RES 84176 - Laserfiche WebLink

the date of surrender or the date of redemption, whichever is earlier. No interest will accrue on a Bond beyond the January 2 or July 2 on which said Bond is called for redemption. Notice of redemption must be given by publication, personal service or registered mail at least 60 days prior to the redemption date. The determination as to which Bond or Bonds are to be called will be made by the Paying Agent. Development of parcels within the District, transfers of property ownership and other similar circumstances could result in prepayment of assessments. Such prepayment would result in redemption of a portion of the Bonds prior to their stated maturities. Purpose of the Bonds Proceeds from the sale of the Bonds will be used to finance the acquisition of certain public improvements as described in the section herein entitled"The Improvement Project" and Appendix B, "Description of Work". Disposition of Surplus from the Improvement Fund The amount of any surplus remaining in the Improvement Fund after completion of the improvement and payment of all claims shall be transferred to the general fund of the City if the surplus does not exceed the lesser of one thousand dollars ($1,000) or five percent (5%) of the total amount expended from the Improvement Fund. Otherwise the entire surplus shall be applied as a credit on the assessment as provided in the 1913 Act. Security for the Bonds The Bonds are issued upon and secured by the unpaid assessments together with interest thereon and said unpaid assessments together with interest thereon constitute a trust fund for the redemption and payment of the principal of the Bonds and the interest thereon. All the Bonds are secured by the monies in the Redemption Fund created pursuant to the assessment proceedings and by the unpaid assessments levied to provide for payment of said acquisition and improvements. Principal of and interest on the Bonds are payable exclusively out of the Redemption Fund. Although the unpaid assessments constitute fixed liens on the lots and parcels assessed, they do not constitute a personal indebtedness of the respective owners of said lots and parcels. The unpaid assessments will be collected in annual installments, together with interest on the declining balances, on the tax roll on which general taxes on real property are collected and are payable and become delinquent at the same time and in the same proportionate amounts and bear the same proportionate penalties and interest after delinquency as do said general taxes, and the properties upon which the assessments were levied are subject to the same provisions for sale and redemption as are properties for nonpayment of general taxes. Obligation of the City Upon Delinquency If a delinquency occurs in the payment of any assessment installment, the City, at the end of the fiscal year of delinquency, has a duty to transfer into the Redemption Fund the amount of the delinquency out of available funds -12-