1984-02-21 - Resolution 1984-09 - ESTABLISHING A POLICY REGARDING INTEREST EARNINGS ON FUNDS ON DEPOSIT IN VBG'S CORPORATE PURPOSE BOND, SERIES 1984, BOND AND INTERST FUNDRESOLUTION NO. 84
A RESOLUTION ESTABLISHING A POLICY REGARNING INTERXST EARNINGS
ON TUNDS ON DEPOSIT IN THE VILLAGE OF BUFFALO GROVEIS CORPORATE
PURPOSE BOND, SERIES 1984, BOND AND INTEREST FUND
WIIEREAS, the Village of Buffalo Grove sold $1f,175,000 ln Corporare
Purpose Bond, Series 1984 for the purpose of providing funds for the
ongoing Vlllage-wide street maintenance and reconstruetion program and to
advance refund the series 1982 Corporate Purpose General Obligation Bonds;
and
WHEREAS, under the terms of the Ordinance providing for the issuance
of those bonds, a specj-fic fund must be established to accumulare funds
exclusively for paylng the princlpal and interest on the bonds as lt comes
due, desi.gnated as "The Corporate Purpose Bonds, Serles 1984, Bond and
Interest Fundfi; and
WITEREAS, the deposits of money lnto this Fund can be j.nvested in any
al1owab1e securlty allowed by law; and
WHEREAS, under the terns of the Ordinance, the Village may transfer
interest earnings on the Corporate Purpose Bonds, Series 1984, Bond and
Interest Fund, to the general operating funds of the Village, as l-olrg as
doing so shall not result in the amounts in the Fund fron being lnsufflclent
to pay princlpal of and interest on the Bonds as it coues due; and
WHEREAS, the Village Board of Trustees has previously opted to
establish the policy that interest earnings on this Fund will be maintained
ln t'The Corporate Purpose Bonds, Series 1984, Bond and Interes! Fund[ for
purposes of off-setting capital improvement expenses or tax abatement on
Village lssued general obllgatlon bond financing.
NOW, THERETORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES
OT TI{E VILLAGE Otr' BUFI'AIO GROVE, COOK AND LAKE COI'NTIES, ILLINOIS, thAt:
9
SECTION 1. That any interest earned will be retained tithln the
I,laterworks & Sewerage Fund' Corporate Purpose Bonds, Series 1984, Bond and
Interest Fund for the purposes of provlding money for capital imProvement
expenses or for the abatement of taxes on debt servicing requirenents of
this general obligation bond financing for which a tax may be levied.
SECTIoN 2. The Village staff rrill insure that alL funds are properly
accounted for and segregated as required by the Ordinance providing for the
issuance of thls series debt and by generally accepted accounEing principals
as they apply to governmental entities.
SECTION 3. Any decision to utilize such funds shalL be budgetary
and appropriation decisi.ons properly docunented according to Vil-lage Practice
and legal pollcy. Any decision relative to property tax abatenent shaI1 be
subject to the Villagers tax levy and abateEent policies and practices.
AYES: 6 - Marlenthal, Stone, 0rRei11y, Ilartstein, Glover, Reld
0 - NoneNAYES:
0 - NoneABSENT:
,ASSED: February 21 ,1984.
,1984.APPRoVED: FebruarY 21
Village President
ATTEST:.:
Village Clerk pro T
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