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0652 Special General Obligation Bond 2007ORDINANCE NO. 652 AN ORDINANCE CALLING A SPECIAL GENERAL OBLIGATION BOND ELECTION FOR THE PURPOSE OF SUBMITTING TO THE QUALIFIED ELECTORS OF THE CITY OF CHUBBUCK, IDAHO, THE PROPOSITION OF THE ISSUANCE OF UP TO $3,840,000 GENERAL OBLIGATION PUBLIC BUILDING BONDS OF THE CITY OF CHUBBUCK, IDAHO; ESTABLISHING AN OFFICIAL BALLOT; ESTABLISHING THE QUALIFICATIONS FOR VOTERS AND THE HOURS WHEN POLLS WILL BE OPEN; CERTIFYING THAT THE OBLIGATIONS OF THE CITY WILL NOT EXCEED CERTAIN LIMITS; CALLING FOR THE PRINTING AND DISTRIBUTION OF BALLOTS AND FOR THE PUBLICATION OF THE SAMPLE BALLOT AND NOTICE OF THE ELECTION; PROVIDING THE LANGUAGE FOR THE PUBLIC NOTICE; PROVIDING FOR THE ISSUANCE OF BONDS UPON THE SUCCESSFUL PASSAGE OF THE ISSUE BY THE VOTERS; CALLING FOR A SPECIAL PUBLIC MEETING AFTER THE ELECTION TO CANVASS THE RESULTS; CALLING FOR THE LEVY OF A TAX AS NEEDED TO PAY SUCH BONDS; AND PROVIDING AN EFFECTIVE DATE, THE RULE REQUIRING THREE SEPARATE READINGS HAVING BEEN DISPENSED WITH. WHEREAS, the Holt Arena on the campus of Idaho State University has served as a building of public use and has served as a valuable economic asset to the City's economic development over the past forty years and is in the need of renovation, improvement, upgrading, and betterment to continue to serve the City of Chubbuck, Idaho (the "City"), said remodeling of Holt Arena to include improvements to the structure, ADA access, amenities, mechanical equipment or systems, storage and turf, seat replacement, and other capital items and related facilities and costs incidental thereto (collectively, the "Project"), and is considered by the Mayor and Council to be beneficial to the economic health and well-being of the inhabitants of said City; and WHEREAS, said City does not have sufficient funds available to pay the cost of the foregoing Project and has determined it advisable to finance a portion of such cost through the issuance of the bonds of the City pursuant to the provisions of Chapter 10 of Title 50 of the Idaho Code, and in order to do so desires to provide for the holding of the election required by said Chapter; and WHEREAS, the City through the County Treasurer of Bannock County has verified or, prior to the issuance of any bonds that may be authorized by the election described below, will verify in writing the total existing indebtedness of the City and the market value for assessment purposes of the real and personal property of the City as set forth in Section 5 hereof: NOW, THEREFORE, BE IT ORDAINED by the Mayor and Council of the City of Chubbuck, Bannock County, Idaho, as follows: SECTION 1. That a Special General Obligation Bond Election is hereby called to be held in the City of Chubbuck, Idaho, on February 5, 2008, for the purpose of submitting to the qualified electors of said City the proposition set forth in the form of ballot appearing in Section 4 hereof, said election to be held and conducted in accordance with the provisions of Chapters 4 and 10 of Title 50, Idaho Code, as amended, and Title 34, Idaho Code, as amended, and the City Clerk is hereby directed to carry out said provisions with the assistance of and in conjunction with any other proper officer or officers of the City and the County Clerk of Bannock County, Idaho (the "County Clerk"), as may be necessary or desirable. The ballot proposition and question to be voted upon at the special election shall be separate from any other measures or candidates being voted upon at any other election being held or conducted in conjunction with the special general obligation bond election. Only those qualified City electors casting valid ballots upon the bond proposition and question set forth in Section 4 of this Ordinance shall be counted in determining the number of qualified electors voting at or participating in the special election. SECTION 2. That the polls at said election shall open at the hour of 8:00 o'clock a.m. and remain open continuously until the hour of 8:00 o'clock p.m. and then close. The City shall have the number of precincts and regular polling places for said election as may be designated necessary by the City Clerk pursuant to Idaho Code Section 50-408. SECTION 3. That all qualified electors of said City, eighteen (18) years of age or older, who have legally resided in the City for at least thirty (30) days prior to the date of the election, and who are properly registered as provided by law, are entitled to vote at said election. SECTION 4. That the ballots to be used at said Special General Obligation Bond Election shall be prepared by the City Clerk not less than thirty-five (35) days prior to the day of said election, in accordance with §50-439, Idaho Code, and shall be in substantially the following form: BOND ELECTION OFFICIAL BALLOT SPECIAL GENERAL OBLIGATION CITY OF CHUBBUCK BAN -NOCK COUNTY STATE OF IDAHO February 5, 2008 QUESTION: Shall the City of Chubbuck, Idaho, be authorized to issue and sell its general obligation public building bonds in an amount of up to $3,840,000 payable from ad valorem taxes, to the extent public building revenues are not available, over a term which may be less than but which shall not exceed twenty (20) years, for the purpose of providing for the n renovation, improvement, upgrading, and betterment of Holt Arena, as more fully provided in Ordinance No. 652 adopted December 11, 2007, and subject to a favorable result having also occurred in a concurrent similar bond election held in the City of Pocatello for up to $20,160,000 for the same purpose? IN FAVOR OF ISSUING BONDS TO THE AMOUNT OF $3,840,000 FOR THE PURPOSE STATED IN ORDINANCE NO. 652 AGAINST ISSUING BONDS TO THE AMOUNT OF $3,840,000 FOR THE PURPOSE STATED IN ORDINANCE NO. 652 INSTRUCTIONS TO VOTERS: To vote on the preceding question, make a cross (X) in the space to the right of the words "IN FAVOR OF ISSUING BONDS TO THE AMOUNT OF $3,840,000 FOR THE PURPOSE STATED IN ORDINANCE NO. 652" or "AGAINST ISSUING BONDS TO THE AMOUNT OF $3,840,000 FOR THE PURPOSE STATED IN ORDINANCE NO. 652", according to the way you desire to vote on the question. All marks otherwise made are forbidden. The following information is required by §34-439, Idaho Code: The total existing general obligation bond indebtedness of the City of Chubbuck is $0.00. The total existing other indebtedness, including interest accrued as of February 5, 2008, of the City of Chubbuck is $4,105,687. The interest rate anticipated on the proposed general obligation bonds is four and forty hundredths percent (4.40%). The range of anticipated rates is from three and one-half percent (3.50%) to six and one-half percent (6.50%). The total amount to be repaid over the life of the proposed general obligation bonds, based on the anticipated interest rate, is $5,853,020. (End of Form of Official Ballot) SECTION 5. That the City of Chubbuck hereby determines, and the City Treasurer has verified or will verify with the Bannock County Treasurer prior to the issuance of any bonds that may be authorized by the election, that the outstanding amount of all bonds and other general obligations of the City, including the bonds proposed under this Ordinance, will not exceed two percent (2%) of the market value for assessment purposes of the real and personal property in the City according to the assessment of the preceding year. SECTION 6. That the City Clerk shall, in accordance with the provisions of Section 50-440 of the Idaho Code, cause sample ballots to be printed not less than twenty-nine (29) days before said general obligation bond election, which sample ballots shall be in the same form as the official ballot set forth in Section 4 hereof except that they shall have printed thereon the words "Sample Ballot," shall be on paper of a different color than the official ballot and shall not be numbered. The sample ballots shall be available in the office of the City Clerk to be furnished to any person applying therefor. The City Clerk shall cause the form of sample ballot to be published at least twice in The Idaho State Journal, the official newspaper of the City, the first publication to be not less than twelve (12) days prior to the election and the last publication to be not less than five (5) days prior to the date of said election. SECTION 7. That notice of said Special General Obligation Bond Election shall be given by the City Clerk by publication of the notice of election in The Idaho State Journal, the official newspaper of the City of Chubbuck, Idaho, at least two (2) times, with the first publication not less than twelve (12) days prior to the date fixed for the holding of said election (which notice shall be published on or about January 23, 2008) and the last publication of notice shall be made not less than five (5) days prior to said election. Said notice shall be in substantially the following form: NOTICE OF SPECIAL GENERAL OBLIGATION BOND ELECTION Pursuant to the laws of the State of Idaho and Ordinance No. 652 of the City of Chubbuck, County of Bannock, State of Idaho, notice is hereby given that a special general obligation bond election will be held in the City on Tuesday, February 5, 2008, beginning at the hour of 8:00 o'clock a.m. and closing at the hour of 8:00 o'clock p.m. on said date, for the purpose of taking a vote upon the following question, to -wit: QUESTION: Shall the City of Chubbuck, Idaho, be authorized to issue and sell its general obligation public building bonds in an amount of up to $3,840,000 payable from ad valorem taxes, to the extent public building revenues are not available, over a term which may be less than but which shall not exceed twenty (20) years, for the purpose of providing for the renovation, improvement, upgrading, and betterment of Holt Arena, as more fully provided in Ordinance No. 652 adopted December 11, 2007, and subject to a favorable result having also occurred in a concurrent similar bond election held in the City of Pocatello for up to $20,160,000 for the same purpose? There shall be one (1) voting precinct and polling place with the overall boundaries of such precinct being coterminous with those of the City. At said election, officials serving shall be appointed by the City Clerk or the Clerk of Bannock County. The voting precinct and polling place for the qualified electors shall be as follows: (Subject to change before, or on or about, 1/15/2008) PRECINCT POLLING PLACE STREET ADDRESS CITY HALL, COUNCIL CHAMBERS 5160 Yellowstone Avenue ABSENTEES CITY HALL 5160 Yellowstone Avenue The County Clerk of Bannock County is in charge of registration of electors for elections held within Bannock County, and electors may register at said County Clerk's office or with the City Clerk at Chubbuck, Idaho. Notice is further given that only qualified electors of the City, eighteen (18) years of age or older, who have resided in the City for thirty (30) days or more, are eligible to vote in said election. Pursuant to Title 34, Chapter 4, Idaho Code, as amended, the said person desiring to vote must register with the Clerk of the County, the City Clerk or with any other registrar(s) the County Clerk has appointed, not less than twenty-five (25) days preceding the date of the election. An individual who is eligible to vote may register on election day by appearing in person at the polling place for the precinct in which the individual maintains residence, by completing a registration card, making an oath in the form prescribed and providing proof of residence as called for under Section 34-408A, Idaho Code. The voting at said election shall be by separate ballot. The ballots to be supplied the voters for their use at said election shall be in the form set out in said Ordinance No. 652. Absentee voting will be permitted for the above-described election in the manner prescribed by law. A written application for an absentee voter's ballot shall be delivered to the City Clerk and shall contain the name of the elector, the elector's home or residence address, and the address to which such ballot shall be forwarded. An absentee ballot must be returned to and received by the issuing officer by 8:00 o'clock p.m. on the day of the election in order to be counted. If at said Special General Obligation Bond Election two-thirds (2/3) of the qualified registered electors eighteen (18) years of age or older voting at such election assent to the issuing of said general obligation bonds and the incurring of the indebtedness thereby created for the purpose of the renovation, improvement, upgrading, and betterment of the facilities, such general obligation bonds in an amount of up to $3,840,000 shall be issued by the City of Chubbuck for such voted purpose in the manner provided by the Municipal Bond Law of Idaho, provided however that there has also been a favorable two-thirds (2/3) vote occurring in a concurrent similar bond election held in the City of Pocatello authorizing a further separate amount of up to $20,160,000 by its voters for the same purpose. Said general obligation bonds, or any issue thereof, shall mature over a period commencing at the expiration of one (1) year from their date and ending not more than twenty (20) years from their date and shall bear interest and be payable from ad valorem taxes, to the extent public building revenues are not available for payment thereof, in accordance with the provisions of Section 50-1026, Idaho Code, /'N and the Municipal Bond Law of Idaho, Title 57, Chapter 2, as amended. The following information is provided in accordance with Section 34-439, Idaho Code: The total existing general obligation bond indebtedness of the City of Chubbuck is $0.00. The total existing other indebtedness, including interest accrued as of February 5, 2008, of the City of Chubbuck is $4,105,687. The average interest rate anticipated on the proposed bonds is approximately four and forty hundredths percent (4.40%). The range of anticipated rates is from three and one-half percent (3.50%) to six and one-half percent (6.50%). The total amount estimated to be repaid over the life of the proposed bonds, based on the anticipated interest rate, is $5,853,020. PUBLIC NOTICE IS HEREBY GIVEN that the Mayor and Council will hold a special meeting on Wednesday, February 6, 2008 (said date being within six (6) days of the date of said election), at the hour of 4:30 p.m., at the regular meeting place of the Mayor and Council in the Council Chambers of the City Hall in the City of Chubbuck, Idaho, for the purpose of canvassing the results of the said Bond Election. BY ORDER OF THE CITY COUNCIL OF THE CITY OF CHUBBUCK, IDAHO, this l lt" day of December, 2007. STEVEN ENGLAND,M YOR ATTEST: By: /s/ RONALD CONLIN, CITY CLERK (End of Form of Notice) SECTION 8. That if at said election two-thirds (2/3) of the qualified registered electors of the City, eighteen (18) years of age or older who have resided in the City for thirty (30) days voting thereat assent to the issuance of said bonds, the general obligation bonds of the City shall be issued as hereinabove provided and shall mature over a period commencing at the expiration of one (1) year from their date and ending not more than twenty (20) years from their date and shall bear interest and be payable, in accordance with the provisions of Section 50-1026, Idaho Code, and the Municipal Bond Law of the State of Idaho, Title 57, Chapter 2, as amended, from the proceeds of ad valorem taxes to the extent public building revenues are not available for payment thereof, provided however that there has also been a favorable two-thirds (2/3) vote occurring in a concurrent similar bond election held in the City of Pocatello authorizing a further separate amount of up to $20,160,000 by its voters for the same purpose. That it is the understanding of the City Council that concurrent with the City's $3,840,000 special general obligation bond election provided for herein, there is a similar bond election taking place in the City of Pocatello, which requests its voters to approve further separate general obligation bonds in the principal amount of up to $20,160,000 for the same purpose as the City's $3,840,000 in bonds; and that it is also the further understanding and intent of the City that in the event the voters of either the City of Chubbuck or the City of Pocatello fail to vote in favor of approving their respective general obligation bond amounts, then neither the City of Chubbuck nor the City of Pocatello will issue its bonds for the purpose of financing the Holt Arena Project; and that the Holt Arena Project will not be accomplished or completed by this means of general obligation bond financing. That it is also the intent of the City of Chubbuck to enter into a potential agreement with Idaho State University, whereby Idaho State University would or may charge in the future a user's fee for use of the Holt Arena, as a potential further source of additional public building revenues, and such funds would or may be used to assist with payment on any Holt Arena Project general obligation bonds of the City. SECTION 9. That the City Clerk shall, in accordance with the provisions of Section 50-409, Idaho Code, hereafter designate the judges and clerks to serve at each polling place within each precinct. The City Clerk is hereby directed to notify said appointees of their appointment within five (5) days of such appointment and to administer the oath of office to the election judges and clerks before or upon delivery of the ballots and election supplies. The City Clerk is hereby directed to provide an "absent elector's polling place" as required by Section 50-448, Idaho Code. SECTION 10. That the Mayor and Council shall hold a special public meeting on Wednesday, February 6, 2008, (said date within six (6) days following said election), at the hour of 4:30 p.m. at the regular meeting place of the Mayor and Council in the Council Chambers of City Hall in said City for the purpose of canvassing the results of the Special General Obligation Bond Election and thereupon the results shall be entered in the minutes of the Clerk and proclaimed as final. SECTION 11. That said general obligation bonds shall be issued if carried by not only the City of Chubbuck electorate but also the City of Pocatello electorate, as aforesaid indicated, and payment of principal and interest shall be made on up to $3,840,000 principal amount of said bonds, to the extent public building revenues are not available for payment thereof, through the levy of taxes on all taxable property in the City of Chubbuck, Idaho, beginning with the year 2008 and continuing until principal and interest shall have been fully paid, in such amounts and at such rates as are necessary to assure the prompt payment of such interest, and also to establish and to constitute a sinking fund sufficient for the payment of the principal thereof, and it is hereby ordered that such taxes shall be levied annually at the time and in the manner as general taxes for said City are levied in each such year; provided, however, the aforementioned taxes shall never be diminished prior to payment of all bonds excepting in any year to the extent that other available revenues or funds shall have been applied to or set aside in a special fund to be irrevocably held for the payment of principal or interest or both payable from said taxes for such year. The proper officer or officers of said City are hereby authorized and directed to do all things requisite and necessary to carry out the provisions of this section and to apply the proceeds of the taxes so collected to the payment of such principal and interest. SECTION 12. That this Ordinance, or a summary thereof, shall be published within thirty (30) days after its passage in one issue of The Idaho State Journal, the official newspaper of said City, in accordance with Sections 50-901 and 50-901A, Idaho Code, as amended, and shall take effect and be in full force immediately upon its passage, approval and publication. ADOPTED and APPROVED this 111h of December, 2008. CITY OF CHUBBUCK, IDAHO SEAL) By: AYOR ATTEST: By: .40s� �4- CITY CLERK 111**N SUMMARY OF ORDINANCE NO. 652 AN ORDINANCE CALLING A SPECIAL GENERAL OBLIGATION BOND ELECTION FOR THE PURPOSE OF SUBMITTING TO THE QUALIFIED ELECTORS OF THE CITY OF CHUBBUCK, IDAHO, THE PROPOSITION OF THE ISSUANCE OF UP TO $3,840,000 GENERAL OBLIGATION PUBLIC BUILDING BONDS OF THE CITY OF CHUBBUCK, IDAHO; ESTABLISHING AN OFFICIAL BALLOT; ESTABLISHING THE QUALIFICATIONS FOR VOTERS AND THE HOURS WHEN POLLS WILL BE OPEN; CERTIFYING THAT THE OBLIGATIONS OF THE CITY WILL NOT EXCEED CERTAIN LIMITS; CALLING FOR THE PRINTING AND DISTRIBUTION OF BALLOTS AND FOR THE PUBLICATION OF THE SAMPLE BALLOT AND NOTICE OF THE ELECTION; PROVIDING THE LANGUAGE FOR THE PUBLIC NOTICE; PROVIDING FOR THE ISSUANCE OF BONDS UPON THE SUCCESSFUL PASSAGE OF THE ISSUE BY THE VOTERS; CALLING FOR A SPECIAL PUBLIC MEETING AFTER THE ELECTION TO CANVASS THE RESULTS; CALLING FOR THE LEVY OF A TAX AS NEEDED TO PAY SUCH BONDS; AND PROVIDING AN EFFECTIVE DATE, THE RULE REQUIRING THREE SEPARATE READINGS HAVING BEEN DISPENSED WITH. CITY OF CHUBBUCK BANNOCK COUNTY, IDAHO A Summary of the principal provisions of Ordinance No. 652 of the City of Chubbuck, Bannock County, Idaho, adopted on December 11, 2007, is as set forth in the description title above and as follows: In accordance with Section 50-901A(2), Idaho Code, Sections 8 and 11 of the Ordinance contain provisions regarding taxation and provide: SECTION 8. That if at said election two-thirds (2/3) of the qualified registered electors of the City, eighteen (18) years of age or older who have resided in the City for thirty (30) days voting thereat assent to the issuance of said bonds, the general obligation bonds of the City shall be issued as hereinabove provided and shall mature over a period commencing at the expiration of one (1) year from their date and ending not more than twenty (20) years from their date and shall bear interest and be payable, in accordance with the provisions of Section 50-1026, Idaho Code, and the Municipal Bond Law of the State of Idaho, Title 57, Chapter 2, as amended, from the proceeds of ad valorem taxes to the extent public building revenues are not available for payment thereof, provided however that there has also been a favorable two-thirds (2/3) vote occurring in a concurrent similar bond election held in the City of Pocatello authorizing a further separate amount of up to $20,160,000 by its voters for the same purpose. That it is the understanding of the City Council that concurrent with the City's $3,840,000 special general obligation bond election provided for herein, there is a similar bond election taking place in the City of Pocatello, which requests its voters to approve further separate general obligation bonds in the principal amount of up to $20,160,000 for the same purpose as the City's $3,840,000 in bonds; and that it is also the further understanding and intent of the City that in the event the voters of either the City of Chubbuck or the City of Pocatello fail to vote in favor of approving their respective general obligation bond amounts, then neither the City of Chubbuck nor the City of Pocatello will issue its bonds for the purpose of financing the Holt Arena Project; and that the Holt Arena Project will not be accomplished or completed by this means of general obligation bond financing. That it is also the intent of the City of Chubbuck to enter into a potential agreement with Idaho State University, whereby Idaho State University would or may charge in the future a user's fee for use of the Holt Arena, as a potential further source of additional public building revenues, and such funds would or may be used to assist with payment on any Holt Arena Project general obligation bonds of the City. SECTION 11. That said general obligation bonds shall be issued if carried by not only the City of Chubbuck electorate but also the City of Pocatello electorate, as aforesaid indicated, and payment of principal and interest shall be made on up to $3,840,000 principal amount of said bonds, to the extent public building revenues are not available for payment thereof, through the levy of taxes on all taxable property in the City of Chubbuck, Idaho, beginning with the year 2008 and continuing until principal and interest shall have been fully paid, in such amounts and at such rates as are necessary to assure the prompt payment of such interest, and also to establish and to constitute a sinking fund sufficient for the payment of the principal thereof, and it is hereby ordered that such taxes shall be levied annually at the time and in the manner as general taxes for said City are levied in each such year; provided, however, the aforementioned taxes shall never be diminished prior to payment of all bonds excepting in any year to the extent that other available revenues or funds shall have been applied to or set aside in a special fund to be irrevocably held for the payment of principal or interest or both payable from said taxes for such year. The proper officer or officers of said City are hereby authorized and directed to do all things requisite and necessary to carry out the provisions of this section and to apply the proceeds of the taxes so collected to the payment of such principal and interest. Ordinance No. 652 shall be effective upon its passage, approval and publication of this Summary. The full text of Ordinance No. 652 is available at City Hall, 5160 Yellowstone Avenue, Chubbuck, Idaho, and will be provided to any citizen upon personal request during normal office hours. DATED this I3�day of December, 2007. CITY OF CHUBBUCK, BANNOCK COUNTY, IDAHO By: MAYOR ATTEST: By: I -r-+ a Y CITY CLERK I, the undersigned City Attorney for and legal advisor to the City of Chubbuck, Idaho, hereby certify that I have read the attached Summary of Ordinance No. 652 of the City and that the same is true and complete and provides adequate notice to the public of the contents of said Ordinance. DATED this day of December, 2007 CITY ATTORNEY SUMMARY OF ORDINANCE NO. 652 AN ORDINANCE CALLING A SPECIAL GENERAL OBLIGATION BOND ELECTION FOR THE PURPOSE OF SUBMITTING TO THE QUALIFIED ELECTORS OF THE CITY OF CHUBBUCK, IDAHO, THE PROPOSITION OF THE ISSUANCE OF UP TO $3,840,000 GENERAL OBLIGATION PUBLIC BUILDING BONDS OF THE CITY OF CHUBBUCK, IDAHO; ESTABLISHING AN OFFICIAL BALLOT; ESTABLISHING THE QUALIFICATIONS FOR VOTERS AND THE HOURS WHEN POLLS WILL BE OPEN; CERTIFYING THAT THE OBLIGATIONS OF THE CITY WILL NOT EXCEED CERTAIN LIMITS; CALLING FOR THE PRINTING AND DISTRIBUTION OF BALLOTS AND FOR THE PUBLICATION OF THE SAMPLE BALLOT AND NOTICE OF THE ELECTION; PROVIDING THE LANGUAGE FOR THE PUBLIC NOTICE; PROVIDING FOR THE ISSUANCE OF BONDS UPON THE SUCCESSFUL PASSAGE OF THE ISSUE BY THE VOTERS; CALLING FOR A SPECIAL PUBLIC MEETING AFTER THE ELECTION TO CANVASS THE RESULTS; CALLING FOR THE LEVY OF A TAX AS NEEDED TO PAY SUCH BONDS; AND PROVIDING AN EFFECTIVE DATE, THE RULE REQUIRING THREE SEPARATE READINGS HAVING BEEN DISPENSED WITH. CITY OF CHUBBUCK BANNOCK COUNTY, IDAHO A Summary of the principal provisions of Ordinance No. 652 of the City of Chubbuck, Bannock County, Idaho, adopted on December 11, 2007, is as set forth in the descriptive title above and as follows: In accordance with Section 50-901A(2), Idaho Code, Sections 8 and 11 of the Ordinance contain provisions regarding taxation and provide: SECTION 8. That if at said election two-thirds (2/3) of the qualified registered electors of the City, eighteen (18) years of age or older who have resided in the City for thirty (30) days voting thereat assent to the issuance of said bonds, the general obligation bonds of the City shall be issued as hereinabove provided and shall mature over a period commencing at the expiration of one (1) year from their date and ending not more than twenty (20) years from their date and shall bear interest and be payable, in accordance with the provisions of Section 50-1026, Idaho Code, and the Municipal Bond Law of the State of Idaho, Title 57, Chapter 2, as amended, from the proceeds of ad valorem taxes to the extent public building revenues are not available for payment thereof, provided however that there has also been a favorable two-thirds (2/3) vote occurring in a concurrent similar bond election held in the City of Pocatello authorizing a further separate amount of up to $20,160,000 by its voters for the same purpose. That it is the understanding of the City Council that concurrent with the City's $3,840,000 special general obligation bond election provided for herein, there is a similar bond election taking place in the City of Pocatello, which requests its voters to approve further separate general obligation bonds in the principal amount of up to $20,160,000 for the same SUMMARY OF ORDINANCE - PAGE 1 dubbu k121207-652.wpd purpose as the City's $3,840,000 in bonds; and that it is also the further understanding and intent of the City that in the event the voters of either the City of Chubbuck or the City of Pocatello fail to vote in favor of approving their respective general obligation bond amounts, then neither the City of Chubbuck nor the City of Pocatello will issue its bonds for the purpose of financing the Holt Arena Project; and that the Holt Arena Project will not be accomplished or completed by this means of general obligation bond financing. That it is also the intent of the City of Chubbuck to enter into a potential agreement with Idaho State University, whereby Idaho State University would or may charge in the future a user's fee for use of the Holt Arena, as a potential further source of additional public building revenues, and such funds would or may be used to assist with payment on any Holt Arena Project general obligation bonds of the City. SECTION 11. That said general obligation bonds shall be issued if carried by not only the City of Chubbuck electorate but also the City of Pocatello electorate, as aforesaid indicated, and payment of principal and interest shall be made on up to $3,840,000 principal amount of said bonds, to the extent public building revenues are not available for payment thereof, through the levy of taxes on all taxable property in the City of Chubbuck, Idaho, beginning with the year 2008 and continuing until principal and interest shall have been fully paid, in such amounts and at such rates as are necessary to assure the prompt payment of such interest, and also to establish and to constitute a sinking fund sufficient for the payment of the principal thereof, and it is hereby ordered that such taxes shall be levied annually at the time and in the manner as general taxes for said City are levied in each such year; provided, however, the aforementioned taxes shall never be diminished prior to payment of all bonds excepting in any year to the extent that other available revenues or funds shall have been applied to or set aside in a special fund to be irrevocably held for the payment of principal or interest or both payable from said taxes for such year. The proper officer or officers of said City are hereby authorized and directed to do all things requisite and necessary to carry out the provisions of this section and to apply the proceeds of the taxes so collected to the payment of such principal and interest. Ordinance No. 652 shall be effective upon its passage, approval and publication of this Summary. The full text of Ordinance No. 652 is available at City Hall, 5160 Yellowstone Avenue, Chubbuck, Idaho, and will be provided to any citizen upon personal request during normal office hours. ********** I, the undersigned City Attorney for and legal advisor to the City of Chubbuck, Idaho, hereby certify that I have read the attached Summary of Ordinance No. 652 of the City and that the same is true and complete and provides adequate notice to the public of the contents of said Ordinance. SUMMARY OF ORDINANCE - PAGE 2 chubbuck 121207s=652.wpd ll� DATED this ) 2day of December, SUMMARY OF ORDINANCE - PAGE 3 6.bbutk121207-652,wpd /'\