74-075 - Laserfiche WebLink

Home Browse Search

516/74 (e) Reserve Fund. From any available funds of the City including the Utility Fund there shall be immediately placed in the Reserve Fund an amount, which together with the amount therein, shall be an amount equal to the maximum amount of annual debt service as defined herein, and thereafter there shall be maintained in said fund an amount equal to said maximum amount of annual debt service. Moneys in the Reserve Fund may be invested in any authorized investments, provided that the maturity of said investment shall not be later than twelve years from the date thereof. Upon the sale of any parity bonds there shall be immediately placed in the Reserve Fund from any available funds of the City including the Utility Fund an amount which will make the Reserve Fund equal to the maximum amount of annual debt service and thereafter there shall be maintained in said Reserve Fund an amount at least equal to said maximum amount of annual debt service. Moneys in the Reserve Fund shall be used solely for the purpose of paying the principal of and interest on the outstanding bonds and for the redemption of the outstanding term bonds (including premiums thereon) in the principal amounts provided herein in the event that the moneys in the Interest Fund or the Retirement Fund are insufficient therefor and for that purpose the Director of Finance shah withdraw and transfer moneys from the Reserve Fund to the appropriate fund as the case may be. Whenever moneys are withdrawn from the Reserve Fund for the purposes provided in this section an equal amount of money shall be placed in the Reserve Fund from the first available moneys in the Revenue Fund. At least annually any amount in the Reserve Fund in excess of the maximum amount of annual debt service shall be transferred to the Revenue Fund. Money in the Reserve Fund may be used to pay the principal and/or interest on the last maturity of the outstanding bonds. (f) Utility Fund. All moneys remaining in the Revenue Fund on or before the last business day of each month, after setting aside and transferring all the sums required to be set aside and transferred by the preceding paragraphs of this section and by tl~ analogous provisions of Resolution N~>. 62-92 and Resolution No. 63-178, shall be transferred to Iae Utility Fund. The necessary and reasonable maintenance and operation costs of the enterprise shal be paid from this fund and shall be separately accounted for as maintenance and operation expens~ (g) Surplus. After the above transfers and uses ave been made and all other covenants of the City contained herein have been duly performed mon :ys in the Utility Fund are surplus and may be (i) used for extensions and betterments of the water s3 stem; (ii) invested in any securities in which the City may invest funds subject to its control; (iii) trans erred to the Retirement Fund to be used for the redemption of any of said bonds which are subject to call and redemption prior to maturity or to the purchase from time to time in the open market of any outstanding bonds whether or not subject to call and redemption (irrespective of the maturity o~: number of such bonds) at prices and in such manner, either at public or private sale, or otherwise, as the City in its discretion may determine, but ' such purchase price (including brokerage and other charges, but excluding accrued interest) shall not exceed 104% of the principal amount or the redemptiotl price of the outstanding term bonds on the next interest payment date, whichever is less; or (iv) used for any lawful purpose of the City. (h) Withdrawals. The Director of Finance shall not permit any withdrawal to be made by the City of any moneys in any of the funds herein, if and when the City is in default hereunder. (i) Security for Deposits. All moneys held by the Director of Finance shall be held in time or demand deposits, and shall be secured at times by such obligations and to the extent required by law, except to the extent that such moneys are invested as hereinbefore provided. (j) Investments. Obligations purchased as an investment of money in any funds which are herein authorized to be invested shall be deemed at all times tb be a part of such funds and any profit realized from investments shall be credited to such funds and any losses resulting from such investment shall be charged to such funds, and the interest accruing thereunder shall be credited to the Revenue Fund