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0838 ati n ORDINANCE NO. 838 - AN ORDINANCE authorizing the issuance of "CITY OF SOUTHLAKE, TEXAS, GENERAL OBLIGATION REFUNDING BONDS, SERIES 2002"; J ..?-„,,, specifying the terms and features of said bonds; _ levying a continuing direct annual ad valorem tax for the payment of said bonds; and resolving '-f:,-,__ other matters incident and related to the issuance, sale, payment and delivery of said bonds, including the approval and execution of a Paying Agent/Registrar Agreement and a Purchase Contract and the approval and distribution of an Official Statement; providing for the redemption of certain outstanding obligations of the City; and providing an effective z date. I WHEREAS, the City Council of the City of Southlake, Texas (the "City") has heretofore -issued, sold, and delivered, and there is currently outstanding, obligations totaling in principal amount $10,200,000 (collectively, the "Refunded Obligations") more particularly described as • follows: i (1) City of Southlake, Texas, Tax and Waterworks and Sewer System ,11 (Limited Pledge) Revenue Certificates of Obligation, Series 1992, dated May 1, 'i 1992, scheduled to mature on August 1 in each of the years 2003 through 2012, I and aggregating in principal amount $870,000; II I" .1 (2) City of Southlake, Texas, General Obligation Bonds, Series 1992, 1 dated October 1, 1992, scheduled to mature on February 15 in each of the years 2003 through 2013, and aggregating in principal amount $1,085,000; ;i (3) City of Southlake, Texas, General Obligation Refunding and 11 Improvement Bonds, Series 1993, dated October 15, 1993, scheduled to mature on August 15 in each of the years 2003 through 2008 and 2011, and aggregating • t in principal amount $4,635,000; and (4) City of Southlake, Texas, Tax and Tax Increment Revenue Certificates of Obligation, Series 1999 (Reinvestment Zone Number One)", dated June 1, 1999, scheduled to mature on August 15 in each of the years 2006 i through 2015 and 2019, and aggregating in principal amount $3,610,000; ti 11 tl AND WHEREAS, pursuant to the provisions of V.T.C.A., Government Code, Chapter ,' 1207, as amended, the City Council is authorized to issue refunding bonds and deposit the proceeds of sale directly with any place of payment for the Refunded Obligations, or other �! authorized depository, and such deposit, when made in accordance with said statute, and ordinances authorizing the issuance of the Refunded Obligations, shall constitute the making of firm banking and financial arrangements for their discharge and final payment; and WHEREAS, the City Council hereby finds and determines that general obligation refunding bonds should be issued at this time to refund the Refunded Obligations, and such refunding will result in the City saving approximately $1,182,090.00 in debt service payments on such indebtedness and further provide present value savings of approximately $786,567.39; now, therefore, r BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SOUTHLAKE, TEXAS: ;:.1.7,7 - 1 a M 7: 45247307.1 1 1 neral ;_f SECTION 1: Authorization - Designation - Prerelbal authorized Pto be issued en the gation refunding bonds of the City shall be and are h y to principal amount of $9,605,000 to be designated and bear BONDS the Stle"CITYES 0OF , I' 2 ��grega_ GENERAL OBLIGATION REFUNDING SOUTHLAKE, TEXAS, ' for the purpose of refunding certain outstanding ;° (hereinafter referred to as the "Bonds"), , li ations of the City (identified in the preamble hereof and eferredyto as the ed"Refundedbnd O i „ and to pay costs of issuance, in accordance Obligations") in with the Constitution and laws of the State of Texas, includauthing V.T.C.A., Government conformity '- - - , Code, Chapter 1207. SECTION 2: Fully Registered Obligations - Bond Date - Authorized Denominations Stated Maturities - Interest Rates. The Bonds shall be issued as fully registered obligations albe dated November 15, 2002 (the "Issue Date"), shall be in Initial denominations onderf$5,0000 I (1:17T)17;11 or any integral multiple (within a Stated Maturity, except forte gthe years Section 8) thereof, and shall become due and payable on February interest ua at the rateof per annum and 1 in principal amounts (the "Stated Maturities") and bear in 1 accordance with the following schedule: it YEAR OF PRINCIPAL INTEREST MATURITY AMOUNT RATE(S) 2004 $ 710,000 3.000% 2005 725,000 3.000% 2006 925,000 3.000% ill 2007 960,000 3.250% 1.. 2008 1,000,000 3.250% li, � �I 2009 1,035,000 3.500% l l 2010 520,000 3.375% �o 2011 540,000 3.450% I'3 2012 835,000 3.550% l' 2013 575,000 3.700% 1' 2014 330,000 3.900% 2015 340,000 4.000% 1`. 2016 355,000 4.150% 2017 370,000 4.250% 2018 385,000 4.350% 1{ The Bonds shall bear interest on the unpaid principal on amounts from the aI360-dayIssue to at the rate(s) per annum shown above in this Section (calculated twelve 30-day months). Interest on the Bonds shall be payable on February 15 and August 15 , I in each year, commencing August 15, 2003. , ' SECTION 3: Terms of Pa ment - Pa in. A•ent/Re•istrar. The principal of, premia or 1 if any, and the interest on the Bonds, due and payable by reason of maturity, i `; otherwise, shall be payable only to the registered owners or holders of the Bonds (hereinafter 1 called the "Holders") appearing on the registration and transfer books maintained by the Paying Agent/Registrar, and the payment thereof shall be in any for thecoin rcurrency of the United payment of public and private 1 V of America, which at the time of payment is legal tender debts, and shall be without exchange or collection charges to the Holders. appointment of The Bank of New York Trust Company of Florida N.A., The selection and and Tallas, Texas, to serve as Paying Agent/Registrar for the Bonds is hereby approved 45247307.1 -2 1 � fi y5 Ma+ woks and records relating to the registration, payment, exchange and transfer of -"Security Register") shall at all times be kept and maintained on behalf of the -� .ging Agent/Registrar, all as provided herein, in accordance with the terms and 1 ,"Paying Agent/Registrar Agreement", substantially in the form attached hereto as 11' `,_.—::;—if.: uch reasonable rules and regulations as the Paying Agent/Registrar and the City ® _- The Mayor or Mayor Pro Tern and City Secretary are hereby authorized to va 2 ®diver such Agreement in connection with the delivery of the Bonds. The City rte; aintain and provide a Paying Agent/Registrar at all times until the Bonds are paid `age, and any successor Paying Agent/Registrar shall be a bank, trust company, e1 tion or other entity qualified and authorized to serve in such capacity and perform . _and services of Paying Agent/Registrar. Upon any change in the Paying I �clh istrar for the Bonds, the City agrees to promptly cause a written notice thereof to be I -:Holder by United States Mail, first class postage prepaid, which notice shall also 1 ldress•of the new Paying Agent/Registrar. ., icipal of and premium, if any, on the Bonds shall be payable at the Stated Maturitiesli -r'' - ption, only upon presentation and surrender of the Bonds to the Paying egistrar at its designated offices in New York, New York (the "Designated il .F Cent/Transfer Office"). Interest on the Bonds shall be paid to the Holders whose name :.+ tsan the Security Register at the close of business on the Record Date (the last business l' fret-hemonth next preceding each interest payment date) and shall be paid by the Paying 13egistrar (i) by check sent United States Mail, first class postage prepaid, to the address II ,- Holder recorded in the Security Register or (ii) by such other method, acceptable to the I %-:,,,,T g=Agent/ Registrar, requested by, and at the risk and expense of, the Holder. If the date m e.payment of the principal of or interest on the Bonds shall be a Saturday, Sunday, a legal --,,,,-,----t- _,7,4-7,1,„----,11, day, or a'ryday when banking institutions in the City where the Designated Payment/Transfer e. ce ofithe Paying Agent/Registrar is located are authorized by law or executive order to close, II, * en`-the date for such payment shall be the next succeeding day which is not such a Saturday, nday, legal holiday, or day when banking institutions are authorized to close; and payment on ' 4 such date shall have the same force and effect as if made on the original date payment was I1h due_ ;l In the event of a nonpayment of interest on a scheduled payment date, and for thirty (30) days'thereafter, a new record date for such interest payment (a "Special Record Date") will be established by the Paying Agent/ Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (which shall be 15 days after the Special Record Date) I shall be sent at least five (5) business days prior to the Special Record Date by United States Mail, first class postage prepaid, to the address of each Holder appearing on the Security Register at the close of business on the last business day next preceding the date of mailing of such notice. 1 SECTION 4: Redemption. (a) Optional Redemption. The Bonds having Stated Maturities on and after February 15, 2013 shall be subject to redemption prior to maturity, at the option of the City, in whole or in part in principal amounts of $5,000 or any integral multiple thereof (and if within a Stated Maturity by lot by the Paying Agent/Registrar), on February 15, 2012 or on any date thereafter at the redemption price of par plus accrued interest to the date of redemption. (b) Exercise of Redemption Option. At least forty-five (45) days prior to a redemption date for the Bonds (unless a shorter notification period shall be satisfactory to the 1 i 45247307.1 -3- , Agent/Registrar), the City shall notify the Paying Agent/Registrar of the decision to m Bonds, the principal amount of each Stated Maturity to be redeemed, and the date of p�tion therefor. The decision of the City to exercise the right to redeem Bonds shall be ed in the minutes of the governing body of the City. (c) Selection of Bonds for Redemption. If less than all Outstanding Bonds of the E�-';Stated Maturity are to be redeemed on a redemption date, the Paying Agent/Registrar 3 treat such Bonds as representing the number of Bonds Outstanding which is obtained by admg the principal amount of such Bonds by $5,000 and shall select the Bonds to be ;-seemed within such Stated Maturity by lot. (d) Notice of Redemption. Not less than thirty (30) days prior to a redemption date the Bonds, a notice of redemption shall be sent by United States Mail, first class postage -paid, in the name of the City and at the City's expense, to each Holder of a Bond to be -deemed in whole or in part at the address of the Holder appearing on the Security Register at tie'close of business on the business day next preceding the date of mailing such notice, and - y notice of redemption so mailed shall be conclusively presumed to have been duly given agespective of whether received by the Holder. All notices of redemption shall (i) specify the date of redemption for the Bonds, (ii) identify the Bonds to be redeemed and, in the case of a portion of the principal amount to be =� -redeemed, the principal amount thereof to be redeemed, (iii) state the redemption price, v (iv) state that the Bonds, or the portion of the principal amount thereof to be redeemed, shall become due and payable on the redemption date specified, and the interest thereon, or on the portion of the principal amount thereof to be redeemed, shall cease to accrue from and after the redemption date, and (v) specify that payment of the redemption price for the Bonds, or the principal amount thereof to be redeemed, shall be made at the Designated Payment/Transfer Office of the Paying Agent/Registrar only upon presentation and surrender thereof by the Holder. If a Bond is subject by its terms to prior redemption and has been called for redemption and notice of redemption thereof has been duly given as hereinabove provided, such Bond (or the principal amount thereof to be redeemed) shall become due and payable and interest thereon shall cease to accrue from and after the redemption date therefor; provided moneys sufficient for the payment of such Bond (or of the principal amount thereof to be redeemed) at the then applicable redemption price are held for the purpose of such payment by the Paying Agent/Registrar. SECTION 5: Registration - Transfer - Exchange of Bonds-Predecessor Bonds. The Paying Agent/Registrar shall obtain, record, and maintain in the Security Register the name and address of each and every owner of the Bonds issued under and pursuant to the provisions of this Ordinance, or if appropriate, the nominee thereof. Any Bond may be transferred or exchanged for Bonds of other authorized denominations by the Holder, in person or by his duly authorized agent, upon surrender of such Bond to the Paying Agent/Registrar at the Designated Payment/Transfer Office for cancellation, accompanied by a written instrument of transfer or request for exchange duly executed by the Holder or by his duly authorized agent, in form satisfactory to the Paying Agent/Registrar. Upon surrender of any Bond (except for the single Initial Bond referenced in Section 8 hereof) for transfer at the Designated Payment/Transfer Office of the Paying Agent/ Registrar, one or more new Bonds shall be registered and issued to the assignee or transferee of the previous Holder; such Bonds to be in authorized denominations, of like Stated Maturity and of a like aggregate principal amount as the Bond or Bonds surrendered for transfer. 45247307.1 -4- w the option of the Holder, Bonds (other than the single Initial Bond referenced in o)-�a `may be exchanged for other Bonds of authorized denominations and having the ed Maturity, bearing the same rate of interest and of like aggregate principal amount I l. --i`.ds surrendered for exchange, upon surrender of the Bonds to be exchanged at the j ...,-.„ r ed Payment/Transfer, Office of the Paying Agent/ Registrar. Whenever any Bonds are C red for exchange, the Paying Agent/Registrar shall register and deliver new Bonds to i rrequesting the exchange. II Bonds issued in any transfer or exchange of Bonds shall be delivered to the Holders } esignated Payment/Transfer Office of the Paying Agent/Registrar or sent by United s:� M171ail, first class, postage prepaid to the Holders, and, upon the registration and delivery � f the same shall be the valid obligations of the City, evidencing the same obligation to j: ,i id entitled to the same benefits under this Ordinance, as the Bonds surrendered in such fervor exchange. zg� All_ transfers or exchanges of Bonds pursuant to this Section shall be made without e ®ease or service charge to the Holder, except as otherwise herein provided, and except that Er -Paying Agent/Registrar shall require payment by the Holder requesting such transfer or Change of any tax or other governmental charges required to be paid with respect to such -- z isfer or exchange. Bonds cancelled by reason of an exchange or transfer pursuant to the provisions hereof .w. re-hereby defined to be "Predecessor Bonds," evidencing all or a portion, as the case may be, •`f-the same obligation to pay evidenced by the new Bond or Bonds registered and delivered in the exchange or transfer therefor. Additionally, the term "Predecessor Bonds" shall include any . �¢ ; mutilated, lost, destroyed, or stolen Bond for which a replacement Bond has been issued, =registered and delivered in lieu thereof pursuant to the provisions of Section 11 hereof and such new replacement Bond shall be deemed to evidence the same obligation as the mutilated, lost, 410, destroyed, or stolen Bond. Neither the City nor the Paying Agent/Registrar shall be required to issue or transfer to an assignee of a Holder any Bond called for redemption, in whole or in part, within 45 days of the date fixed for the redemption of such Bond; provided, however, such limitation on transferability shall not be applicable to an exchange by the Holder of the unredeemed balance of a Bond called for redemption in part. SECTION 6: Book-Entry Only Transfers and Transactions. Notwithstanding the , provisions contained in Sections 3, 4 and 5 hereof relating to the payment, and transfer/exchange of the Bonds, the City hereby approves and authorizes the use of "Book-Entry Only" securities clearance, settlement and transfer system provided by The f ff Depository Trust Company (DTC), a limited purpose trust company organized under the laws of the State of New York, in accordance with the operational arrangements referenced in a Blanket II Issuer Letter of Representations by and between the City and DTC (the "Depository s 9 Agreement"). , Pursuant to the Depository Agreement and the rules of DTC, the Bonds shall be ;i deposited with DTC who shall hold said Bonds for its participants (the "DTC Participants"). ji ;;; While the Bonds are held by DTC under the Depository Agreement, the Holder of the Bonds on !' I` the Security Register for all purposes, including payment and notices, shall be Cede & Co., as I ,I nominee of DTC, notwithstanding the ownership of each actual purchaser or owner of each ;' i E,' Bond (the "Beneficial Owners") being recorded in the records of DTC and DTC Participants. I i %row ' I °' 45247307.1 -5- I Ili lal, 1, 1� it r 1 I '! I l_,--the event DTC determines to discontinue serving as securities depository for the Zr :otherwise ceases to provide book-entry clearance and settlement of securities - ins;in general or the City determines that DTC is incapable of properly discharging its 2 , securities depository for the Bonds, the City covenants and agrees with the Holders of `to cause Bonds to be printed in definitive form and provide for the Bond certificates to -2.-7::,:i%'''and delivered to DTC Participants and Beneficial Owners, as the case may be. 3 x � the Bonds in definitive form shall be assigned, transferred and exchanged on the r oegister maintained by the Paying Agent/Registrar and payment of such Bonds shall e in accordance with the provisions of Sections 3, 4 and 5 hereof. ,S 4 ECTION 7: Execution - Registration. The Bonds shall be executed on behalf of the the Mayor or Mayor Pro Tem under its seal reproduced or impressed thereon and 3signed by the City Secretary. The signature of said officers on the Bonds may be w-1-'= or facsimile. Bonds bearing the manual or facsimile signatures of individuals who are or t tae proper officers of the City on the Issue Date shall be deemed to be duly executed on ��, -of the City, notwithstanding that such individuals or either of them shall cease to hold offices at the time of delivery of the Bonds to the initial purchaser(s) and with respect to delivered in subsequent exchanges and transfers, all as authorized and provided in , �r-C..A., Government Code, Chapter 1201, as amended. .Y, � No Bond shall be entitled to any right or benefit under this Ordinance, or be valid or _,) gatory for any purpose, unless there appears on such Bond either a certificate of registration tantially in the form provided in Section 9C, manually executed by the Comptroller of Public °ccounts of the State of Texas, or his duly authorized agent, or a certificate of registration , bstantially in the form provided in Section 9D, manually executed by an authorized officer, . _ployee or representative of the Paying Agent/Registrar, and either such certificate duly 1 `' ned upon any Bond shall be conclusive evidence, and the only evidence, that such Bond has en duly certified, registered and delivered. 7" SECTION 8: Initial Bond(s). The Bonds herein authorized shall be initially issued _-either �.._ as a single(i) g e fully registered bond in the total principal amount noted in Section 1 with principal installments to become due and payable as provided in Section 2 hereof and . numbered T-1, or(ii) as multiple fully registered bonds, being one bond for each stated maturity in the applicable principal amount and denomination and to be numbered consecutively from T- 1 and upward (hereinafter called the "Initial Bond(s)") and, in either case, the Initial Bond(s) shall i be registered in the name of the initial purchaser(s) or the designee thereof. The Initial Bond(s) shall be the Bonds submitted to the Office of the Attorney General of the State of Texas for approval, certified and registered by the Office of the Comptroller of Public Accounts of the State of Texas and delivered to the initial purchaser(s). Any time after the delivery of the Initial Bond(s), the Paying Agent/ Registrar, pursuant to written instructions from the initial I purchaser(s), or the designee thereof, shall cancel the Initial Bond(s) delivered hereunder and ' exchange therefor definitive Bonds of authorized denominations, Stated Maturities, principal 11 amounts and bearing applicable interest rates for transfer and delivery to the Holders named at 1 the addresses identified therefor; all pursuant to and in accordance with such written instructions from the initial purchaser(s), or the designee thereof, and such other information and documentation as the Paying Agent/Registrar may reasonably require. SECTION 9: Forms. A. Forms Generally. The Bonds, the Registration Certificate of the Comptroller of Public Accounts of the State of Texas, the Registration Certificate of Paying Agent/Registrar, and the form of Assignment to be printed on each of the Bonds, shall 1 b. substantially in the forms set forth in this Section with such appropriate insertions, omissions, . w I 307.1 Ij '- ,I it I 11 1, h itutions, and other variations as are permitted or required by this Ordinance and may have fetters, numbers, or other marks of identification (including identifying numbers and letters ( Committee on Uniform Securities Identification Procedures of the American Bankers ,m ;.iation) and such legends and endorsements (including insurance legends on insured ,'1 and any reproduction of an opinion of counsel) thereon as may, consistently herewith, be i; ished by the City or determined by the officers executing such Bonds as evidenced by ,,1 3. j execution. Any portion of the text of any Bonds may be set forth on the reverse thereof, „+ an appropriate reference thereto on the face of the Bond. ;!, a ir The definitive Bonds and the Initial Bond(s) shall be printed, lithographed, or engraved or I . re-written, photocopied or otherwise reproduced in any other similar manner, all as determined i1,I - rfir;jhe officers executing such Bonds as evidenced by their execution thereof. ,,. 11 ' (B) Form of Definitive Bond. GiSTERED REGISTERED t,II' $ UNITED STATES OF AMERICA ,;I STATE OF TEXAS CITY OF SOUTHLAKE, TEXAS, 11' ` GENERAL OBLIGATION REFUNDING BOND, SERIES 2002 riI $. issue Date: Interest Rate: Stated Maturity: CUSIP NO: -November 15, 2002 F Registered Owner: 1 Principal Amount: DOLLARS The City of Southlake (hereinafter referred to as the "City"),y ), a body corporate and municipal corporation in the County of Tarrant, State of Texas, for value received, , acknowledges itself indebted to and hereby promises to pay to the order of the Registered Owner named above, or the registered assigns thereof, on the Stated Maturity date specified above the Principal Amount hereinabove stated (or so much thereof as shall not have been paid 'i; upon prior redemption), and to pay interest on the unpaid principal amount hereof from the ISI Issue Date at the per annum rate of interest specified above computed on the basis of a ' a 1, 360-day year of twelve 30-day months; such interest being3 payable on February 15 and August rI ISI!! 15 in each year, commencing August 15, 2003. Principal of this Bond is payable at its Stated 1!; ill, Maturity or redemption to the registered owner hereof, upon presentation and surrender, at the ;l' Designated Payment/Transfer Office of the Paying Agent/Registrar executing the registration i i;' certificate appearing hereon, or its successor. Interest is payable to the registered owner of d' l'i! this Bond (or one or more Predecessor Bonds, as defined in the Ordinance hereinafter 111 Hi referenced) whose name appears on the "Security Register" maintained by the Paying Iii !fl} Agent/Registrar at the close of business on the "Record Date", which is the last business day of lk the month next preceding each interest payment date, and interest shall be paid bythe Paying €i,'; �i' Y g i 'air Anent/Registrar by check sent United States Mail, first class postage prepaid, to the address of In I ��: 47147307.1 -7- I i Ell E e nI4 � 1 �[ 6 l! �-v gstered owner recorded in the Security Register or by such other method, acceptable to T,vying Agent/Registrar, requested by, and at the risk and expense of, the registered owner. S ;-:„-;_,'.yments of principal of, premium, if any, and interest on this Bond shall be without range or collection charges to the owner hereof and in any coin or currency of the United of America which at the time of payment is legal tender for the payment of public and j efe debts. This Bond is one of the series specified in its title issued in the aggregate principal Dunt of $9,605,000 (herein referred to as the "Bonds") for the purpose of refunding certain e Landing obligations of the City (identified in the Ordinance hereinafter referenced and ,erred to as the "Refunded Obligations") and to pay costs of issuance, under and in strict -v,nformity with the Constitution and laws of the State of Texas, including V.T.C.A., Government fide, Chapter 1207, and pursuant to an Ordinance adopted by the City Council of the City herein referred to as the "Ordinance"). The Bonds maturing on and after February 15, 2013 may be redeemed prior to their fated Maturities, at the option of the City, in whole or in part in principal amounts of $5,000 or any integral multiple thereof (and if within a Stated Maturity by lot by the Paying Agent/Registrar), on February 15, 2012, or on any date thereafter, at the redemption price of par together with accrued interest to the date of redemption. At least thirty days prior to the date fixed for any redemption of Bonds, the City shall cause a written notice of such redemption to be sent by United States Mail, first class postage prepaid, to the registered owners of each Bond to be redeemed at the address shown on the Security Register and subject to the terms and provisions relating thereto contained in the Ordinance. If a Bond (or any portion of its principal sum) shall have been duly called for redemption and notice of such redemption duly given, then upon such redemption date such Bond (or the portion of its principal sum to be redeemed) shall become due and payable, and interest thereon shall cease to accrue from and after the redemption date therefor, provided moneys for the payment of the redemption price and the interest on the principal amount to be redeemed to the date of redemption are held for the purpose of such payment by the Paying l - Agent/Registrar. In the event a portion of the principal amount of a Bond is to be redeemed and the registered owner is someone other than Cede & Co., payment of the redemption price of such principal amount shall be made to the registered owner only upon presentation and surrender of such Bond to the Designated Payment/Transfer Office of the Paying Agent/Registrar, and a new 'j Bond or Bonds of like maturity and interest rate in any authorized denominations provided by the Ordinance for the then unredeemed balance of the principal sum thereof will be issued to the registered owner, without charge. If a Bond is selected for redemption, in whole or in part, the City and the Paying Agent/Registrar shall not be required to transfer such Bond to an assignee of the registered owner within 45 days of the redemption date therefor; provided, it however, such limitation on transferability shall not be applicable to an exchange by the registered owner of the unredeemed balance of a Bond redeemed in part. The Bonds are payable from the proceeds of an ad valorem tax levied, within the limitations prescribed by law, upon all taxable property in the City. Reference is hereby made to the Ordinance, a copy of which is on file in the Designated Payment/Transfer Office of the Paying Agent/Registrar, and to all of the provisions of which the owner or holder of this Bond by the acceptance hereof hereby assents, for definitions of terms; the description of and the nature and extent of the tax levied for the payment of the Bonds; the terms and conditions relating to 1111.10, 45247307.1 -8- I ii`'. *f 1 s▪fer or exchange of this Bond; the conditions upon which the Ordinance may be ,1 ▪-`or,supplemented with or without the consent of the Holders; the rights, duties, and ®ns of the City and the Paying Agent/Registrar; the terms and provisions upon which this ' jay`be discharged at or prior to its maturity, and deemed to be no longer Outstanding J ;= irder, and for other terms and provisions contained therein. Capitalized terms used ` .lave the meanings assigned in the Ordinance. This Bond, subject to certain limitations contained in the Ordinance, may be transferred 4 e Security Register only upon its presentation and surrender at the Designated f ent/T_ ransfer Office of the Paying Agent/Registrar, with the Assignment hereon duly e ersed by,' or accompanied by a written instrument of transfer in form satisfactory to the ,�;o eg Agent/Registrar duly executed by, the registered owner hereof, or his duly authorized `' I �,- t. When a transfer on the Security Register occurs, one or more new fully registered Bonds � � # esame Stated Maturity, of authorized denominations, bearing the same rate of interest, and g e same aggregate principal amount will be issued by the Paying Agent/Registrar to the gnated transferee or transferees. # The City and the Paying Agent/Registrar, and any agent of either, shall treat the t 4istered owner whose name appears on the Security Register (i) on the Record Date as the ,gwner"entitled to payment of interest hereon, (ii) on the date of surrender of this Bond as the 8 -ner entitled to payment of principal hereof at its Stated Maturity, or redemption, in whole or in3 ®.rt, and (iii) on any other date as the owner for all other purposes, and neither the City nor the l — 7.aying Agent/ Registrar, or any agent of either, shall be affected by notice to the contrary. In he event of nonpayment of interest on a scheduled payment date and for thirty (30) days thereafter, a new record date for such interest payment (a "Special Record Date") will be { • 3 established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled 1i .n payment date of the past due interest (which shall be 15 days after the Special Record Date) , shall be sent at least five (5) business days prior to the Special Record Date by United States , • Mail, first class postage prepaid, to the address of each Holder appearing on the Security • Register at the close of business on the last business day next preceding the date of mailing of such notice. i It is hereby certified, recited, represented and declared that the City is a body corporate ;i w and political subdivision duly organized and legally existing under and by virtue of the Constitution and laws of the State of Texas; that the issuance of the Bonds is duly authorized byi law; that all acts, conditions and things required to exist and be done precedent to and in the 1 issuance of the Bonds to render the same lawful and valid obligations of the City have been properly done, have happened and have been performed in regular and due time, form and l manner as required by the Constitution and laws of the State of Texas, and the Ordinance; that # 1 the Bonds do not exceed any Constitutional or statutory limitation; and that due provision hasji, been made for the payment of the principal of and interest on the Bonds by the levy of a tax as ,1 aforestated. In case any provision in this Bond shall be invalid, illegal, or unenforceable, the !i . validity, legality, and enforceability of the remaining provisions shall not in any way be affected �+ r l i'' or impaired thereby. The terms and provisions of this Bond and the Ordinance shall be it construed in accordance with and shall be governed by the laws of the State of Texas. jib '' l!j p.,, 11 A'll i? 141 I , IE I, 45247307.1 -9- f ; I � - lei i • , ,,--11. 4 -'WITNESS WHEREOF, the City Council of the City has caused this Bond to be duly #I �F • under the official seal of the City as of the Issue Date. 40_,::::..t,,,,,_ CITY OF SOUTHLAKE, TEXAS ' 2 i �_ _ 2ZY�; o R IF 4 •,- _ Mayor , SIGNED: tt •. rmak.= • i ecretary : 1—= s = , _= _ u ••• s ,,•',rnnattttt� (C) *Form of Registration Certificate of Comptroller of Public Accounts to appear on ;II nxtial`Bond(s) only. REGISTRATION CERTIFICATE OF COMPTROLLER OF PUBLIC ACCOUNTS ®.FFICE OF THE COMPTROLLER ) OF PUBLIC ACCOUNTS ) REGISTER NO. ) 1 nE STATE OF TEXAS I HEREBY CERTIFY that this Bond has been examined, certified as to validity and I ill approved by the Attorney General of the State of Texas, and duly registered by the Comptroller of Public Accounts of the State of Texas. II WITNESS my signature and seal of office this I 1 JI lb Comptroller of Public Accounts I� il of the State of Texas ill f, (SEAL) i , ,I ill *NOTE TO PRINTER: Do not print on definitive bonds II ILII' Ill' 52x.1 M -10-