02-02-1948 VCM Extract of Minutes

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Extract of Minutes of Meeting of the VILLAGE OF ELK RIVER COUNCIL MEETING February 2, 1948 The Village Council of the Village of Elk River, Minnesota met in regular session at the Municipal Building in said Village on February 2, 1948, at 8:00 P.M. The following members were present: Dan Bailey, H.A. Briggs, Clerk, Oscar Odegard, Mayor And the following were absent: Elmer Leger, R.A. Ellingson Member Bailey introduced the following resolution and moved its adoption: RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF $25,000 ELECTRIC LIGHT AND POWER PLANT AND SYSTEM REVENUE CERTIFICATES, SERIES OF 1948 WHEREAS, the Village of Elk River has heretofore issued, sold and delivered its Electric Light and Power Plant and System Revenue Certificates in the aggregate principal amount of $225,000, dated January 1, 1947, bearing interest at the rate of 2% per annum payable semiannually on January 1 and July 1 of each year, and maturing serially in the among of $5000 on January 1 and July 1 in each of the years 1948 through 1955, $10,000 on January 1 and July of each of the years 1956 through 1961 and on January 1, 1962 and $15,000 on July 1, 1962, and with further terms and covenants as provided in the resolution adopted by this council on January 29, 1947, entitled “Resolution Providing for the Sale of Electric Revenue Certificates” and WHERAS, in and by said resolution of January 29, 1947, the village has made, among others, the following covenants with and for the benefit of the holders from time to time of said certificates: (a) That the entire revenues of the municipal electric plant and system shall be credited to the Electric Revenue Fund, from which fund shall be paid all expenses of operation, repairs and maintenance in accordance with past practices of the village; (b) That there shall be credited each month to a special Interest and Sinking Account within said Electric Revenue Fund one-sixth of the amount required to pay principal and interest due on said revenue certificates on the next ensuing interest payment date; (c) That the net revenues of said plant and system shall be determined by deducting from the gross revenues all expenses of operation, repairs and maintenance and principal and interest outstanding obligations issued for the purchase or improvement of said plant and system, including said revenue certificates; (d) That such revenues shall be determined at least twice yearly and credited to a special Reserve Account within said Electric Revenue Fund, which Reserve Account shall be used only for the purpose of paying principal and interest on said revenue certificates, provided, that whenever such Reserve Account shall have credited thereto an amount in excess of the principal and interest requirements on said certificates during the ensuing twelve month period, any such excel may be used in any manner that this council may direct; and