Repository: UIHistories Project: Board of Trustees Minutes - 1960 [PAGE 220]

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UNIVERSITY OF ILLINOIS

217

Bonds shall be registered the same shall be endorsed in blank for transfer if the Trustee shall so require. SECTION 3.05. Effect of Redemption. From and after the date of redemption designated in such notice (such notice having been given as aforesaid and such deposit having been made or moneys set apart as aforesaid), no further interest shall accrue upon any of the Bonds so to be redeemed (or, in the case of registered Bonds without coupons, where only a portion of the principal amount is to be redeemed, on such portion t h e r e o f ) ; and any coupons for interest pertaining to any such Bonds and maturing after such date shall be void, and all such Bonds, in so far as such deposit shall have been made or moneys set apart as aforesaid, and all such coupons shall cease to be entitled to the benefit of this Resolution, and the University shall be under no further liability in respect thereof so long as such moneys remain on deposit and no interest shall accrue thereon on and after such redemption date. SECTION 3.06. Cancellation and Cremation. All registered Bonds so redeemed shall forthwith be cancelled and delivered to the University by the Trustee, and in case of coupon Bonds not registered as to principal, shall be cremated by the Trustee which shall deliver a certificate thereof to the University. ARTICLE FOUR

ISSUANCE OF BONDS

SECTION 4.01. Issuance of Series A Bonds and Series B Bonds. Series A Bonds in the principal amount of One Million Six Hundred Twenty-Five Thousand Dollars ($1,625,000) and Series B Bonds in the principal amount of One Million Five Hundred Twenty-Five Thousand Dollars ($1,525,000) shall be executed on behalf of the Board of Trustees and shall be authenticated by the Trustee and delivered to or upon the written order of the Comptroller. SECTION 4.02. Issuance of Additional Bonds. Subject to the conditions and limitations hereinafter set forth and provided the University shall not at the time be in default under any of the terms, covenants or provisions of this Resolution, additional Bonds of equal rank with the Series A Bonds and Series B Bonds may be issued from time to time under the terms of this Resolution having such maturities, providing for the payment of such rates of interest and having such other characteristics as shall be determined by the Board of Trustees and set forth in a resolution to be supplemental hereto; provided such additional Bonds shall be issued only for one or more of the following purposes: paying the cost of constructing, equipping, completing, acquiring, enlarging or improving student residence halls, dining facilities, apartments, staff housing facilities and related facilities or to refund or refinance any or all Bonds issued hereunder and/or any or all of the obligations of the University referred to in Section 5.01 hereof, and; provided further, that the following conditions precedent are complied with at, or prior to the time, of the issuance of such additional Bonds: A. The Board of Trustees shall adopt a resolution supplemental hereto, setting forth the form of such additional Bonds and the terms and conditions applicable thereto; B. T h e Net Income Available for Debt Service shall be equal to or greater than one and thirty-five hundredths (1.35) times the maximum amount to become due in any succeeding fiscal year for the payment of principal of and interest on the Bonds then outstanding hereunder and the Bonds then to be issued, less any Bonds which are to be redeemed or retired with the proceeds of such additional Bonds or concurrently with the issuance thereof; and C. Concurrently with or prior to the execution, authentication and delivery of any such additional Bonds the University shall file with the Trustee the following: (1) A written direction for authentication signed by the Comptroller of the Board of Trustees; (2) A certified copy of a resolution of the Board of Trustees supplemental hereto, setting forth the form of such additional Bonds and the terms and conditions applicable thereto; (3) A certificate pursuant to Section 2.06 of the Comptroller or Treasurer of the Board of Trustees stating that the University is not at the time in default under any of the terms, covenants or provisions of