y - placement and Repair `Reserve Fund and in the 1959 Water- System Acquisition and .Construction Fund. shall be held in. time ,or demand deposits in any bank or trust company authorized t& accept deposits of public funds and. shall be secured at; all .such obligations , by .su obligations and to: the fullest extent required by law and shall not be invested, mone s in exce t tha y y either° of said Funds not immediately re - p _tan, glared to be eNpended may be invested by the City°iin direct negotiable obligations of the'Vnited States of America or in negotiable: obligations fully,guaranteed. as to hoth. principal ,and mteres -.by the United ; States of America which ('1) .in the case of obli'gatioris purchased from moneys in the 1959 Water ;System :Replacement and pair Reserve .Fund, mature not more than 12 years from tli "e date of purchase by the City, or (•2) L in.'the case of gations p oblilmchased from money s in the 1959 Water System ,.Acquisition and Construction; Fund, mature prior to the date on which the Treasurer estimates that: such moneys will he re- qii redr f or expenditure by the City and in any' event not more than 3 years from the" date of ,purchase by the City. A 11 interest and profit received by the City on any -moneys so invested. shall be deposited _n and ,f or the purposes of said respective Funds, SECTION S.- S'ectfrity 6f Bonds. (a) The, Bonds and Additional Bonds shall be revenue bonds, payable exclusively from the Revenues of 'the Enterprise as "in, this Resolution provided; and "are not 'to be s k ecured by, the taxing, po`ver of the City. No seeours& sh all b'e had -:for IV, - 19 the payment of any such Bonds or Additional Bonds, or interest thereon, or any, part thereof, against the -general, fund .of the .City, .nor` shall the credit or taping. power. of Ahe. City be: deemed `to be pledged thereto, and the holders not all. such Bonds or Additional B'oiids, or 4the couponsi thereto appertaining; shall never have the right to. compel the exercise of the taxing ,power by the City or the forfeiture of any prop -' erty of the City. The principal of and interest on all such ;Bonds and Additional Bonds aril ariy premiums, upon the redemption of any thereof shall not be a debt of the City not a legal or "equitable pledge, charge, lien, or encumbrance upon any property of the City or upon any income, receipts: of revenues, of the City except the.,Revenues' of the` Enterprise pledged .to the payment thereof" a&. in tlf s Resolution pro- vided. (b:) The Bonds ler,eby;autliorzed to be issued and all, Additional Bonds which maybe issued in. accordance with the: terms and conditions hereof shall be special obligations of the City and shall, be secured by " a pledge of and •shall be, ;a charge upon, and shall be t payable, as to principal thereof ,: interest thereon and. "any premiums.upon the redemp -, tion of any thereof; solely-from and secured by a lien upon the Gross Revenues of the Enterprise as hereinafter provided: 'The" City 'hereb"y 'pledges -and assigns for security of all of such Bonds all of the Gross Revenues of the,:Enterprfse," including the Revenues,.of'•im rovements, additions and extensions thereto which may hereafter be constructed or acquired The sums required to meet the payment of interest on 'and ;principal of all such Bonds :and any premiums upon ,the redemption of any thereof ,shall be secured by an "exclusive - pledge,.'eharge and lien upon all of the Gross Revenues of" the Enterprise and all of such Reve- nues together With ally, interest earned thereon, and the f a ds herein after, prodded for in Section 9 hereof and any other funds that may 'hereafter be created from said ` for the payment "of `In pal . or interest or the better securing of the payment of prin cipal of or interest on such Bonds; shall, constitute: a trust; fund for the security, and ; payment of the interest on and principal of all of such .B'oinds and PP as, otherwise specifically authorized by -this Resolution, shall not be used for any other- .purpose so .long .as such Bonds or any of them or. the - interest thereon are outstanding or unpaid,; except: that of such Revenues there may be apportioned so long ,sJ e interest: on and principal of . all, of sucl'Bods are paid as the same; became du_e and payable; together -with all other charges required for .the protection or ,20 better securing of such Bonds,, such sums for such purposes and in the. order o£ priority as are .authorized ; and provided for in :Sections 9(g) and (h) hereof. (c) A11 of the Bonds hereby' au thorized to be issued and all Addi- tional Bonds which. may be issued 'in accordance with the, terms and conditions hereof shall be equally secured (except as to maturity and redexnptioii provisions; and except -insofar.as any sinking fund or' funds'. established in accordance with the ,provisions of this Resolution .may afford additional sec for any. series o f Bonds or for any Additional :Bonds)), Nvithou"t priority for nuiiber, date of Bonds or of Additional Bonds; of sale, of execution or of delivery, by said pledge, charge and hen.upon the Revenues of the Enterpi °,ise pursuant to the Law 'and this :. t c id harge ,and` lien shall be prior and paramount Re ution. Sa sol , led "e c to any and all other claims and obligations that aiiay arise or be incurred.:against° said Revenues. SECTION 9: Reve�uues and Funds. For the purpose of making' effective the lien of the Bonds and Additional Bonds! provided for in . th Cit" covenants and agre the holders of the hereof Section 8 y� Bonds and Additional lle Bonds as provided n t fiis S ect; on :9. (a) Coction, o f C,harges.: All fees, tolls rates and other charges in' respect of the Enterprise shall be collected by the .City upon monthly, bi-moritl ly or, quarterly bills therefor. The City shall have in effect at all' times while any .of the "Bonds ror Additional Bonds 'are outstanding an ordinance providiig for :such fees, tolls, -rates and other charges, for the billing thereof, fora due date and ; a delinquency elate for each bill, _ and for'discontinuance of water service witliin,areasonable period ('not m excess of 90 days') after such, delinquency date: �(b) 1959 Water Revenue .Fund. All of. the 'Gross Revenues o oils, rates and other charges and the Enter p rise including all fees, t ah other revenues, income and profits of : any kind howsoever :derived from the . Enterprise (except connection charges and refundable .depos- its' made to estabhsh,credit),, together with any interest earned thereon shall,- on the business day of each month next succeeding the Galen- dar month in which such R'evenues.haye been'. collected beginning with the Revenues.-collected in `the month d i,ing which the` Series A Bonds shall be'delivered to the purchaser thereof and paid for be deposited by 'the Treasurer -.with the' Fiscal Agent and shall be deposited by the Fiscal Agent -in a special; - fund =to be : desi -nated as the "1959 Water, M, Revenue: Fiend" (herein :called the "Revenue Fund ")., which said fund; /v# � Y th6 City hereby covenants and agrees to cause to be,estab and. maintained and which shall be h0din trust by `the Fiscal Agent. ::. (c) Deposit of Revenues. Revenues. All ino-neP,in t h6 Revenue Fund shall be set asi&e� and deposited the d b Fiscal Agent in•the following. A of pr iority in the followin xegp"ective special funds; each of which the - use to be established and ma , an- covenants and agrees to ca 0 y hereby cove C ity d in tr 'by the Fiscal Aged, in such funds tained, and. 'shall be held t Fund,, the Maint6u"oe and Operation Fund and the, Surplus ') .(except - u - . , p ry as hereinafter p and which ate to, be, held in. the City Treasury, r, shall, be applied, used and withdrawn only for the pO, r authorized, 1959 Water.R&vOue �nue• eFhe Fiscal'Agentin shall set aside out of- the Re Fiind�_ the 1959 Wabpr Revenue. 13 aj.nter - e Fund, ;(which is hereby created and is herein called. the 1 payment into which, -is- provided in See-' Interest Fund") (the, initia tion I (a) hereof in approximately equal monthly insiallffients,, or Ines n ; beginn ing . ., , in November' before the fifth:bus* s day �bf each mo th 1959, one tenth. dthe aggregate, amount of interest. becoming. due and :outstanding Bonds on September 1,. 1,960 'until the a payable on all - I h gre-, . 9 in such Fun and'beginning amount of such interest on deposit gate � in September„ 1960,'a amount equal t the, aggregate -half-, yearl I amount of the interest 'becoming due, and, pay able on 611 out- next standing Bonds And Additional Bonds; during the. �9iisuing six -,yearly amount of interest on all of the m onths until the requisite haU-. v.- outstanding Bonds and Additional, Bond's . is on. deposit in such Fund. L - No payment heed. be. made: into the Tnterest'Fund if -the amount con tained therein isat least equal to the interest to become due on the next sue ceediiigmterestpA��ym dates ;.,on:allofilieBo sandAddi- . t - nal Bonds then outstandihg:. All moneys, hl.tho Interest Fund shall • be used and wailidrawin by -the I Fiscal Agent'solely for the . Of i g the interest- on 'the .Bonds and Additional ton as it shall be- pay.. 11 payable (incl rued interest on any Bonds or come due and ne.1 ace Additional Bonds purchased or called. and,,r edeemed Pk i.Or to maturity , pursuant - to this Resolution) r The Fiscal ( 19�5P: - Watq - Hevenu:e R6 Reti'eKent . indin the 19 Reve- Age-JA s'lialLsef aside out of the l Revenue Fund - Ont 704 (which nue Bond Retirement is hereby cre ated and. is herein tirement7:ftnd!?) in appro equal monthly in- . called the "Re --- xi st4liment§, on o, r bef ore'the fifth business day of each month, beginning /v# � Y in : September; 1960; an amount equal to one- eleventh of the aggregate Y early .amount of principal due, payable'. on all outstanding Serial Bonds and Additional: Bonds during the next ensuing twelve, months until there shall, be accumulated. in the- hetiremexit Fund on or before, each. current maturity, date' o-- all such erial Bonds, an amount stiffi- the �rinci a1 amount of � all such Serial Bonds :maturing by cient to pay p their terms on such current, maturity date., No payment need be rriad'e into the.I3'etirement Fund so;long as tliere.s Bonds then outstanding o pay the principal of all.such Se rnaturin ,tby their ter -ms :in the next `ensuing .twelve months. All such _ moneys in the Retirement Fund shall be t in d the, r nc�aal fall such Fiscal A'g'ent solely foi the: purpose of :pay g P Serial Bonds and Additional Ponds then outstanding as they shall become due. and payable. •' So long -as any of the Series A Bond lend and n tl e Series Agent shall set aside. out of °the Revenue F A Sinl�ng Fund Account (which 'is he da r, of each mon_th� bennin: gi ment Fund, on.:or before the fifth bus y - ' q o Term Bonds (at the then ap of m S e pt ember 1977' , an..amount 'e 't the ,,mount regnired to redeem Series em uni but ehcluding accrued i including p pli_cable "`i edenl3tlon, price, I n the following °espective principal amounts on September' 1 iv eaeh of the f 0110 wing..3Tears` Principal Amount" Principal Amou -W 0 eries A Term Bonds 6f,Series A Term Bonds Year'Eridibg to Be Called„ Year Ending to Be Called Septeniber� t; and`Redeemed . September I Oil, Redeemed 1986 $1TO O.aO 1978 $ 75;000 1987 115,000. 1979 80,0'_.00 1988 . 1205000 19$0. 850000, 1989 125,000 85;000. 8 1990 19 130,000 19,82 60-Mo - 135,000 95;000 : - 1991: 1983 1992; •145,000 100,000 - . 1!50,000: -19.84 1993 1985 105,090 155 1994.: All moneys in ti* Series A Sinking Fund Account a ° lied by the fifth business day° :of' September, 1977, shall be used an l.p went °for the pur oser of retiring;: Series A Tem Bonds _The Fiscal A� p, Fiscal' iscal Agent may apl?hy, any moneys: in the Seises, A Sink -Fund Ac= 23 count to, the purchase of Series: A Term Bonds at public ;or private sale. as and when and at such prices:, ('excluding :accrued interest) ,as it may in its discretion ,(ktermine but not to exceed the.then- current redemp- tion price (including premium but excluding: accrued interest'): When ever on the fifth business day of any January or July, beginning in January; 1973; the; .moneys din. the Series .A SinIting Fund Account are sufficient to 'redeem at least $5, 000 principal amount of Series A :Term Bonds; on the next succeeding interest payment date; the same shall be; used and withdrawn by the Fiscal Agent for -the purpose of so redeem ing. Series A, :Term Bonds of the then current redemption pr- -ice (in 7 eluding premium but excluding accrued interes't):.Accrued ;interest on Series A Term Bond`s; so °purchased or redeemed, by the Fiscal Agent .:shall be paid from the Interest Fund. (f) 1959 Water Revenue Bond Reserve Fund. The Fiscal Agent shall set aside out of`the Revenue,Fund in the 1959 Water Revenue- Bond Reserve Fund (which is 'liereby created and is herein called the "'Re- serve Fund "') (the = initial payment into which is :provided =for in Sec- tio.n T(b) hereof) on or `before the fifth business, day of each month beginning, no later than N6vember; 1959,. all „inoneys that shall be re- quired to maintain the ,Reserve Fund in the full, amount $150,000 while any S'er'ies A Bonds shall. be outstanding and unpaid. If any Bonds of any subsequent. series or any Additional Bondsshall.,be`issued hereunder, the, minimum amount required to be nZaintained in the Re- serve Fund shall be ,the amount specified, in the ,proceedings, for the `issuance of such Bonds of such subsequent series or such Additional Bonds, blit not less! than $150,000 While any Series A Bonds,,are out- 'standing hereunder-. No: payment, need be made` into the. Reserve Fund so long .as there shall be in. the Reserve Fiend a sum equal, to said re- quired amount or, when and if 'thee amounts contained therein and also in the - Interest Fund Viand in the Retirement Fund 'provided for in See- Lions 9 (d:) aid (e;) hereof' are at ,least equal to the, agregate principal amount of, together with 'interest then due -or thereafter to :become due on, 'all of 'the Bonds and Additional Bonds then outstanding. All moneys . in the.Reserve Fund shall .be used and withdrawn solely.for thepurpose . of paying the `principal of and interest on the, Bonds and Additional Bonds in the event that no other :funds of the City ai e, available there-. for; or for the ,retirement; :of all of the Bonds and Additional Bonds ,then. outstanding. 24 1 Wdter. Mai t Y an " al Agent ( ce and Operation: Fund:. The ;Fise shall set aside 'monthl out of the Revenue, Fund' and transfer to the Tr- easurer for deposit i'n the. Water _Maintenance and Operation. Fund (which is hereby .created, "and :is herein called the "1Vlaintenance and. ..Operation Fund ") all moneys in the Revenue Fund which shall be 'required to pay the: annual amount budgeted by :the City for mainte- Hance and operation costs of the. Enterprise during the then . current fiscal year. Said moneys so transferred and deposited ah'all he'in addi- t on Ao, the sum of :$35,000 to be . : initially deposited, in the ;Maintenance and Operation Fund from 'the proceeds of sale of: the :'Series A Bonds as provided 'in .Section 7(c) 'hereof: The City shall; file with- the Fiscal Agent ''a budget covering• the • p 'the Enterprise for the estimated maintenance 'and o eration costs of period_ commencing with the: date of acquisition of the Enterprise by; the - City and: ending June 30, 1960,,. together. with a certificate of the Treasurer ,as to the date of such acqui sition. The `City shall also file - with r the Fiscal Agent before, the first day of each Fiscal Year, com- mencing with the. Fiscal Year beginning July 1, 1960, a budget covering the estimated :maintenance and ; operation costs of. the Enterprise for the next ensuing Fiscal Year: - The ,Fiscal Agent shall determine upon the basis' of each siuch budget the amounts . of ;money to.. be transf erred to the 1Vlaintenance: and Operation Fund. 'The Fiscal Agent shall be entitled to rely upon each ,such -budget. and shah not; be required to determine or verify the accuracy thereof. The'Fscal Agent shall pay to the Treasurer for the; account of the Maintenance aril 'Operation Fund, :on. the basis of said, fi r -st budget; the amount regtured fo "r maintenance and .operation costs diirmg: said period ending June'.M 1960, in nine. apprwdmately equal: monthly 3installments`, on the fifth business' day of each month, coin- mencing'in October, 1959. The Fiscal Agent sliall'pay t:o. the'Treasurer of the :'City on the fifth, business day of each, month, beginning in the month of July, 1960; an amount, equal to one eleventh of said amount 'budgeted by the City fo,r�maintenaiice.and operation costs of the Enter =, prise for "such current Eiscal Year, until there shall have been..paid over to the; Treasurer for- the accotmt of the Maintenance and Operation Fund, An amount "equal to the total of said `budgeted amount -for said current fiscal .Year, including ,any sum. required to.- maintain `a revolt' ' e M in " balance of ,not less than $10;000 therein. All moneys in tha nt & t 1 25 nance and Operation Fund. shall be used to pay necessary :and reason - able operation and iilaintenance costs of the `Enterprise. (h) Water Revenue Bond . Surplus Revenite Fund All moneys remaining in tlie: Revenue Fund on the fifth- business .day of each month after setting aside. and transferring all 'of the sums required to be set aside, or transferred by the `Fiscal Agent by°.tlie' provisions of Sections 9('d), , (e,) ,(f) 'and ,(.g) hereof, shall, be transferred 'by. the 7. Fiscal Agent to the' Treasurer for deposit in the Water Revenue ,Bond Surplus Revenue Funnd (which.. is hereby created ands herein called the "Surplus Fund- "). All moneys in the Surplus Fund shall be used and withdrawn by the. Treasurer; as directed by a ;resolution :of the y 'the following.purposes, exclusively: Council, for any all of (1) Topay maintenance and operation costs of the.Enterprise ~for the: current Fiscal Year for which no adequate budgeted amount was provided by the City; ( 2) To pay. „tli"e „costs of. extensions or improvements of or additions or betterments. to the :Enterprise or o£ making new consumer connections to the Enterprise=; (3) To be re deposited with the Fiscal.Agent and Q) deposited by the Fiscal Agent in the Series A, Sinking Fund: AccoLlnt. or iri r.Ly sinking fund account or- accounts hereafter created by.resolu- bion of the Co.incil .for ithe Term Bonds of any other series or for any Additional Bonds which %are Term Bonds and used and `with- drawn `by the Fiscal Agent solely for the purpose of purchasing or calling. and redeeming the Bonds or Additional Bonds'for which such s r ling fund account shall have been created,. purstant to; the provisions hereof. or .of such ,resolution ; (ii) used and withdrawn by the Fiscal,Agen_t for the purpose of pu "rchasing Bonds or Add tional "Bonds at ,public. °or private sale, as and, when .and_ at such prices (including brokerage and other charges; but {excluding ac= crued interest) as.: it may in its discretion determine but not to exceed the:par value thereof, or, in the case of Bonds or Addi- iional Bonds' which by theirr terms are subject to =call and redemp- tiori, the highest edempti on price (excluding accrued interest) or °the then cur_ rent ,redemption price (excluding. aceruled interest), whiclegeris .lower }; .(iii) °used and withdrawn by the Fiscal Agent on and after September 1, 1970-for-'the, purpose of calling and. r_,e.deeming• Series; A Bonds pursuant the provisions of Section.3 hereof or (iv): used aril wth'drativn by'the Fiscal. Agent for the M ./ �L -.z ur ose of calling.- and „redeemin Bonds of an other .series or p. _ p g: g y T -Additional Bond`s, pursuant to the. provisions of the resolution authorizing the same; or (4) For any = lawful: p lrpose of. the City,, including without:: limiting - the, ;generality of foregoing, all moneys required to maintain. the - 1959 Water, System Replacement and Repair Reserve Fund (created by Section 7 (d), hereof) in the full 'amount. of $25,000, and_ all moneys rediired; to, be, paid by the City, at any time in order to satisfy the obligations created by refund. • agreements executed by California Water Serviee Company which, have been (or' will, upon the date of acquisition by-- he,City of the properties Of California. Water Service Company, be,) assumed by the 1.City and all obligations created. by water main „extension.refund agree- ments hereafter executed by the City. ; (i) The - Fiscal Agent shall riot permit any withdrawal to be made by the City of any moneys held � by the Fiscal Agent if and when; 10 the knowledge of the Fiscal Agent, the City is 'in default hereunder. The City shall not permit the withdrawal to be: made by the Treasurer, Of, - any moneys heldby -the Treasurer in the& Maintenance and Operation : -'Fund or the Surplus'Fund if and when the City is in default here under: (j): All moneys held by the. Fiscal Agent and allocated by the = FiscalAgent any of thefunds, other than the Reserve Fund, shall be held In' time or 'demand deposits, and shall be .secured at all times by such o - -- bh'gatians sand to ,the ful -lest extent required by law- and isliall ;not be_ invested; except that azch moneys held by the Fiscal Agent may, upon written instructions -from the City; be invested_ in direct negotiable obligations of the United States of America or in negotiable Q” gations 'fully guaranteed_ as to both principal and interest by the United.:. States of America. maturing prior to thei date: on which such 'moneys .are requirm to `be paid out by _the Fiscal Agent..hereunder. Moneys allocated rto the, Reserve Fund shall beheld in time or demand deposits secured as :above referred to, :except that, upon,written instruc -, tio - s -from; :the ,City, the Fiscal Agent shall -invest any or, all of the ` moneys in the Reserve_ Fund, not then required to -he applied to the' redemption of Bonds for Additional Bonds, in direct- negotiable obliga- lions, of: the United'- States of America :or in negotiable, obligations fully ;guaranteed• as to both -principal 'and :interest by the United States, of A/11 1 A ° 27. America maturing' not more: thari twelve ye xs. from the; date of pur -. chase by "the Fiscal, Agent. For the ; purpose of determin=ing the amount of ' money in. the Reserve; Fund, all: investments of moneys' therein shall . be• valued: at- .their current market values as of the, next °preceding Feb ruar = y 28 or Augitst> 31. A11 interest, received by the F'i`scal Agent on any moneys so invested shall b.e deposited by it in and _for the, of the..Revenue Fund. "SECTION u ..10 Cove4ants of the City. In order that 'the payment of-'the Bonds and, interest :thereon shall be ,adequatel'y secured, the City covenants and agrees with the holders o£ the Bonds, as follows':: (a) The .City wiltpay or' cause: to be paid punctually the principal, of every Bond, a_id the,'interest thereoii, on the'dat& or dates and at the place or places and,'iin .the manner mentioned in the Ronds and in the. coupons thereto appertaining and 'in accordance with this "Resolution.. (b) The City will' commence, the acquisition, construction and. im- prooemenf of the Enterprise' described ;in said measure and continue - the same, to completion with all practicable, dispatch, and in_wsound.and economical manner ;;:and will operate, the:Enterpr`se in an efficient and economical manner, and will; operate, maintain and preserve tlie'Eiiter- Prise in good repair. and working order from. the Revenues available fore such purposes .as; provided herein, and will prescribe, revise and collect ;such fees, tolls; rates and other charges in connection therewith that:the.;sery ees; facilities , and water of the Enterprise are furnished to ,iiihabitants of the .City and : other users. ;at' the .lo.vvest ;possible cost consistent with sound economy and prudent management and the "se= cuA and payment' of the principal and interest 'of the - Bonds., (c) The City will fix said; fees, tolls rates': and other charges on a basis to yield .Revenues at least sufficient with respect to the .then im- mediately ensuing. twelve months •; period, after making due and. reason- Able allowances for contingencies and errors in the estimates,. to pay each and all of the following charges in .the respective :priority and order below set °forth, to wit ' (i) The interest on and .'principal of, the Bonds as "they become due and payable i p (ii) All payments required for compliance in allies ects with the terms of this Resolution, including particularly the provisions of Section 9 hereof; 1. (iii) All payments to meet,;any other obligations of the City which are= charges, liens or :encumbrances upon, or payable, from; thel Revenues of the Enterprise; and i 1 (iv); All current expenses of management maintenaiice, oper -. ation and,repair -of the.Enterprise,; provided that such, fees; tolls, rates ,and other charges shall at-`all times be at least sufficient to enable the City to pay. to 'the,.Fiscal- Agent in .the next succeeding twelve -month period Annual Net Revenues equal to at the Bonds ones the a " negate amount of the pr- ncipal, of and interest at least 130° ' and minimum. sinkin fund a ents. if an which shall become due and payable. wi_tlun, said next succeeding twelve - month period, phis payments required to: be made into the, Reseive'Fund d-ur- ing said 2hext succeeding twelve= month. period. (d) The City will greserw and protect the, security of'the_.B6nds and the, rights of the holders :thereof,; and Will, warrant gild defend ;such rights against, all claimm ,and demands, of :all persons.. From and after the sale. and!,. delivery of any of the •Bonds 'by the City, -the Bonds and coupons. appertaining `tlereto ,shall be incontestable by the City: (6) The City will pay and discharge, or. cause to be paid or• d s charged, any and all lawful claims; for ,labor, materials, and supplies, which, if unpaid might bylaw become a: ienor upon the Revenues of .the Enterprise or any part of said Revenues, or any funds an :the, hands of the; Fiscal Agent° or °the Treasurer; prior to or !superior to the lien .of the Bonds, ;or which might impair °tfie security of the ;Bonds, to the end that the pr-leenity and security of the ,Bonds shall be fully pre- served - ;an d protected'. (f)- The City Will collect and hold in- trust the Revenues: or other funds; pledged to then payment of the principal of and interest on the Bonds'Ior the benefit of the holders ,of `the Bonds and will pay the , same ` over to the Fiscal Agent as,herein provided and =will ,apply 'such'Reve- nues'or., other °,funds only "as provided.by th s'Resolut.ion, =or; if't-his Reso- lution shall hereafter be modified in the manner provided herein_, only as provided in this�Resolution as modified. _ (g) y P P- � P The '' 'City will '.keep er books of record and `accounts, of the ro Enterprise (separate from all other records and accounts of the City) gin which complete and correct entries shall. be made of all transactions relating to the Enterprise, or any part- thereof, whicli,iogether with all other .books ; and records .of the City, shall' at all ime& during'business hwirs,'be subject to the inspection' of (i) the Xiscal Agent Arid (ii) `the, holder holders of not `less than 10.7 of;,th6 principal amount of the i i 29 Bonds then outstanding; lor his° or their representatives duly authorized in writing.. (h) The City`will prepare and file with the.Fiscal Agent annually within 60 days after the close of ,each .Fiscal Year (comniencirig with the ;fiscal year ending ,June 30, 1960) so long as any of the Bonds are outstanding : ('1) a detailed statement: for the preceding' Fiscal Year. show- 'ing the amount, of the Gross. Revenues of the - Enterprise; all dis- bursements from such Revenues and all ,expenditures, applicable to the Enterprise, together with a detailed balance slieet reflecting `the financial condition of ;the;,Enterprise, including ,the balances in ;all :funds :held by the Fiscal Agent and °the Treasurer as of the end. of such Fiscal Year; accompanied by a certificate° .or. opinion in writing of an 'independent .certified public accountant selected by the City and satisfactory to the Fiscal Agent,- (2) a general statement showing; the schedule of ra „tes, charged for each .class of water connections; the number of users in 'each separate classification ,of rates, all as of the close of such Fiscal Year, _'and the gross _revenues, received in each such classification of, rates during. such Fiscal. Year; and ( "3) a general statement ;of the physical eondition of the Enterprise. (i) The City will file with the,Fiscal Agent and "will publish once annually (at tl e, expense of the City as part of the cost. of maintenance and, operation of the Enterprise) not more than 120' days after the close of each Fiscal Year, in a. n ewspaper published in the County of Sonoma, State; of California, a summary of the statement required to be prepared by the City pursuant to i Sectjon 10'(4) (1) hereof and' will furnish- to the; Fiscal Agent such reasonable ,num`ber of copies thereof (not exceeding, y ' Y g T00 �co as ma be re q "aired 'b the. Fiscal A ent, for 'distri b ition to _investment bankers, security dealers and others interested "in the Bonds and. to the Iolders ,of ,Bonds requesting: copies thereof, but`. the Fiscal Agent shall not b.c required to incur any non - reimbursable ex- penses in:making such distribution.: (j) The City will :not mortgage or otherwise encumber,: pledge, or place .any: charge'upo'n ;the Enterprise or any of, the::Revenue.s thereof, and: will not lease or .otherwise .dispose of,.the- Enterprise or, any part° thereof essential to, its operation or Fnecessary to the, maintenance I ,- 1 30' . of . the Revenues" or 'enter into any lease .or agreement which impairs or impedes ,the',;operation of the';Enierprise or any part thereof 'neces- sary to secure adequate Revenues for the payment of the'pruicipal .of and imerest -on o the .Bonds, or which ..otherwise -would 'impair 'the rights of -the holders of the Bond's with respect to such iRevenues or the opera= 'tion of the- Enterprise , provided, 'however, that. any real or personal erty whic prop `has become ,nonnoperative 'or which. is not needed for, = the 'efficient ,and, proper operation of the Enterprise, or any material or - equipment whicfi has worn out;- may be sold at not' less than the market value thereof witholt the consent of the holders .of the Bonds, f'such sale will -not reduce the Revenues f the,Enterp =orise and if all of the ,net proceeds of, such .sale, are .deposited in the Revenue Fund and } used :for any purpose or purposes. thereof relating to the ;Enterpi -se, (k) The City will at all 'times maintain with 'responsible. 'insurers for the benefit of the lold'ers of the Bonds,, insurance on the Enterp "rise,`. which shall be.adequate in ; amount and as ,to the risl s insured against; including ;in nsurance .against _accident to or destruction of the Enterprise or. any part -thereof, against such y.isks. as are usually insurable in con- nection with similar enterprises. Any . proceeds of any such Mist[rance collected by the City in the> event of any, loss or�damage shall be: applied-` to the repair or reconst "ruction or other °mprovemen of the Enterprise .. The City shall begin :such• work of repair, reconstruction or improve went- promptly after such loss .or damage shall occur and shall continue and. roperl compleie.Ahe;sanne as expeditiously as possible. The. City shallcause t ;be paid out of the.1woceeds of such insurance, .and from P any, other _available funds, all costs °a rid expenses in connection, with such repair, reconstru "ction; or improvement so that the same shall, be completed and .the Enterprise shall be free and clear of all - liens and claims. If the .proceeds recoved by reason of "any such loss shall exceed the; co of such repair, reconstruction or improvement, the excess shall' be. deposited by the- City with the Fiscal Agent in the Revenue Fund and shall be used for ,any purpose or , purposes thereof relating: to 'the Enterpise. Tlie. City will als,o:'carry for the benefit of the bond -' holders fidelity insurancevith„respect to all City officers, arid. employees . who respectively 'receive,. collect, or have in their care: or custody,: any �° p . _ mount - o t Re a�ounts r at least equal in agg -reg to to Lhe maximum a ance to bean an,ainoun o _ u such Revenues or ftinds :at any one time in the care- or custody of,' a'h_ such officers or employees;' 31, (1) The City will pay _;a_nd .discharge or cause to be paid and-ldis- charged. all taxes - and, assessments and, other' charges which may, hereafter law fully imposed upon the; Enterprise or 'upon . any part thereof° or upon any Revenues therefrom, when'the same shall become .due; and the !City,will duly observe and :colifOrin to t all valid requi` rem ®nts.of any' governmental' authority ,relative to the Enterprise or any part thereof. (m) 'The City will have in effect at all times an ordinance of the City requiring the owner of'any premises located within or without the limits, .of the City and connected with the Enterprise to pay the fees; tolls, rates and other charges applicable to such connection and ;for water furn'i'shed by the Fnterpri'se. (n) The City will not acquire, construct, operate or maintain an Will not within the scope of_ its powers permit;any'oiher public or private corporation, political subdivision, district' or agency or, any person what.- soever to, acquire, construct, operate or maintain, within the City or "any part thereof, any system or utility competitive with the Enterprise. (o) The City will not ,permit any. part ;of the Enterprise or any facility thereof; or any water furnished thereby, to - be used or taken advantage, of, free of charge' by :any person, ;firm or corporation, or b Y (. by :any public aaene mcliding the State of California, the; United States of °America, or any public- corporation, ; political subdivision, city, county, : districf or agency ;of any'thereof, and the City or any agency' of; the City). N,one,,�of t he .foregoing, covenants; agreements; :or duties shall be construed to .reduire the expenditure in, any manner, or for any purpose by' City of;;any hinds other than Revenues received or receivable f-rom the Enterprise; S ECTION 11: Additional B'onas: The City covenants and, agrees with the Holders; of the Bonds that Bonds of any;series in addition to the- 'S'eries A Bonds may �be issued and sold.by the. City only subject to: .and upon compliance; .by the City with the conditions .set forth in the following paragraphs, (a), (c), (AY and (e)' an'd then 'only. on .or after; September 1, 1960 (but, not prior "thereto), and that Add'i'tional Bonds _Having a lien upon and payable from the Revenues of the Enterprise ; (including all Revenues from any extensions, : additions 'or, betterments , thereto) may be issued upon. a parity with the Bonds' issued'hereunder, ' but, on o,;after September 1,`1900 ; (but not prior_ther eto),,'and only; for -the .purpose of iri�proving the Enterprise or 'for ,the purpose o acquiring, constructing or ;improving extensions, additions or better- menu to 'the ;Enterpris:e,:or for'the purpose of refunding any outstand- n ,Bonds or for�any.combuiation of:such purposes; and, only subject to - p p y y ( () ions set forth ri the and upon com Hance b. the Cit with the coridit followm The ashall,anot at th time of t e ss bJ (6), ( y ue of, such Bonds .or Additional Bonds be in default hereunder;; (b) The issuance of the Additional :Bonds shall have `been duly authorized at an� election pursuant to the Law; (c) The issuance; of the, Bonds :or Additional Bonds shall '.be pro- vided for by a resolution duly - ,adopted by'the Council ;: the date of the Bonds'.or'Additional Bonds shall not;;be earlier than the last maturity date of any Bonds then outstanding,;. such Bond "s r Addi- o tionat'Bonds shall, mature on Septembe 1; and fixed serial, maturities or mandatory minimum. sinking fund payments, or any combination. _ thereof, shall be' established in amounts "sufficient to . provide for the " before their respective retirement t of all such.. Bonds of Additional Bonds on or! a riient .and reti p maturity dates; and the Reserve Fund shall be increased- to a o m niinum amount equal to the l2aximanL,Annual Debt" ;Service in any year after the issuance of such Bonds: or ,Additional' Bonds and shall= thereafter be maintained i n a_n :amount equal at any' time while any of the Bonds, or "Additional Bonds. Are .outstanding to''' not- less than the ' M "aximum .Annual '_Debt Service" thereafter to become` .due and 'payable.: and (:d) The actual" Annual;'Net Revenues of` the Enterprise' for the - b tlio Pzin the issuan nths .ending the calendar month next, recedm the date o f adop= 12 m6 . ton by the Council of a - resolution au„- .. g, ce of ouch Bonds or ,Addit onal B,Wfds, as , shown by an audit certificate +or opinion . of an .independent certified public accountant eiiployed by the City. and T: satisfactory to the Fiscal Agent, plus '75 o bf the additional Annual Net ; Revenues (.over" and above said' amount of said :actual Annual Net, Revenues for. said .preceding 12 months' period) estimated to be pro - duced by. the Enterprise m any 12. months' period out, of the 24 months next ucceeding the date:.on which `such Bonds. or Additional Bonds will, become outstanding, as' shown b, a certificate .or opinion of a qualified independent engineer employed b the City and satisfactory to the Fs cal A ent shall have'produced a sun e,. ual to at least 1:30 times g q O The :average annual ainount.of 'the principal of and inter- est .on the '_Bonds and 'Additional Bonds then, outsstandmg._ here- _ . 33 under payable du ing lie then current fiscal year and in =each fiscal. year thereafter" so long, as any of such B onds and Additionat Bonds issued'hereunder are - by' their= terms outstanding, computEA on the assumption tliaf"all of such'Bonds and Additional.Bonds then out- standing are being, retired on the basis of approximately equal - annual prixicip "al. and ;interest payments during., the period of their = . fixed.- turity dates calcixIated in :accordance, wi standard �an- nuity tables.; plus; (ii) "The average an nual ainount of ,principal and interest: O n the, Bond's Additional" Bonds proposed to. be: issued'payable dur- ng each, fiscal year so long, as :any of such Bonds or .Additional Bonds shall by . their -terms be outstanding,, computed' on the as - silrription, that all .of such Bonds or. Additional Bonds will be re tired on the basis of a,,pptoximatoly :equal annual principal and interest paymen,;ts du -ring, the period of their - %fixed, maturity dates calculated in accordance - wit standard. annuity tables and with interest estimated at -not less than'the average interest .rate on all Bonds and Additional. Bonds then.:outstanding hereunder;: In the event and to the extent that Additional `Bonds are ,to. be issued solely for the purpose of refunding and retiring any Bonds or Additional Bonds then - outstanding hereunder; then_, for the,` purpose of the calculation regiiired under the, preceding, clause (u), the averagean nual amount, ot principal of and.interest on such Additional ;Bond's pro =. posed to be issued''need be. taken :into : consideration. only in' future _. year in which any of the. Bonds or Additional Bonds issued hereunder. Will' also be out " ' "' standn'—,after•tlie issuance of such,Add: tonal Bonds:; provided that;:no'thing in this Resolution - contained - sliah limit or re strict: the' issuance of any .Additional Bonds ;if after the 'issuance and delivery ofaiich Additional Bonds (whether for're. ndirig purposes or otherwise) none. of the, Bonds authorized hereunder will be outstanding. (e) All of the provisions 'of Section, and of Sections 12 to 18, both 'inclusive; hereof shall be applicable to Bonds or Additional. B" onds, which ,shall he issued to the provisions and li- initation& of said ;Sectons and entitled .to the benefit and security thereof,, and the. term "$:onds" a;s, used.in said.sectioiis shall mean and in4ude.Additional- - Bonds S ECTION 12. Further ,Assurances. - -The City will from 'time ; _to;. time adopt such £iirtber ;resolutions and in' ke, execute; deliver and 34 record such- further. instruments and assurances as may now or `here- after be authorized'by law; or as` may. :be required to comply with the terms and 'provisions of this Resolution, in order'to assure to = the holders of the Bonds the rights and' benefits herein provided for them.; _ SECTION " .13• Eminent Domain Proc eedings. "Ifall;or any part�of the Enterprise shal_1 be taken by eminent domain proceedings or other roceedin s 1 by law; the net proceeds : realized- by the City P g . therefrom- shall be :deposited. by the City with the Fiscal Agent`in a special fund,. in trust for the exclusive benefit of the holders of the Bonds then outstanding :and subject to the following conditions: (a') If such funds are sufficient to provide for , the payment ;of the entire -amount of 'principal, due or to become dice upon all of the Bonds,, together with the; interest thereon from the date of; receipt of such proceeds to the maturity date of the Bonds, then. such money shall be 1. 'payment1 of; tlie• principal of and applied by the Fiscal Agent to the mterest on ah of,`'the Bonds (b) If such proceeds are insufficient to provide moneys for the pur- - poses in subparagraph (,a.) of this'- Section 13 provided, then the :same i gent in a special fund "Cit: the Fiscal A shall be deposited b the w,itli y y trust for, trust benefit of the holders 'of all the Bonds then outstanding, , -wlio shall 'be entitled to:, share in such proceeds equally and ratably in of Bonds owned each the proportion which the principal amount bears to, the. tota rincpal amount of .all..of the Bond`s then out= p holder -., preference'or priority of;any one Bond over any other standing, tymeht, nd, and irrespective of any registration of such: Bond for non- or oth erwise as provided 'b lw and wi=thout preference' or = priority ,of ,any Bond registered as to both principal and.`interest in.:the - - y p ayable . to bear -er,. so that name of the registered owner -over .an Bond b • all of the Bonds i shall be d=eemed under such, circumstances to be on a iii on the basis. „of absolute - parity and entitled to share such proceeds equality: No such pro, rata sharing shall impair the” right of the holder to :receive ment in full of the, prin- of - any - pay c pal oa and 4 t r st on alllof `tie Bonds "held by him from _any source be availab_ le M payment; or" from;any funds which may then or'thereafter f for such payment by `the City: any herein contained, if such eminent domain Notwithstanding, proceedings do not substantially impair or .affect -the Revenues of the the Enterprise: or. the ability of the City E nterprise or. the operation { _ to meet all of its obligations hereunder with respect to' the ;payinent of " the Bond's outstanding hereimd`er and,'interest thereon, all us shown by a certificate _of :au independent engineer employed by'th6 City,and. sat- isfactory to "the Fiscal Agent; 'then the Council shall, by resolution s'o determine and declare. acid "such .net proceeds realized by the City shall be considered to be, a_ nd'shall be'treated as; Revenues ;of the Ent(rpr "ise. Such determination: of; such ,faet by the Council:, in any such resolution - shall be lhial and conclusive_. SECTION 14; Default, .Reihedies b f Bo,ndhold'ers. (ra) If. one or' more .of the following,, 'events (herein called " "events of 'default ") shall. happen, - to wit (1) .If default shall be ; made "in the due,. and`tpuncb al payment of the principal.'of';any Bond, -when and %as the same shall become due and payable; whether at maturity as therein expressed by proceedings for- redemption;; 'by declaration, or otherwise;; . (2) If default shall - be made in the due and payment of, any installment of interest on any Bond. when _ and as such interest :installment shall become -due .and, payable, and such de fault ;shall .have "obiqtinued for : . period of 30 d'ays.,; (3) If default shall be made in :the .due and punctual payment or satisfaction, of ' a nnu al sl nk iing fund payment`w a s such sinkmg payment shall become,A- and" payable :as pro ; tided for herein or•,m ai y resolution of the Council relating to any series of Bonds .other the Series A Bonds: or Additional Bonds, ands such :de_ fault shall -have continued for a period , of 30 days;• (4) If 'default, shall be inade by the `City"in the .,observance of any ,of the covenants,, agreements or conditions on its part in the Resolution bran, any resolution of the Council relating to any series of Bonds: other: than the Series A Bonds or to any 'Bonds or in any Bond.contairied, and such ,default shall have con- "tinued.for a per of 90,4y s ; "or (5) 'If ,the `City shall file a petition or. answer' seel�ing re organization or 'arrangement under the Federal Bankruptcy ;Laws; or any � other" applicable law 'or statute of the United States of America,• or if, ' A court of competent jurisdiction. shall. approve a petition, filed with or without. the consent 'of the. City, seeking re organization` under t ' 6 -Federal. Bankruptcy Zaws f or any, other. ' applicable `law or statute= of the United States of America, or if r - . 1 under the provisions of any other law for. the. relief or, .aid of debtors.6fty court, of competent jurisdiction shalLassume custody or control -of the City or of the whole or any ,substahtial-. part of its then and in each and every 'such case theholders of not less than a. majority 111,4ggregate, principal amount of -Ilio Ronds l at , the time out- standing; shall be entitled, upon 'to the City, todedlare � pon - notice. in writing the principal- of all of the Bonds then outstanditz hereunder and the interest acer tobe� due and payable;immediately, and upon any such declaration thd same shall become and :shall be immediately ''due and aydble ain:Ythijwin thfsJ�esoluiion or," the Bonds contained p i n to the contrary notWithstAnd1mg. 'Alt of the Gross Revenues, of the Enterprise, including all gums inall of'thei-Funds provided for in Section 9 hereof, and -all .sums in all of the Funds provided for in Se ction 7 hereof; "on the d9f,.6 of the declaration of acceleration by the holders of the. Bonds as above pro- vided f olloWiiig, any event .of default, And all sums thereafter received bythe City,or"the "-Fiscal, Agentheteundex shall b& applied by-the Fiscal Agent. in thee, order- f ollowing upon presentation of the several Bonds' and d6upoiis, and, the stamping thereon of I the .payment. if only partially paid, or upov,the surrender thereof- if fully paid:: First, to'the paymOttofthp- costs and expenses of the, bondholders in - declaring such ev ent .of: defatlt, hicludingteasonable compensation to their agehts*,, attorneys' and counsel; and to the payinent of the costs and expenses of.. the Fiscal Agent, in 'carrying out the provisions of this Section including reasonable compensation. to its agents, at, . tdrn6y's and lcounsel;; Second to the dnt of the whole amount then owing and unpaid , - m upon. the. Bonds -f PrIk Pipal and interest with int6rest, on the overdue prin al sand - ins,tallihdjitgof'interest at the rate of 6% per annum (to the extent that such interest on ov installment& of inte-rest.shall have, bee,• col lected) ; ` and in, :case such .moneys shall be insufficient, to, pay iTifilil the whol. . e✓ amount so ,owing an d1unpaid upon the Bonds then -to the payment of such principal and, interest, without preference, or priority of principal _. oypr`interest or of interest over principal, . or of any installmen -of.,interest over any o in other jp of interest, ratably to theagg Qf,. such' . p*rincipaland inie'r'e"sT`%. (b) Subject to any contractual limitation, binding, upon ,the holders of any of the $'onds. ( `but not limited to any limitations upon the exercise of any remedy to bondholders holding a; specific�percentage of such Bonds):, any 'holder of Bonds shall have the, right, for :the equal _ .benefit and protection of All holders of Bonds similarly situated -. _ (1) By mandamus or other suit .or proceeding at law or-in.. equity to enforce his rights against the City, the Council, and any officers; agents and le mployees of the .City and to require and com- pel the City, the Council or any such officers, :agents or empl;oyees, to perform and carry :out their duties under the Law and their agreements ,wi'th. "b;ondho_lders as provided in th s'Resolution; (2.) By +suit in °equity, to require the City and the Council to account as if they were the :trustee of an express trusti, or' (3). By suit in equity to ,enjoin any, acts or things which may be unlawful or violate; the rights of the bondholders,. ;Except,onl„y as provide .In Section 15 hereof; nothing in this.Resolu- tion of Tin the Bonds _or in.'the coupons contained shall affect or the obligation of the City, which is absolute and unconditional, to pay the principal of and interest on the Bonds to the respective holders of the Bon& and coupons at the yes:pective dates of � maturity, or upon call`for. redemption,, as herein. provided and out of the Revenues herein pledged.for'such payment, or affect or iinpair °the right of action, which is also absolute, 'and 'unconditional (except as provided in Section 15 hereof),, of such holders to institute suit to; enforce such. payment- by - = virtue of the contract ,6mbodied in the Bonds and coupons,. , The_ remedies conferred, hereby and by 'the Law upon,.any holder, 1 1. of Bonds do not exclude any .other ;remedy, but each such remedy is cumulative, and in addition to every other remedy and.may'be exercised without exhausting :and without regard to any other remedy conferred hereby or by the 'Law or - by any other law. A waiver of any= default or. breach .of duty 'or, contract 'by any bondholder shall not extend to or affect any ;subsequent default or breach of duty or contract or impair Y g eq Y :. an rights 'or remedies on any subse uent default or brea'eh. The :dela. • or omission of any bondholder :to exercise any right or power accruing upon :any default, shall not „impair any such right or- power and shall not be a waiver of any such default -or 'acquiescence 7therein.. Every sub- stantive rilit and every. remedy conferred upon the ;bondholders may be enforced and exercised as often as is deemed 'expedient. If a suit, - - a _ /tea' `38 action, or ptoceeding,'to. ,enforce "any right or exercise anywremedy shall be abandoned or determined adversely to the bondholders, then, and in every such case the City and such bondholders shall; be restored to their former positions , rights arid• remedies as if such suit, action. or , _" proce g h. d not beef ° brought or - taken. action .or g which any holder of Bonds shall suit roceedin ,. p have tfie right-to bring �to enforce any right. or remedy hereunder may be brought ''by the Fiscal Agent for the equal benefit and otection f 1 Holders of Bonds similarly"si'tuated and the Fiscal Agent is hereby o al appointed (MAIN successive respective holders and, registered owners of the Bonds, and interest coupons issued hereunder; by taking and holding the same; shall be conclusively deemed so to have: appointed it ; the true: and ,lawful attorney - fact of the respective, holders and registered owners of - tle Bonds .and interest coupons for the purpose' of bringing 'any such suit, action, or proceeding and to do and perform any and all ;acts and things for and in behalf of the, respective holders :- and -registered 6VM of the, Bonds .and coupons as a, class or classes as be necessar- -y or'advisable in the, opinion of the Fiscal Agent as such attorney in T t. SECTION, 15'. ' ; Ammendment of Bonds ,and` Resolution. All of tke - provisions ,of this Resolution shall' .constitute a; contract betty, n the; , City and the holder 'or" holders .of 'the Bonds hereby authorized,. and ry y ; of, the Bonds no amendment; ;from and, after" the sale: `and delive of an alteration or modification of the,B.onds or of the coupons appertaining thereto or of this' Resolution. shall be .made which shall �in, any mariner t. impair, impede ot'lessen thbe rights of the holders of the Bonds or .the: "thereto without the,-prior wrt- coupons appertaining then outstanding, ten consent of the holders of at least 75'% of the aggregate principal amount of ';Bonds then. .outstanding. Any' such amendment, alteration or modification which shall have received, the written consent of the. liolder"s of said,-percentage• of ;said outstanding Bonds as provided in this ; Section shall. be binding upon the holders of all:'of the Bonds and :,, either attachehed from coupons: appertaining 'thereto d to or detac said- Bonds. If iii it-h �opi'n on of the Council, any proposed amendment `substantially and adverselyaffects the rights, of ° electors .o£ the City; the Council may submit such amendment for the approval of the elector "s.,at an :election called and field for" that : purpose. Such : election may `be called, and held as •now; or Hereafter may' be provided by law, or 39 in the absence of any qcp _ress 'provision oflaw, may be called and held :in sub stantially the 8 Ame;manner as'provided by. law for the h olding I b, an electi'4Afor the issuance of revenue bond's under the Law:; provided. that only'a Thaip4ty Vote, of 'the voters voting upon the measure "at such election. need be required, and the measure to `be submitted at such elec- tion shall. be, generally to the effect, - of. whether or not the proposed amendment shall, be approved and ado - ted. Op 1-6. Fikal Agent. The City hereby appo Bank of America -ion, rust and Savings Association the al T in t he City and County of San Franicis State of Cali fornia, as the 1959 Water Revenue _BondYiscaLAgenf for the purpose of paying the principal of, and interest on an of the -Y Dbnds presente&for payment in-the City and County ;Of 'San Francisco - , : State :of California, and for t . he purpose of perforihifig all other - duties assigned to 'or IMP upon the Fiscal Agent as in this Resolution zprovided Th6 Fiscal' ,Agent initially ap- po inted, 0 ilted , dnd any, successor thereof may be, removed, by—the City and a; successor, or successors appointed,; provided that each ;such successor shall b q or trust company doing business, iniand"having an office' in ,the. City and County Of a San , Franciscd, Stgte Any such' Fiscal A gent designated by the Cit shall, continue to be •the - Fiscal Agent �of the City for all of'said nfil. the': designation purposes u of a successonas such Fiscat Agent, and the City agrees1tha , it will maintain d Fiscal Agent, i Cityand Cou In nty :of Sari Francisco so long As any of .,the Bonds are outstand and unpaid - The Fi calAgPnt is, I hereby authorized and directed to withdraw from the F-onds, and''in the mariner provided in &ction 9 hereof all kims �tequired, for the paymelit of 'the principal of and interest on : the Bonds 'pre sehted, for payment in San* 0 Francisco At maturity., I 11 or On call and redemption, or on purchase by the Fiscal Azent, prior-to maturity. the"Fisoat Agent.,is hereby - author- ized,' 'to redeem the Bonds and theJnte Yest :coupons: appertaining thereto When duly presented f& it for paymEn_ t. at maturity or on c al l and redemption or on -purchase by the Fiscal Ageni prior to maturity- and to cancel all 'Bonds -and coupons upon• payment thereof and to: return the same so cancelled to the Treasurer. The Fiscal, Agent shall keep accurate records of all funds it'and of a11. Bonds and coupons paid and discharged by it. The Council is hereby authorized to compensate the -Fiscal Agent for -the services of 'the Fiscal Agent rendered putsuiijit- to the provisions of this. R J ego u ion. • 1 The recitals of fact° and,' all promises, covenants; -and agreements .herein and in the .Bonds' of said authorized issue contained shall be taken as - statements, promises, covenants- and, agreements of` - the City, :. and the Fiscal. Agent ,assumes no .responsibility - for the correctness of — the same,, and makes no repr- esentatons gas to the validity or sufficiency of. this Resolution or of the `Bonds or coupons, .and, shall incur no' in thereof; other than in connection with ;the responsibility respect duties or obligations ,lere_in or in t he Bonds assigned! to or. imposed° upon the Fs_cal.Agent: The Fiscal Agent shall �be under ;no respon_si- lility' or duty with respect to' the :issuance of the Bonds ,for value. The :. =,Fi`scdl A gel" iiot. be liable in connection witli, the performance of" g its duties hereunder, except for its I :own negligence. or default. Any Fiscal Agent appointed hereunder may resign at any time. Upon.'the merger,, consolidation or ,other reorganization of';any Fiscal -.• Agent, the: Council shall, appoint a new�Fscal,Agent, which may be the cor.:po ratio n;_resulting from such reorganization. SscTroN 17. Discliar e. o, Resolution. Whenever all the Bonds 9 f y d p dnc rged ethe n this solution ' onta ned shall; e and determine :and the City, shall be under no further: obligation. to :apply • ' " herein rered, or otherwise to do the Revenues of the Enterprise as qui or perform,any of the: covenants, conditions or agreements iii` this Reso- ,luiion- 'contained, andaall sums then field by'the Fiscal.A_ gent hereunder shall forthwith 'be transferred'by it to the Treasurer. SECTioN; 18. Partial ,Invalidity., If any` sect i'on_, paragraph; sub- division,. sentence; clause or phrase of this Resolution shall for any reason be adjudged b y any, court of competent jurisdiction to be uncon- stitutional, unenforceable or invalid such judgment shall ; not affect the validit f the remain portions of this Resolution. The Council y hereby declares, that it' would have adopted this Resolution and each. and every ',other section,,—paragraph subdivision, sentence, clause and phrase lier'eof' and would 'have authorized the : ssu_ance of the Bonds pursuant =h p one or more sections, " eretoi-irres ective of the fact that any paragraphs; subdivisions, sentences,: clauses or ' phrases of this Resol, I tion or the, °application thereof to any person or circumstance, maybe held to unconstitutional, :unenforceable or invalid. S E'cTTON 19-. F ff ect' vex D-a e , o. - Re.sollat% . This :Resolution shall tape elEect'fonr. and after ;its :passage and aphroval; r - 42' CUE S CkPOIFICATE I Gladys R, Wallin. _ _ ... City Clerk of the City of Petaluma;: California, do hereby certify that. •the foregoing is a full, true and correct copy of a resolution adopted at an. adjourned regular,meetiiig of the Council of said City duly" .and regularly acid legally held at the regular r meeting place; thereof 4n the 29.t1i, day of Jiuie,1959, of which meeting all of the members of ;said Council; had due notice and at1wlich.a' or- AY thereof was duced by Counclman°rmanhaP"- , e v e asg l areu eon ution was intro - / /�; seconded by Councilman an ..... ............ Adopted by the following AyEs C,ouncilrrien Crinell "a, Ellis Gustafson" King, kata.en Van Bebber, and Mayor Parent, JNoES : Itjone, ' ABSENT`3 None,. That I have. carefully compared the: same with the original minutes of said meeting' on ,file; and of; record in my office and, that s ld'resolu said meeti h tr , ue <arid:coi rect>.copy of the. original resolution,ado -pted at _' .: - . ng and;'entered in said minutes and that K said resolution has not ,been amended, modified or rescinded;-smce ;the, date of its adoption; land is now in full force. and` effect.` f \` ; Witness Inv :hand _and -the seal of "said . City of Petaluma this 29th. - ;day of June, 1959': L ........... ." . Caty f Jerk o ;flthej,Catyrof `Petaluma `.Cali f ornaa �r J , f j INTRODUCED- B, Y COUNCILMAN 1VIART . GRI-NELLA i. A RESOLUTION N REs LUT ION OF THE CITY COUNT AUTHORIZING'' AND DIRECTING THE AMOUNT OF CITY OF PETALUMA �- SECONDED BY COUNCILMAN tVERE17-A. MAT NO. N., C.I.S. 3IL OF THE CITY' OF PETALUMA.: ,SALE OF $ PRINCIPAL 1959, WATER - REVENUE BONDS - WATER . 11 1 � -.1 - -- BONDS; . P SERIES A WHEREAS the City Council of' the City of Petaluma . has heretofo by Resolution No. 2260 NCS, adopted June 29, 1959, (hereina "Resolution of Issue called the "Rebp , A duly authorized the issuance of $3.0300,000 principal 'amount of 'City of Pet-aluma -1959 'Water Revenue Bonds and the issuance of $2,'8.00, OoO - principal Amount thereof as series A Baildsi and it is desira'ble that said Serie's A Bonds be offer - -ed. for.Onl'e at this time subject to the' terms and conditions of the No— t,ijc'o of Sal hereinafter set forth, NOW, THEREFORE, BE 17 RESOLVED' by the City 'Council of the City, of Petaluma, as foll,pws:: Seqtion- -1. Wednesda , August 5, 195 y 9, at the hour of 11: 00 A.M ., :( D. S. T. )is hereby fixed As the time and the Council" Chambers Cit y H ll P etaluma, etalama, Soh6ma County-, California, s, hereby fixed as the placre�,, at whi bids will f ' I i be receivedj,for purchase of $2 grincipal Amount of City of Petaluma 1959, 'Wat(Ot ReVenue, Bonds., .qeri.es A,- sub— ject to. the terms and conditions of the .Notice of Sale, herein= after set. f 8'r-th. Orri6k, D t 'ahlquis Herrington & , Se�ction 2'. 'Sutcliff-0- 'bond. counsel 'to- the City, are hereby 'authorized to cause v0pleu of the Resolution of Issue, to be printed for CorT ir mailing onsultants 'to the g by Stone & Youngberg, City along, -with printed copies of said noti.ce. Of - sale and printed co P e 1"8 of the Official Statement relating, to the. , Series, A. Bonds approved or to be approved by the City Council. Sec Vi,Qn 3. The City Clerk ;is. hereby authorized and directed to cause the noti,ce, of sale of said Series ' A Bonds to b e published once An the Petaluma Argos -CoUrier, a news- paper published and circulated in the City, and such notice shall be in substantially the fo.l1owi,ngform* OFFICIAL NOTICE OF SALE $_ CITY, OF PETAI;UMA 1959 WATER R -SERIES A. NOTICE IS HEREBY GIVEN, that sealed prop.oaals will be ,received by the , City Council of the City of Petaluma Sonoma County" . California at the Council Chambers) City Ha'11 Petaluma,, California, on WEDNESDAY, August 5,_ 1959 .at 11 . A. k I for purchase of $ prin- cipaal amount,1 of City of Petaluma 1959 Water Re,Vpnua Bonds Series X, authorized -to be issued under the provisions of a ( , resolution -of the City Council, adopted Xune. 29, 1959 herein- after ca;lledii the "Resolution")' The Bonds are more particularly described inl� the Resolution, ('which is incorporated herein . by reference) and. a copy thereof willi- be f urnished to any interested bidder upon reques I Said bonds are art. of 4n authorized issue in the aggre principal amount t:. of t 30 00 a ;at ut a uthorized t A 0 special reve,Ue bond ,election leation held in, the City on April .2&, 1959. - The rema ining :$'5'OQ,000.Qf Bonds of said' authorized issue will not. be of for, sale prior Vo. September 1, 19,6.0 ' The Bonds hereby offered for !'sdl�_ generally .described as f ollows ISSUE.: $2,80-0 000 cons - 1 ' sting of 2 bonds of the denomination of $a,'000 each, numbered Al to "'City 'O.f Petaluma 1959 Water A280•O ' iinalusive, designated Revenue Bonds, Series. •". DATE The Seri A Bonds are 'dated Septeinber 1,, . 1,959, INTEREST RAT E:: Maximum not toexizeed. 6� annum,_ payable x� annually the first -o n 1,Sep y tembe ''r - ' L - - a nd S'" 't b " " t_'171w. each and thereafter, semi.-annuall'on. March I a -ep em er. t he Bbii ids year., Bidders: must specify the ra.te 0' f i n terest which Bidders will be permitted hereby offered for :sale shall bear. 1 to bid different rates of interest an d to split, rates irre- spective of the maturiti.es of said bonds, , provi ded that the interest rate or rates stated in any :bid must be in a multiple ,Of 1/8 or 1/20 of 1%, that no bond shall bear more than one rate. of interest or more. tha_n one coupon 'to evidence any intereat, payment,, and cthat the, maximum dif between the lowest and highest coupon rates named In any bid shall :not exceed 1-1 /2%- MATURITIES: The Series Principal Amount- 25,.000 35, OOG 40' 45 ;00 . 0 '000 50,000 '55,000 6aAoo 65,11QUO 70,000 75,000 i, goo, 000 Bonds =mature serially as follows: Maturity Date (Sept�6mber 1) '(Both Years_ inclup 1961 1962 1 1965-q966 1967 -1 968 1969 -:197. 1 1972 1973 1977 .1994 Redeemed And Oh Prior Af ter to .September 1 September 1 Premium REDEMPTION: Bonds numb.ered Al to A900, both inclusive,, maturing by their 'terms on, or - prior to Sep- te , mbe , r 1, 1.9717J. are not subject to call and redemption pr . ior to , their fixed maturity dates. - Bonds, numbered A9,01 to. A2800 both inclusive,, maturing on September 1, lg54, are subject to -- call and redemptio,h'. at the option of the City, on 'September 1, 1970'p bu-t not prior thereto,, and on any interest payment date there, after prior to, maturity as a whole, or in. part 'by lot, f rom f unds derived, by the City from any source, including the Series A- Sinking 'Fund provided for in the Resolution,, at the principal amount thereof and accrued itteresi.t to date; of redemption plus a premi u as set forth In = Column 3 below, as follows:. Column 1 Column-2 Column. Column I Column 2. Column, 3 'M A lb _T on Redeemed And On or Prior Af ter to September -1 September 1 Premium 1970 1972 4 %, 198 1983 2 . % 1972 1974 . 5 3/4% .1083 104 1-3/4% 1974 , 1976 3-1/2% '1984 19$5 11/2% 1976 1978 3-1/4%. 1985 1986 1 - 1/4% 1 1979 3 % 1586 19'87 1 $ 1979 198.0, 2-3 �/4% 1 1987 i9-88 � % 3/4 of 1981 2-1 /2-% -1988 1589 1 of - 1� 19&1 ._19.82 2-1/4� 1989 1 /4 Of 1990 Maturity None -PAYMENT: Both principal. and interest, 'ar payable in lawful money of the Uftited States of America at the San Francisco Main Offipe of Bank of America National Trust, and, "Saviftgs Association,, 300 Montgomery Street, .San Franalsco.,, California. .3 IA . 1, . bupbn bonds will be by the, City.. MECUTION' AND C Said REGISTRATION • bonds will be executed by the-:manual signature of at least,one, official authorized to execute the Bonds:- Said bonds are registrable only as to; 'both principal and interes,t..c ,PURPOSE: 'The Series A Bond's are authorized for the purpose" of the I acquisiti,on purchas;e and the improvement and .f inancing , , of a municipal water system f or 'the City. SECURITY: The principal of and interest on. the Series 'A, Bonds are pa yable exclusively from a special fund provided for in the` Resolution (desi gnated t he't "1959i - Water 1 Revenue Fund Biddors, are referred to the•'Retqlution and -. to the Official ,Statement f'or' part-1culars. FISCAL AGENT:,, Bank of America Nati,onal Trust and Savings Association has been appointed Fiscal Agent for the payment Of the principal and interest of the 'aeries A Bonds and th6 regiptrat,ion there - of and will hold in trust the Interest Fund, Retirement Fund and Reserve Fund, and :all moneys paid to it out of revenues for the payment, of bpnd principal and intereSL.t and Reserve Fund purp TAX EXEMPT STATUS: In the.. event that prior to the delivery of the i Series; A Bonds 'the in % - come. received by private holders from bonds of thle same type and character shall be de- Glared to be taxable under any Federal Income;TA Laws, either'by the terms of s laws or by'' ' ruling of a 'Federal 'Tax Tax auth- orlt,y or !official which 18 followed by the Internal I Revenue Service; d or by ec As10 n of any Federal Gourt, the Successful bidder may, at h1s, -option pr.ior to the tender of the Series A Bonds 'by the City, be relieVed-of his obligation under the contract to purchase the. Ze,rie,s A Bonds, and In such case: the deposit accom.panyii-ig hi -s bid will be: returned.. LEGAL The legal opinion of :Messrs. Orrick:, Dahlquist, Herrington & Sutcliffe, of Sari Francisco-, Cali;- forni,a, approving the validity of the Series A Bonds will be furn- fished without, to the successful. bidder. A copy of the legal opinion-, cer tif,ied, by. _the official in whos'e offlap the original is filed, will. b,e on each bond without charge to the successful bidder. TERMS OF SALE - Highest. Bid: I The, Series A- Bonds will, be awarded to the highest bidder, considering- cthe, interest rate or rates specified in the bid and the premium offere,d,, if any. The highest 'bid will be d4termined by deducting the amount of the premium bid ( any) from [the total amount of interest which- the; - :City would, -be required 'to pay from the, date of th' Series A Bonds' to their Pe" spective maturity dt. the coupon rate or rates specified . 1i 1 �19 aes at the - P in the bid and the award will- be ma"de on the basls�of the lowest net .:intere%st, to° the City The lowest 'net interest cost shall b6 computed on a ,360-day yebx basis. The `purc I haser must pgy acc,rued, interest from the date of the Series A Bonds, _ s to the 'date of d6liver. The, cost ' gr,1ftting the Series A� Bb nds :wil be, borne by the C ity. 1ty. .4 "Right, of 1! The 'City reserves the right, I Rejection: to reject any and all bids and irregularity or informality in .;. / - /."#- - n its disc�rotion', tpa: � w, ive any any bid:. Prompt Award: The City Council will take action awarding the S eries. erie6, A Bonds or rejecting all bids not 'later than 24 hours after the. expiration of the 'time herein prpscribed for the"rocel of proposals., unless such time of award Is waived I P, by the successful bidder,. Prompt Delivery: Delivery of the Series Bonds- will be made to 'the, zucceqsful bidder at the "San Francisco Main Qf f I ' ,ce - of the :Fis.dal Agent.., in ;Sa n Francisco, California, as soon as the Bonds clan be prepared, which it is estimated will be Within 30 - days from .the of sale, but not prior to the date of the, Series A Bonds The Series A.Bonds will be delivered simultaneously with. the purchase of the Water System; by the City and the transfer of ownership : .thereo ' to the I City. . - Right of The succes bidder shall have the - right, at his Cancellation: -option, to cancel the contract of purchase of the, Sertes A Bonds if the City shall fail to execute, the Series A B ' b1nds, and - tender th:e same for delivery within 60 days ' from the date 'pf sa le thereof, and in ouah event the successful bidder, shall 'be entitled to the return of the deposit •dcomp.ahying his bid.. Form of Bid: All, bids must be 'for- not less than, all of the.: Series A Bond& hereby offered. for sale, and,-for not less than the �Ipla'r' value thereof and accrued ' interest to date delivery Each bid.j together with bidder's check., must 'be enc.loaie�d in a sealed en,velope addressed to the City -CouricIl- of the City of Feta-luma . Sonoma County, Californiai endorsed "Proposa-1 for City of Petalu 1959 Water Revenue Bonds, r - ']� - S A Bid Check: With each bid must be submitted, a certified ' check or ca%sh-ierl:s check Pbr $5,0Q10, drawn on a bank or trust company rtransacting , . 'business in the State of California pay!- able to the order of the City to secure the City f rom any, loss re= salti from the failure of the bidder to comply with - the terms, of his bid. In addition bidders are requested, blkt not required, to supply an. , estlmate -of the total net interest cos't'to the City, on the basis of their respective bids-,, which shall be considered as. informative only.a4d not binding ph either,' the bidder or" the City. �Checks of the unsucc,essfu,l bidders will be returned by the City by mail upon the award of the Bonds,.. No interest Will. be paid upon the deposit made by the succ,e6sfu_1 bidder. Official Statement:, The City has prepared an of statement, a li copy of Vhi,ch, will be furnished Upon request addressed to Messrs. Stone &,Youngberg Russ Building, San :Francisco 4, tal i orrii,a I' - the, City .s financing' consultants. 5. e ' Y There is no controversy or litigation pending or threat- ened concerning the validity o,f the Series A Bonds, and: the City will furnish to the �s.ucce sful bidder a no- litigation veertificate certifying to l they foregoing as of and a:t the time of the: delivery of the Series A Bonds.. Dated: June 29, 1.959 (seal) GLADYS R. WALLIN City , e:r o .,e y o' etaiume State of California Section ;This Resolution shall. effect from and a ft er its pa ssage and approVal, PASdED1 AND ADOPTED this 29th day. of June, 1959, by the following vote: AYES,: Councilmen Grinella, Ellis, Gustafson,, King; Matzen, Van Bebber,,. arid, Mayor'P,arei t., NOES••:, - None: ABSENT: None`., ARTHUR W_ PARENT Mayor of the 'City - o:f etaluma State, o California GLADYS R`. WALLIN, y er - o: , 'the; Cit af Pet aluma State of California Present to and app:roved , by me this 29th day of _ June, 1959 -, 1 ARTHUR-W-. PARENT Mayor of the clty - of - Fe�talluma State 'of Cali °forma .6 1 I,. Gladys,R: - Wallin , City Clerk of the City of Petaluma, Cali o hereby cert -f;y that the, foregoing is forn;a, d a full', true and correct copy of a resolution. duly adopted at - 'an adjourned regular meeting of the City Council of said. 'city duly and r- egulavly and legally .held 'at the .regular meeting place thereof on the 29th* day of June;, 19:59, of which meeting all of the 'membera of" said City Council had du_e notice and. at which a majority thereof 'was present; that at said meeting ;said resolu tion was introduced b y Counc.i -lman Marino P. .Crrne.11a and read in fu1T, and was ;thereupo:n�„ seconded by Councilman Everett:.A.- Matzen adop;t:ed by the follow- ing vote: AYES:. Councilmen Cri-nella, Ellis, Gustafson, King, Matzen, NOES :. Nofte. ABSENT;: None, That I have carefully compared said ,resolution with the original :minutes of ,said, meeting on file and of rec_ord in my . office - s and that said resolution is a full, true and correct copy of the original resol'uti,on adopted at said, meeting and entered in said minutes. That said resolution has not been amended, - modified or r'es.cinded since the date of its adoption, and the same `is now - in full .force and eff.e -t.. WIT NESS my Yand,. and the seals of aid City of Petaluma this 29th day of June, 1959. , j CityY'C1 k o the ;i y o a aluma Sta °te, -of California � _