Resolutions-2018-023

The Bonds are general obligations of the City, payable from amounts on deposit in the City’s Debt Service Fund and the Bond Fund created in the Resolution, and other revenues and funds, to the extent lawfully available for such purpose, but subject to non-appropriation in any fiscal year. The Bonds do not constitute a continuing obligation of the City in any fiscal year beyond the fiscal year for which funds have been appropriated for the payment of the Bonds and, except to the extent of such an appropriation, shall not constitute debt within the meaning of any constitutional or statutory debt limitation. The Bonds shall not directly or indirectly obligate the City to make any payments thereon during a fiscal year beyond the fiscal year for which funds have been appropriated by the City Council. IN THE EVENT THAT THE CITY COUNCIL DOES NOT BUDGET AND APPROPRIATE FUNDS FOR ANY FISCAL YEAR IN AN AMOUNT SUFFICIENT TO MEET THE PAYMENTS OF INTEREST ON AND PRINCIPAL OF THE BONDS DURING SUCH FISCAL YEAR (A “NON-APPROPRIATION”), THE CITY’S OBLIGATIONS UNDER THE BONDS SHALL TERMINATE AND BECOME NULL AND VOID ON THE LAST DAY OF THE FISCAL YEAR FOR WHICH THE NECESSARY FUNDS WERE APPROPRIATED. THE CITY SHALL GIVE NOTICE TO THE UNDERWRITER (AS DEFINED IN THE RESOLUTION) OF ANY NON-APPROPRIATION. UPON THE OCCURRENCE OF ANY SUCH NON-APPROPRIATION, THE CITY SHALL NOT BE OBLIGATED TO MAKE PAYMENT FROM ANY SOURCE (INCLUDING FUNDS ON DEPOSIT IN ANY FUNDS CREATED UNDER THE RESOLUTION) OF ANY AMOUNTS OF PRINCIPAL OF AND INTEREST ON THE BONDS BEYOND THOSE AMOUNTS FOR WHICH AN APPROPRIATION HAS PREVIOUSLY BEEN MADE. AND THE CITY SHALL NOT BE LIABLE TO THE HOLDERS OF SUCH BONDS FOR ANY REMAINING AMOUNTS DUE UNDER THE BONDS OR FOR ANY COSTS, DAMAGES (INCLUDING BUT NOT LIMITED TO CONSEQUENTIAL DAMAGES) OR EXPENSES INCURRED BY THE HOLDERS OF SUCH BONDS AS A RESULT OF THE EXERCISE BY THE CITY OF THE FOREGOING RIGHT OF NON-APPROPRIATION. And It Is Hereby Certified and Recited that all acts, conditions and things required by the laws and Constitution of the State of Iowa, to exist, to be had, to be done or to be performed precedent to and in the issue of this Bond were and have been properly existent, had, done and performed in regular and due form and time; that provision has been made for the levy of a sufficient continuing annual tax on all the taxable property within the City for the payment of the principal of and interest on this Bond as the same will respectively become due; and that the total indebtedness of the City, including this Bond, does not exceed any constitutional or statutory limitations. IN TESTIMONY WHEREOF, the City of Tiffin, Iowa, by its City Council, has caused this Bond to be executed with the duly authorized facsimile signature of its Mayor and attested with the duly authorized facsimile signature of its City Clerk, as of April 4, 2018. CITY OF TIFFIN, IOWA By (DO NOT SIGN) Mayor Attest: (DO NOT SIGN) City Clerk