York Newspaper, BOROUGH OF MANCHESTER YORK COUNTY, PENNSYLVANIA NOTICE OF ENACTMENT OF ORDINANCE NO. 2015-6 TO AUTHORIZE THE ISSUANCE OF LEASE RENTAL DEBT AND THE AWARD OF A QUALIFIED INTEREST RATE MANAGEMENT AGREEMENT NOTICE IS HEREBY GIVEN that the Borough Council of the Borough of Manchester, York County, Pennsylvania (the "Borough"), at a public meeting held on Monday, August 10, 2015, at 7:00 P.M., at the Borough Office, 225 South Main Street, Manchester, Pennsylvania 17345 enacted an Ordinance authorizing the incurrence of lease rental debt pursuant to the execution of a Guaranty Agreement to secure the issuance of the Guaranteed Sewer Revenue Bonds, 2015 Series (collectively, the "2015 Bonds"), in the aggregate principal amount of $10,370,000, by the Northeastern York County Sewer Authority (the "Authority") and the award of the Qualified Interest Rate Management Agreement related to the 2015 Bonds and Guaranty. The 2015 Bonds would fund certain capital projects consisting of (i) the 2015 Capital Additions, (ii) the redemption of the Guaranteed Sewer Revenue Bonds, Series of 2005; and (iii) the issuance costs of the 2015 Bonds. The provisions of the enacted Ordinance are summarized as follows: Section 1. Authorizes the incurrence of lease rental debt aggregating $10,370,000, approves the 2015 Project, and states the estimated useful life of the 2015 Project. Section 2. States the determination that a private sale by negotiation is in the best financial interest of the Authority and the Borough; approves the terms of the Loan Commitment submitted by the Delaware Valley Regional Finance Authority ("DelVal") under which DelVal agrees to purchase the 2015 Bonds for $11,240,000 and the Authority agrees to pay $51,850 of DelVal's origination costs; and sets the date to purchase the 2015 Bonds. Section 3. Approves the substantial forms of the Loan Documents and authorizes the execution and delivery of all necessary documents. Section 4. Sets forth the principal amortization schedule and the maximum annual debt service payments of the 2015 Bonds, at the maximum interest rate of 15%, and states the annual lease rental payments due under the Guaranty Agreement would range from $0 to $2,392,850. Section 5. Authorizes and awards a Qualified Interest Rate Management Agreement relating to the Guaranty and 2015 Bonds and directs the filing of documents to the Department of Community and Economic Development. Section 6. Pledges the full faith, credit, and taxing power of the Township to guarantee the timely payment of all amounts due and payable under the Guaranty Agreement. Section 7. Pledges the full faith, credit, and taxing power of the Borough to guarantee the timely payment of all amounts due and payable under the Qualified Interest Rate Management Agreement, except Termination Charges. Section 8. Authorizes and directs the submission of an application to the Department of Community and Economic Development for the approval of the lease rental debt and for the determination that the debt will be self-liquidating. Section 9. Directs the advertisement of the enactment of the Ordinance. Section 10. Repeals inconsistent prior ordinances. During final passage of Ordinance No. 2015-6, the Borough Council amended the amortization schedule in the Ordinance previously on file in the office of the Secretary of the Borough to provide more level annual debt service payments. A copy of the final text of the Ordinance, as enacted and summarized above may be examined by any citizen in the office of the Secretary of the Borough located in the Borough Office, 225 South Main Street, Manchester, Pennsylvania 17345, Monday through Friday between the hours of 8:00 A.M. and 1:00 P.M. JUDY HILLIARD, BOROUGH SECRETARY BOROUGH OF MANCHESTER
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