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HomeMy WebLinkAbout0002_1I heretofore created and ordered to be established and maintained for the payment of expenses of operating and maintaining the Utility System and costs of certain repairs or replacements to said System and for the payment of principal of and interest on bonds outstanding against the Utility System, as hereinafter more spe- cifically stated. Section 10. Utility System. That the UTILITY SYSTLN (hereinafter sometimes called the "System"), as created and established by the City Council, is comprised of the entire waterworks system, the entire sewer system, and the entire electric light system now owned and operated by the City of Georgetown, Texas, together with all improvements, extensions and additions thereto which may be made while any Parity Bonds or Additional Bonds remain outstanding against the System. Such Utility System shall be operated on the basis of a fiscal year commencing on September 1st of each year and ending on August 31st of the following Year. Section 11. Pledge of Revenues. The Bonds herein authorized and the out- standing "City of Georgetown Utility System Revenue Bonds, Series 1964,"dated June 1, 1964, shall be equally and ratably secured by and payable from an irrevocable first lien on and pledge of the income and revenues derived and to be derived Ofrom the operation of the System, after deduction therefrom of the amount nec- CID essary to pay all operating, maintenance, replacement and betterment charges of V the system, as is required by Article 1113, of the Revised Civil Statutes of Texas, 1925, as amended, and by other applicable Statutes of the State of Texas. Section 12. Maintenance of Rates. The City hereby covenants and agrees that it will, at all times, while any of the Parity Bonds ar any Additional Bonds, or any interest thereon, are outstanding and unpaid, charge and collect for services rendered by said Utility System rates sufficient to pay all mainten- ance, depreciation, replacement, betterment, and interest charges and to provide an Interest and Sinking Fund sufficient to pay the interest and principal of such bonds as such interest and principal mature and any outstanding indebtedness of said System, as is required by applicable Statutes of Texas. For the benefit of the original purchasers and for the benefit of any and all subsequent holders of the Parity Bonds, Additional Bonds, coupons, or any part thereof, and in addition to all other provisions and covenants in the laws of the State of Texas, and in this Ordinance, it is expressly covenanted that the City shall fix and main- tain rates and collect charges for the facilities and services afforded by the System to the City and to all other customers which will provide revenues sufficient at all times: (a) To pay all operating, maintenance and replacement charges of the Utility System, as is required by Article 1113 of the Civil Statutes, as amended, and by other applicable Statutes of the State of Texas. (b) To establish and maintain the Interest and Sinking Fund and the Reserve Fund for the Parity Bonds and for any Additional Bonds; (c) To pay in addition all outstanding indebtedness against the Utility System other than the Parity Bonds, or any Additional Bonds, as and when the same becomes due; and (d) To provide for the payments into the "Contingency Fund" as required under the provisions of the Ordinances authorizing the issuance of the Parity Bonds. Section 13. Utility System Revenue Fund. There shall be deposited in the Utility System Revenue Fund (already established) as collected all revenues derived from the operation of the Utility System, which fund shall be main - CN K Gevtq�whTY tlat`� O(dino�-Z