19930622 1993-27ORDINANCE NO. 1993-27
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FAIRFAX,
VIRGINIA, REQUESTING THE CIRCUIT COURT TO ORDER A SPECIAL
ELECTION ON THE ISSUANCE OF WATER BONDS IN THE
MAXIMUM AGGREGATE PRINCIPAL AMOUNT OF $2,011,000
WHEREAS, the City Council (the "Council") of the City of
Fairfax, Virginia, (the "city"), has been advised that it is
necessary to undertake a program of water system improvements as
described in paragraph 2 below, which will promote the health,
safety and public welfare of the city and its inhabitants.
1. The Council determines that it is necessary and expedient
to undertake a program of water system improvements for the City
as described in paragraph 2 below, which will promote the public
welfare of the City and its inhabitants.
2. The Council determines that it is advisable to contract
a debt and to issue water obligation bonds of the city in the
maximum amount of $2,011,000 (the "Bonds") pursuant to Article VII,
Section 10(a) (2) of the Constitution of Virginia, the City Charter
and the Public Finance Act of 1991 (the "Act") to finance in whole
or in part for improvements to the City's water system.
3. The Bonds shall bear such date or dates, mature at such
time or times not exceeding 40 years from their dates, bear
interest at such rate or rates as may be authorized by law, be in
such denomination and form, be executed in such manner and be sold
at such time or times and in such manner as the Council hereafter
provide by appropriate resolution or resolutions.
4. The water system is an undertaking from which the City
may derive a revenue, and the Bonds are not to be included within
the otherwise authorized indebtedness of the City; provided,
however, that from and after a period of five years from the date
of the election approving the Bonds, whenever and for so long as
the water system fails to produce sufficient revenue to pay for the
cost of operation and administration (including interest on bonds
issued therefor), the cost of insurance against loss by injury to
persons or property, and an annual amount to be placed into a
sinking fund sufficient to pay the Bonds at or before maturity, all
outstanding bonds issued on account of such undertaking shall be
included in determining the limitation of the power of the City to
incur indebtedness.
5. The bonds shall be general obligations of the City for
the payment of principal, premium, if any, and interest on which
its full faith and credit, as well as the revenues from its water
system, shall be irrevocably pledged.
6. The Council requests the Circuit Court of the City of
Fairfax, Virginia, to order an election to be held pursuant to
Sections 15.1-227.12 and 15.1-227.13 of the Act on the question of
contracting a debt and issuing the Bonds for such purposes.
7. The City Clerk is authorized and directed to cause a
certified copy of this Ordinance to be filed with the Circuit Court
of the City of Fairfax, Virginia.
8. This Ordinance
signature by the Mayor.
shall take effect immediately upon
1993-27
-2-
INTRODUCED:
PUBLIC HEARING:
ADOPTED:
June 8, 1993
June 22, 1993
June 22, 1993
ATTEST:
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