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OR 2013-1347 Ordinance DefeasementCERTIFICATE FOR ORDINANCE THE STATE OF TEXAS COUNTIES OF DALLAS AND DENTON CITY OF COPPELL I, the undersigned City Secretary of the City of Coppell, Texas, hereby certify as follows: 1. The City Council of said City convened in Regular Session on July 9, 2013, at the scheduled meeting place thereof, and the roll was called of the duly constituted officers and members of said City Council, to -wit: Daren S e lbo Hunt, Mayor Tim Brancheau, Mayor Pro Tem Bob Mahalik, Councilmember Wes Mays, Councilmember Gary Roden, Councilmember Billy F aught, Councilmember Marvin Franklin, Council member Aaron Duncan, Councilmember and all of said persons were present, thus constituting a quorum. Whereupon, among other business, the following was transacted at said meeting: a written Ordinance entitled ORDINANCE AUTHORIZING DISCHARGE AND REDEMPTION OF A PORTION OF THE CITY'S GENERAL OBLIGATION REFUNDING BONDS, SERIES 2005; APPROVING AN ESCROW AGREEMENT; AND ENACTING OTHER PROVISIONS RELATING TO THE SUBJECT was duly introduced for consideration and passage. It was then duly moved and seconded that said Ordinance be passed; and, after due discussion, said motion, carrying with it the passage of said Ordinance, prevailed and carried by the following vote: AYES-, 7 NOES: 0 ABSTENTIONS: 0 2. A true, full and correct copy of the aforesaid Ordinance passed at the meeting described in the above and foregoing paragraph is attached to and follows this Certificate; said Ordinance has been duly recorded in the official minutes of said City Council; the above and foregoing paragraph is a true and correct excerpt from said minutes of said meeting pertaining to the passage of said Ordinance; the persons named in the above and foregoing paragraph, at the time of said meeting and the passage of said Ordinance, were the duly chosen, qualified and acting members of said City Council as indicated therein; each of said officers and member was duly and sufficiently notified officially and personally in advance, of the time, place and purpose of the aforesaid meeting and that said Ordinance would be introduced and considered for passage at said meeting; and said meeting was open to the public, and public notice of the time, place and purpose of said meeting was given, all as required by Tex. Gov't Code Ann. ch. 551. SIGNED AND SEALED this 9' day of July, 2013. tity Secretary, City of Coppell, i54S [SEALj ORDINANCE N0. 4�> W- 134 7 ORDINANCE AUTHORIZING DISCHARGE AND REDEMPTION OF A PORTION OF THE CITY'S GENERAL OBLIGATION REFUNDING BONDS, SERIES 2005; APPROVING AN ESCROW AGREEMENT; AND ENACTING OTHER PROVISIONS RELATING TO THE SLTBJECT WHEREAS, the City of Coppell, Texas (the "City") has issued, and there are currently outstanding, the City's General Obligation Refunding Bonds, Series 2005 (the "2005 Bonds"), maturing on February I in each of the years 2014 through 2020, inclusive, in the aggregate principal amount of $9,605,000; WHEREAS, this City Council finds and determines that it is necessary and in the best interests of the City to provide for the payment, discharge and redemption of a portion of the 2005 Bonds, with funds available for such purpose, as described in Schedule I attached hereto and incorporated herein (collectively, the "Discharged Bonds"); WHEREAS, in the ordinance that authorized the issuance of the 2005 Bonds (the "Bond Ordinance"), the City reserved the option to redeem the 2005 Bonds before their scheduled maturity in whole or in part on February 1, 2014, or on any thereafter, at a price equal to the principal amount of the 2005 Bonds so called for redemption plus accrued interest to the redemption date; WHEREAS, the Bond Ordinance and Chapter 1207, Texas Government Code, authorize the City to deposit available funds with the Paying Agent/Registrar for the Discharged Bonds, and such deposit, if made in sufficient amounts, shall constitute the making of firm banking and financial arrangements for the discharge and final payment of the Discharged Bonds; and WHEREAS, it is officially found, determined and declared that the meeting at which this Ordinance has been adopted was open to the public and public notice of the date, hour, place and subject of said meeting, including this Ordinance, was given, all as required by the applicable provisions of Tex. Gov't Code Ann. ch. 551. Now, Therefore BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COPPELL: Section 1. Findings. The declarations, determinations and findings declared, made and found in the preamble to this Ordinance are hereby adopted, restated and made a part of the operative provisions hereof. Section 2. Approval of Escrow Agreement. The Mayor or City Manager is authorized to enter into and execute on behalf of the City with the Paying Agent/Registrar for the 2005 Bonds, as escrow agent, an escrow agreement, in the form and substance presented at this meeting, which escrow agreement will provide for the payment in full of the Discharged Bonds. Section 3. De osit of Funds. On or before July 24, 2013, the City shall deposit with the Paying Agent/R4strar for the Discharged Bonds funds in an amount sufficient to pay the principal of the Discharged Bonds and accrued interest thereon on the respective maturity or redemption date. Funds on deposit in the general fund and in the interest and sinking fund for the Bonds, together with other available funds as necessary, are hereby authorized and appropriated in the amounts necessary for such purpose. Section 4. Redemption of Bonds. Discharged Bonds maturing on February I in each of the years 2015 through 2020, inclusive, as described and in the principal amounts set forth in Schedule I, are hereby called for redemption on February 1, 2014 (the "Redemption Date") at a redemption price equal to the principal amount thereof plus accrued interest to the date of redemption. Interest on the Discharged Bonds called for redemption shall cease to accrue on the Redemption Date. The Paying Agent/Registrar is hereby authorized and directed to call such principal amount for redemption. Section 5. Notices. Notice of redemption of the Discharged Bonds called for redemption shall be given in the manner and within the times required by the Bond ordinance, and the Paying Agent/Registrar for the Discharged Bonds called for redemption is hereby authorized and directed to cause notice of redemption to be provided at the time and in the form and manner prescribed in the Bond Ordinance. Section 6. Covenants ReRardina Tax Exem tion of Interest on the Discharged Bonds. The City covenants to take any action necessary to assure, or refrain from any action which would adversely affect, the treatment of the Discharged Bonds as obligations described in section 103 of the Internal Revenue Code of 1986, as amended, the interest on which is not includable in the "gross income" of the holder for purposes of federal income taxation. Section 7. Authorization of Actions. The officers and employees of the City are hereby authorized and directed to take such actions and to execute and deliver such documents, certificates and receipts, including without limitation notice of redemption and material events notices with respect to the Discharged Bonds, as necessary or appropriate to consummate the transactions authorized by this ordinance and to redeem the Discharged Bonds in accordance with the provisions and requirements of the Bond ordinance. Council. Section 8. Effective Date. This ordinance shall be effective immediately upon its adoption by the City (Execution Page Follows) DULY PASSED by the City Council of the City of Coppell, Texas this the 9' day of July, 2013. CHRISTEL PE OS, CITY SEC TARY [CITY SEAL] Signature Page to Ordinance No. SCHEDULE I SCHEDULE OF REFUNDED OBLIGATIONS Description General Obligation Refunding Bonds, Series 2005 Total Maturity Date 2/1/2014 2/1/2015 2/1/2016 2/1/2017 2/1/2018 2/1/2019 2/1/2020 Principal Amount 0iYtctanc1inor $ 1,4803000 1,545,000 1,620,000 1,710,000 1,235,000 1,295,000 720,000 $ 91605,000 Principal Amount Defen Red $ 260,000 270,000 285,000 300,000 215,000 225,000 125,000 $1,680,000 Maturities 2015 through 2020 called for redemption on February 1, 2014, at par plus accrued interest.