The URL can be used to link to this page

Home My WebLink AboutMO #3212MUNICIPAL ORDER NO. 3212 A MUNICIPAL ORDER AUTHORIZING THE PAYMENT AND DISCHARGE OF THE CITY'S GENERAL OBLIGATION BONDS, SERIES 2013A AND THE PAYMENT, DISCHARGE, AND DEFEASANCE OF THE CITY'S GENERAL OBLIGATION REFUNDING BONDS, SERIES 201813; AUTHORIZING THE DEPOSIT OF EXISTING GENERAL FUND REVENUES OF THE CITY IN THE SINKING FUND FOR THE SERIES 2013A BONDS SUFFICIENT, WHEN COMBINED WITH EXISTING FUNDS HELD THEREIN, TO PAY AND DISCHARGE THE SERIES 2013A BONDS ON THEIR EARLIEST PRACTICAL REDEMPTION DATE; AUTHORIZING THE DEPOSIT OF EXISTING GENERAL FUND REVENUES OF THE CITY IN AN ESCROW FUND FOR THE SERIES 2018B BONDS WITH U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, AS ESCROW AGENT, SUFFICIENT, WHEN COMBINED INVESTMENT EARNINGS THEREIN, TO PAY AND DISCHARGE THE SERIES 2018B BONDS THROUGH MATURITY; AUTHORIZING THE EXECUTION AND DELIVERY OF ALL ADDITIONAL DOCUMENTS OR CERTIFICATES NECESSARY TO ACHIEVE THE FOREGOING; AND TAKING RELATED ACTIONS WHEREAS, the City of Paducah, Kentucky (the "City") previously issued its General Obligation Bonds, Series 2013A in an original aggregate principal amount of $1,120,000 (the "Series 2013A Bonds") pursuant to an ordinance adopted by the Board of Commissioners (the "Series 2013A Bond Ordinance"); and WHEREAS, the City previously issued its General Obligation Refunding Bonds, Series 2018B in an original aggregate principal amount of $2,670,000 (the "Series 2018B Bonds") pursuant to an ordinance adopted by the Board of Commissioners (the "Series 2018B Bond Ordinance"); and WHEREAS, the Series 2013A Bonds are currently outstanding in an aggregate principal amount of $265,000 and mature in mandatory sinking fund installments of $85,000, $90,000, and $90,000 on September 1, 2026, September 1, 2027, and September 1, 2028, respectively (the "Outstanding 2013A Bonds"); and WHEREAS, the Series 2018B Bonds are currently outstanding in an aggregate principal amount of $495,000 and mature in annual serial installments of $170,000, 175,000, and $150,000 on August 1, 2026, August 1, 2027, and August 1, 2028, respectively (the "Outstanding 2018B Bonds" and, together with the Outstanding 2013A Bonds, the "Outstanding Bonds"); and WHEREAS, U.S. Bank Trust Company, National Association, as the successor -in -interest to U.S. Bank National Association (the "Paying Agent"), currently serves as the paying agent and bond registrar for the Outstanding Bonds; and WHEREAS, the Outstanding 2013A Bonds are currently subject to optional redemption and prepayment without penalty or premium in accordance with the Series 2013A Bond Ordinance; and WHEREAS, the Outstanding 201813 Bonds are not callable before maturity; and WHEREAS, the Board of Commissioners deems it necessary, desirable, and in the public interest to cause the Outstanding 2013A Bonds to be called for redemption on their earliest practical redemption date and to be paid and discharged using existing and available general fund revenues; and WHEREAS, the Board of Commissioners deems it necessary, desirable, and in the public interest to cause the Outstanding 2018B Bonds to be defeased by the deposit of available general fund revenues with the Paying Agent, in its capacity as escrow agent (the "Escrow Agent"), in an escrow fund (the "Escrow Fund"), in an amount sufficient, together with investment earnings thereon, to pay all remaining scheduled payments of principal and interest on the Outstanding 2018B Bonds to and including their scheduled maturity date; and WHEREAS, the City has sufficient general fund revenues on hand to accomplish the foregoing; NOW THEREFORE, BE IT ORDERED BY THE CITY OF PADUCAH, KENTUCKY: Section 1. Affirmation and Incorporation of Preamble. The facts and statements contained in the foregoing preamble of this Municipal Order, including the terms defined therein, are hereby affirmed and incorporated as a part of this Municipal Order. Section 2. Approval of Redemption of the Outstanding Bonds. For the purposes set forth herein, the Board of Commissioners hereby approves (i) the payment and discharge of the Outstanding 2013A Bonds on their earliest practical redemption date and (ii) the defeasance of the Outstanding 2018B Bonds in accordance with the terms and conditions of the Series 2018B Bond Ordinance by the deposit of available general fund revenues with the Escrow Agent in the Escrow Fund in an amount sufficient, together with investment earnings thereon, to pay all remaining scheduled payments of principal and interest on the Outstanding 2018B Bonds to and including their scheduled maturity date. Each of the Mayor, the City Clerk, and the Finance Director of the City, and any one of them, is hereby directed to irrevocably deposit moneys into (i) the 2013A Bond Fund (as defined in the Series 2013A Bond Ordinance) held with the Paying Agent sufficient, when combined with other moneys existing and irrevocably held therein, to pay all of the outstanding principal of the Outstanding 2013A Bonds and all interest accrued to their redemption date; and (ii) the Escrow Fund held with the Escrow Agent sufficient, together with investment earnings thereon, to pay all remaining scheduled payments of principal and interest on the Outstanding 2018B Bonds to and including their scheduled maturity date. Section 3. Investment of Moneys. Each of the Mayor, the City Clerk, and the Finance Director of the City may cause all moneys deposited and held in the 2013A Bond Fund, until needed for the redemption of the Outstanding 2013A Bonds, to be invested in Investment Obligations (as defined in the Series 2013A Bond Ordinance) and any excess interest accrued thereon, if any, to be remitted to the City after the full payment and discharge of the Outstanding Bonds. Each of the Mayor, the City Clerk, and the Finance Director of the City may cause all moneys deposited and held in the Escrow Fund, until needed for the payment of principal and interest on all of the Outstanding 2018B Bonds, to be invested in Investment Obligations (as defined in the Series 2018B Bond Ordinance) and any excess interest accrued thereon, if any, to be remitted to the City after the full payment and discharge of the Outstanding 2018B Bonds. Section 4. Further Acts and Deeds. The Mayor, the City Clerk, the Finance Director, and other appropriate officers and employees of the City, and any one of them, are hereby authorized and directed to execute, acknowledge, and deliver on behalf of the City any and all escrow agreements, other agreements, papers, instruments, certificates, affidavits, and other documents and to do and cause to be done any and all acts and things necessary or proper for entering into, delivering, and performing this Municipal Order, and causing the redemption, payment, discharge, and defeasance of the Outstanding Bonds, provided that neither the City nor any of its directors, officers, employees, or agents incur any general liability thereby. Section 5. Severability. The provisions of this Municipal Order are severable and, if any section, phrase, or provision hereof shall for any reason be declared invalid or unenforceable, such declaration shall not affect the validity of the remainder of this Municipal Order. Section 6. Prior Conflicting Actions Superseded. To the extent that any ordinance, resolution, order, or part thereof is in conflict with the provisions of this Municipal Order, the provisions of this Municipal Order shall prevail and be given effect. Section 7. Effective Date. This Municipal Order and after the date of adoption to reflect the redemption, p�yiY Outstanding Bonds. AT EST: Q mdsay Pari, , City Clerk Adopted by the Board of Commissioners, March 10, 2026 Recorded by Lindsay Parish, City Clerk, March 10, 2026 \moTinance-Defease 2013A and 2018B full force and effect from •aea and defeasance of the , Mayor CERTIFICATION I, the undersigned, do hereby certify that I am the duly qualified and acting City Clerk of the City of Paducah, Kentucky (the "City"), and as such I further certify that the foregoing is a true, correct, and complete copy of a Municipal Order duly adopted by the Board of Commissioners of the City at a meeting properly held on March 10, 2026, and which Municipal Order is now in full force and effect. IN WITNESS WHEREOF, I have hereunto set my hand this March 10, 2026. o Gtit L DSAY PA SH, City Clerk