09:39 AM UTC
CITY OF RIVERVIEW COUNTY OF WAYNE, STATE OF MICHIGAN ORDINANCE NO. 759 AN ORDINANCE TO PROVIDE FOR THE ACQUISITION, CONSTRUCTION, FURNISHING AND EQUIPPING OF ADDITIONS, EXTENSIONS AND IMPROVEMENTS TO THE EXISTING WATER SUPPLY AND SEWAGE DISPOSAL SYSTEM OF THE CITY; TO PROVIDE FOR THE ISSUANCE AND SALE OF SENIOR LIEN REVENUE BONDS TO PAY THE COST THEREOF; TO PROVIDE FOR THE COLLECTION OF REVENUES FROM THE SYSTEM SUFFICIENT FOR THE PURPOSE OF PAYING THE COSTS OF OPERATION AND MAINTENANCE OF THE SYSTEM AND TO PAY THE PRINCIPAL OF AND INTEREST ON THE BONDS; TO PROVIDE FOR THE SEGREGATION AND DISTRIBUTION OF SYSTEM REVENUES; TO PROVIDE FOR THE RIGHTS OF THE HOLDERS OF THE BONDS IN ENFORCEMENT THEREOF; TO PRESCRIBE THE FORM OF THE BONDS; AND TO PROVIDE FOR OTHER MATTERS RELATING TO THE BONDS AND THE SYSTEM.. THE CITY OF RIVERVIEW ORDAINS: Section 1. Definitions. Whenever used in this Ordinance, except when otherwise indicated by the context, the following terms shall have the following meanings: (a) “Act 94” means Act 94, Public Acts of Michigan, 1933, as amended. (b) “Additional Bonds” means any additional bonds of equal standing with the Series 2026 Bonds issued pursuant to this Ordinance. (c) “Adjusted Net Revenues” means for any operating year the excess of revenues over expenses for the System determined in accordance with generally accepted accounting principles, to which shall be added depreciation, amortization, interest expense on Bonds and payments to the Issuer in lieu of taxes, to which may be made the following adjustments. (i) Revenues may be augmented by the amount of any rate increases adopted prior to the issuance of Additional Bonds or to be placed into effect before the time principal or interest on the Additional Bonds becomes payable from Revenues as applied to quantities of service furnished during the operating year or portion thereof that the increased rates were not in effect. (ii) Revenues may be augmented by amounts which may be derived from rates and charges to be paid by new customers of the System. (d) “Authorized Officers” means the Mayor, City Clerk, City Manager or Treasurer/Finance Director of the Issuer. (e) “Bonds” means the Series 2026 Bonds and any Additional Bonds of equal standing hereafter issued. (f) “Issuer” means the City of Riverview, County of Wayne, Michigan. (g) “Project” means the improvements to the Issuer’s existing Water Supply and Sewage Disposal System consisting generally of (i) connection of the Huntington Area Sewer System to the Downriver Waste Water System; (ii) improvements to pump stations and wetwells; (iii) rehabilitation of manholes; and (iv) replacement, installation, and rehabilitation of structural sewer lining, sewer mains and water mains; together with all necessary site improvements, appurtenances and attachments as further described in plans prepared by the Issuer’s Engineers. (h) “Reserve Amount” shall mean with respect to the Bonds the lesser of (1) the maximum annual debt service due on the Bonds in the current or any future year, (2) 125% of the average annual debt service on the Bonds, or (3) 10% of the outstanding principal amount of the Bonds on the date of issuance of the Bonds. (i) “Revenues” and “Net Revenues” means the revenues and net revenues of the System and shall be construed as defined in Section 3 of Act 94, including with respect to “Revenues”, the earnings derived from the investment of moneys in the various funds and accounts established by this Ordinance. (j) “Sale Order” means the Sale Order to be executed by an Authorized Officer of the Issuer respecting the sale of the Series 2026 Bonds. (k) “Series 2026 Bonds” means the Issuer’s 2026 Water Supply and Sewage Disposal System Revenue Bonds, in the principal amount of not to exceed $18,000,000 issued pursuant to this Ordinance. (l) “Sufficient Government Obligations” means direct obligations of the United States of America or obligations the principal and interest on which is fully guaranteed by the United States of America, not redeemable at the option of the issuer, the principal and interest payments upon which without reinvestment of the interest, come due at such times and in such amounts as to be fully sufficient to pay the interest as it comes due on the Bonds and the principal on the Bonds as it comes due whether on the stated maturity date or upon earlier redemption. Securities representing such obligations shall be placed in trust with a bank or trust company, and if any of the Bonds are to be called for redemption prior to maturity, irrevocable instructions to call the Bonds for redemption shall be given to the paying agent. (m) “System” means Water Supply and Sewage Disposal System of the Issuer, together with the Project, and all additions, extensions and improvements hereafter acquired. (n) “Transfer Agent” means UMB Bank, N.A., Grand Rapids, Michigan or such other bank or trust company qualified to act as bond registrar, paying agent and transfer agent for the Series 2026 Bonds selected by an Authorized Officer. Section 2. Necessity; Approval of Plans and Specifications; Costs; Useful Life. It is hereby determined to be a necessary public purpose of the Issuer to acquire and construct the Project. The estimated cost of the Project, including engineering, contingencies, legal and financing expenses, in an amount of not to exceed Eighteen Million Dollars ($18,000,000) is hereby approved and confirmed. The period of usefulness of the Project is estimated to be not less than thirty (30) years. Section 3. Payment of Cost; Bonds Authorized. To pay the costs associated with acquiring and constructing the Project, including legal, financial and other expenses incident thereto and incident to the issuance and sale of the Series 2026 Bonds, the Issuer shall borrow the sum of not to exceed Eighteen Million Dollars ($18,000,000), as finally determined in the Sale Order and issue the Series 2026 Bonds pursuant to the provisions of Act 94. The remaining costs of the Project, if any, shall be defrayed from System funds on hand and legally available for such use. Section 4. Bond Details. The Series 2026 Bonds shall be designated 2026 Water Supply and Sewage Disposal System Revenue Bonds, shall be payable solely and only out of the Net Revenues, as set forth more fully herein, shall consist of bonds of the denomination of $5,000, or integral multiples of $5,000 not exceeding in any one year the amount maturing in that year, dated as of the date of delivery or such other date as shall be determined in the Sale Order, numbered in order of authentication, and shall mature on April 1st in the years 2028 through 2042, inclusive, or such other years of maturity and principal amounts as shall be determined in the Sale Order. The Series 2026 Bonds shall bear interest at a rate or rates determined on the sale thereof, but in any event not exceeding 6.00% per annum, payable on April 1 and October 1 of each year, commencing April 1, 2027, or such date as determined in the Sale Order, by check or draft mailed by the Transfer Agent to the person or entity which is, as of the 15th day of the month preceding the interest payment date, the registered owner at the registered address as shown on the registration books of the Issuer maintained by the Transfer Agent. The date of determination of registered owner for purposes of payment of interest as provided in this paragraph may be changed by the Issuer to conform to market practice in the future. The principal of the Series 2026 Bonds shall be payable at the designated corporate trust office of the Transfer Agent. The Series 2026 Bonds shall be sold at a price not less than 99% of their par value The Series 2026 Bonds may be subject to redemption prior to maturity at the times and prices and in the manner finally determined in the Sale Order. In case less than the full amount of an outstanding Bond is called for redemption, the Transfer Agent upon presentation of the Bond called in part for redemption shall register, authenticate and deliver to the registered owner a new bond in the principal amount of the portion of the original bond not called for redemption. Notice of redemption shall be given in the manner specified in the form of the Bonds contained in Section 14 of this Ordinance. Section 5. Execution of Bonds. The Series 2026 Bonds shall be executed in the name of the Issuer with the manual or facsimile signature of the Mayor and countersigned by the manual or facsimile signature of the City Clerk and shall have a facsimile of the Issuer’s seal, if any, printed on them. No Series 2026 Bond executed by facsimile signatures shall be valid until authenticated by an authorized signer of the Transfer Agent. The Series 2026 Bonds shall be delivered to the Transfer Agent for authentication and be delivered by the Transfer Agent to the purchaser thereof in accordance with instructions from the an Authorized Officer upon payment of the purchase price for the Series 2026 Bonds in accordance with the bid when accepted. Executed blank bonds for registration and issuance to transferees shall simultaneously, and from time to time thereafter as necessary, be delivered to the Transfer Agent for safekeeping Section 6. Registration and Transfer. Any Bond may be transferred upon the books required to be kept pursuant to this section by the person in whose name it is registered, in person or by the registered owner’s duly authorized attorney, upon surrender of the Bond for cancellation, accompanied by delivery of a duly executed written instrument of transfer in a form approved by the Transfer Agent. Whenever any Bond or Bonds shall be surrendered for transfer, the Issuer shall execute and the transfer agent shall authenticate and deliver a new Bond or Bonds, for like aggregate principal amount. The Transfer Agent shall require payment by the bondholder requesting the transfer of any tax or other governmental charge required to be paid with respect to the transfer. The Transfer Agent shall not be required (i) to issue, register the transfer of or exchange any Bond during a period beginning at the opening of business 15 days before the day of the giving of a notice of redemption of Bonds selected for redemption as described in the form of Bonds contained herein and ending at the close of business on the day of that giving of notice, or (ii) to register the transfer of or exchange any Bond so selected for redemption in whole or in part, except the unredeemed portion of Bonds being redeemed in part. The Transfer Agent shall keep or cause to be kept, at its principal office, sufficient books for the registration and transfer of the Series 2026 Bonds, which shall at all times be open to inspection by the Issuer; and, upon presentation for such purpose, the Transfer Agent shall, under such reasonable regulations as it may prescribe, transfer or cause to be transferred, on said books, Bonds as hereinbefore provided. If any Bond shall become mutilated, the Issuer, at the expense of the holder of the Bond, shall execute, and the Transfer Agent shall authenticate and deliver, a new Bond of like tenor in exchange and substitution for the mutilated Bond, upon surrender to the Transfer Agent of the mutilated Bond. If any Bond issued under this Ordinance shall be lost, destroyed or stolen, evidence of the loss, destruction or theft may be submitted to the Transfer Agent and, if this evidence is satisfactory to both and indemnity satisfactory to the Transfer Agent shall be given, and if all requirements of any applicable law including Act 354, Public Acts of Michigan, 1972, as amended (“Act 354”), being sections 129.131 to 129.135, inclusive, of the Michigan Compiled Laws have been met, the Issuer, at the expense of the owner, shall execute, and the Transfer Agent shall thereupon authenticate and deliver, a new Bond of like tenor and bearing the statement required by Act 354, or any applicable law hereafter enacted, in lieu of and in substitution for the Bond so lost, destroyed or stolen. If any such Bond shall have matured or shall be about to mature, instead of issuing a substitute Bond the Transfer Agent may pay the same without surrender thereof. The Series 2026 Bonds may be issued in book-entry-only form through the Depository Trust Company in New York, New York (“DTC”) and any Authorized Officer of the Issuer is authorized to execute such custodial or other agreement with DTC as may be necessary to accomplish the issuance of the Series 2026 Bonds in book-entry-only form and to make such changes in the Series 2026 Bond form within the parameters of this Ordinance as may be required to accomplish the foregoing. Section 7. Payment of Series 2026 Bonds. The Series 2026 Bonds and the interest thereon shall be payable solely and only from the Net Revenues, and to secure such payment, there is hereby recognized a statutory lien upon the whole of the Net Revenues which shall be a first lien to continue until payment in full of the principal of and interest on all Bonds payable from the Net Revenues, or, until sufficient cash or Sufficient Government Obligations have been deposited in trust for payment in full of all Bonds of a series then outstanding, principal and interest on such Bonds to maturity, or, if called for redemption, to the date fixed for redemption together with the amount of the redemption premium, if any. Upon deposit of cash or Sufficient Government Obligations, as provided in the previous sentence, the statutory lien shall be terminated with respect to that series of Bonds, the holders of that series shall have no further rights under this Ordinance except for payment from the deposited funds, and the Bonds of that series shall no longer be considered to be outstanding under this Ordinance. Section 8. Bondholders’ Rights; Receiver. The holder or holders of the Bonds representing in the aggregate not less than twenty percent (20%) of the entire principal amount thereof then outstanding, may, by suit, action, mandamus or other proceedings, protect and enforce the statutory lien upon the Net Revenues of the System, and may, by suit, action, mandamus or other proceedings, enforce and compel performance of all duties of the officers of the Issuer, including the fixing of sufficient rates, the collection of Revenues, the proper segregation of the Revenues of the System and the proper application thereof. The statutory lien upon the Net Revenues, however, shall not be construed as to compel the sale of the System or any part thereof. If there is a default in the payment of the principal of or interest on the Series 2026 Bonds, any court having jurisdiction in any proper action may appoint a receiver to administer and operate the System on behalf of the Issuer and under the direction of the court, and by and with the approval of the court to perform all of the duties of the officers of the Issuer more particularly set forth herein and in Act 94. The holder or holders of the Series 2026 Bonds shall have all other rights and remedies given by Act 94 and law, for the payment and enforcement of the Series 2026 Bonds and the security therefor. Section 9. No Free Service or Use. No free service or use of the System, or service or use of the System at less than the reasonable cost and value thereof, shall be furnished by the System to any person, firm or corporation, public or private, or to any public agency or instrumentality, including the Issuer. Section 10. Fixing and Revising Rates. The rates presently in effect in the Issuer are estimated to be sufficient to provide for the payment of the expenses of administration and operation and such expenses for maintenance of the System as are necessary to preserve the System in good repair and working order, to provide for the payment of the principal of and interest on the Bonds as the same become due and payable, and the maintenance of the reserve therefor and to provide for all other obligations, expenditures and funds for the System required by law and this Ordinance. In addition, the rates shall be set from time to time so that there shall be produced Net Revenues in an amount equal to 110% of the principal of and interest on the Bonds coming due in each fiscal year. The rates shall be reviewed not less than once a year and shall be fixed and revised from time to time as may be necessary to produce these amounts, and it is hereby covenanted and agreed to fix and maintain rates for services furnished by the System at all times sufficient to provide for the foregoing. Section 11. Funds and Accounts; Flow of Funds. Commencing on September 1, 2026, all funds belonging to the System shall be transferred as herein indicated and all Revenues of the System shall be set aside as collected and credited to a fund to be designated WATER SUPPLY AND WATER SUPPLY AND SEWAGE DISPOSAL SYSTEM RECEIVING FUND (the “Receiving Fund”). In addition, on October 1, 2026 all Revenues in any accounts of the System shall be transferred to the Receiving Fund and credited to the funds and accounts as provided in this section. The Revenues credited to the Receiving Fund are pledged for the purpose of the following funds and shall be transferred or debited from the Receiving Fund periodically in the manner and at the times and in the order of priority hereinafter specified. The Treasurer is hereby directed to create and maintain the following accounts, into which the proceeds of the Series 2026 Bonds, the Revenues of the System and other amounts specified in this Section shall be deposited, transferred, expended and used in the manner and at the times provided in this Ordinance, which accounts shall be established and maintained, except as otherwise provided, so long as any of the Bonds hereby authorized remain unpaid. (A) Operation and Maintenance Fund. Out of the Revenues credited to the Receiving Fund there shall be first set aside in, or credited to, a fund designated the OPERATION AND MAINTENANCE FUND (the “Operation and Maintenance Fund”). Revenues shall be transferred each quarter of the Issuer’s fiscal year commencing upon the effective date of this Ordinance, from the Receiving Fund to the Operation and Maintenance Fund to pay the reasonable and necessary current expenses of administration and operating and maintaining the System for the ensuing quarter. (B) Bond and Interest Redemption Fund. There shall be established and maintained a separate depositary fund designated the BOND AND INTEREST REDEMPTION FUND (the “Bond and Interest Redemption Fund”). There shall be deposited or credited to the Bond and Interest Redemption Fund the proceeds of the Series 2026 Bonds representing accrued interest, if any. After the transfer required in (A) above, Revenues shall be transferred each quarter of the Issuer’s Fiscal Year from the Receiving Fund, before any other expenditures or transfers therefrom, and deposited in the Bond and Interest Redemption Fund for payment of principal of and interest on the Bonds and to replenish the Bond Reserve Account. There shall be set aside on the first day of each quarter of the Issuer’s fiscal year an amount not less than ½ of the amount of interest due on the next interest payment date on the Bonds. There shall be set aside on the first day of each quarter of the Issuer’s fiscal year an amount not less than ¼ of the amount of principal due on the next principal payment date on the Bonds. Except as provided in this Ordinance, no further deposits shall be made into the Bond and Interest Redemption Fund (excluding the Bond Reserve Account) once the aforesaid sums have been deposited therein. Any amount on deposit in the Bond and Interest Redemption Fund (excluding the Bond Reserve Account) in excess of (a) the amount needed for payment of principal installments of the Bonds for the then current principal payment period, plus (b) interest on the Bonds for the then current interest payment period, shall be used by the Issuer for redemption of principal installments of the Bonds in the manner set forth in this Ordinance, or if such use is impracticable, shall be deposited or credited to the Receiving Fund. If for any reason there is a failure to make such quarterly deposit in the amounts required, then the entire amount of the deficiency shall be set aside and deposited in the Bond and Interest Redemption Fund out of the Revenues first received thereafter which are not required by this Ordinance to be deposited in the Operation and Maintenance Fund or in the Bond and Interest Redemption Fund, which amount shall be in addition to the regular quarterly deposit required during such succeeding quarter or quarters. There is hereby recognized in the Bond and Interest Redemption Fund a separate account designated the BOND RESERVE ACCOUNT (the “Bond Reserve Account”). The Bond Reserve Account shall be adjusted in such amounts, so that upon issuance of the Series 2026 Bonds, the Bond Reserve Account shall total a sum equal to the Reserve Amount. The Issuer may fund the Reserve Amount by cash, or by a surety bond, insurance policy or a letter of credit if the provider or issuer thereof shall be rated by a nationally recognized bond rating agency as high or higher than the Bonds. In the event that the amount in said Bond Reserve Account is greater than the Reserve Amount, such excess amount shall be transferred to the Bond and Interest Redemption Fund described herein. Except as hereinafter provided, the moneys credited to the Bond Reserve Account shall be used solely for the payment of the principal of, redemption premiums (if any) and interest on the Bonds as to which there would otherwise be a default. If at any time it shall be necessary to use the moneys or the letter of credit, surety bond or insurance policy credited to the Bond Reserve Account for such payment, then the moneys so used shall be replaced or repaid over a period of not more than 5 years, or such other period as required by the letter of credit, surety bond, or insurance policy securing the Bond Reserve Account, from the Net Revenues first received thereafter which are not required for current principal and interest requirements until the amount on deposit equals the Reserve Amount. The moneys in the Bond and Interest Redemption Fund and the Bond Reserve Account shall be invested in accordance with Section 13 of this Ordinance. (C) General Purpose Fund. There shall next be established and maintained an account designated GENERAL PURPOSE FUND (the “General Purpose Fund”), the money credited thereto to be used solely for the purposes of making repairs and replacements to the System and for additions, improvements, enlargements and extensions of the System. Out of the Revenues and moneys of the System remaining in the Receiving Fund each quarter after provision has been made for the deposit of moneys in the Operation and Maintenance Fund and the Bond and Interest Redemption Fund, there may be deposited in the General Purpose Fund such additional funds as the Issuer may deem advisable. If at any time it shall be necessary to use moneys in the General Purpose Fund for the purpose for which the General Purpose Fund was established, the moneys so used shall be replaced from any moneys in the Receiving Fund which are not required by this Ordinance to be used for the Operation and Maintenance Fund or the Bond and Interest Redemption Fund. (D) Reverse Flow of Funds; Surplus Moneys. In the event the moneys in the Receiving Fund are insufficient to provide for the current requirements of the Operation and Maintenance Fund or the Bond and Interest Redemption Fund (including the Bond Reserve Account), any moneys and/or securities in the funds of the System described by this Ordinance shall be transferred, first, to the Operation and Maintenance Fund, and second, to the Bond and Interest Redemption Fund. Thereafter, any Revenues in the Receiving Fund after satisfying all the foregoing requirements of this Section may, at the discretion of the Issuer, be (i) transferred to the General Purpose Fund or (ii) considered surplus and be disposed of by the Issuer as provided by law. Section 12. Disposition of Bond Proceeds. There is hereby established in a bank insured by the Federal Deposit Insurance Corporation to be selected by the Treasurer/Finance Director of the Issuer, a separate depositary account to be designated “2026 Water Supply and Sewage Disposal System Revenue Bonds Construction Fund” (the “Construction Fund”), the moneys from time to time on deposit to be used solely to pay the cost of the Project and the incidental costs set forth in Section 3 of this Ordinance. The proceeds of sale of the Series 2026 Bonds shall be allocated and used as follows, or as set forth in the Sale Order: First, any premium and accrued interest for the Series 2026 Bonds shall be deposited into the Bond and Interest Redemption Account or the Construction Fund established by this Ordinance. Second, an amount necessary to fully fund the Bond Reserve Account shall be deposited into the Bond Reserve Account in the Bond and Interest Redemption Fund. Third, the amount of funds necessary to pay the costs of the Project, as set forth in the Sale Order, shall be deposited in the Construction Fund. Moneys in the Construction Fund shall be applied solely in payment of the cost of the acquisition and construction of the Project, including any engineering expenses incident thereto. The investment of the Bonds shall be limited as may be required by federal tax law. Fourth, the remaining proceeds of the Series 2026 Bonds shall be used to pay the costs of issuance of the Series 2026 Bonds. Any unexpended balance of the proceeds of sale of the Series 2026 Bonds in the Construction Fund remaining after completion of the Project may, in the discretion of the Issuer, be used for further improvements and extensions to the System: provided, that, at the time of such expenditure, such use be approved by the Michigan Department of Treasury. Any remaining balance after such expenditure, or in the event no such expenditure is made, the entire unexpended balance shall be paid into the Bond and Interest Redemption Fund and used for the redemption or purchase of callable Bonds or for any other purpose permitted by Act 94. The proceeds of sale of said bonds may be invested in whole or in part in the manner provided by Act 94. Section 13. Investments. Moneys in the funds and accounts established herein and moneys derived from the proceeds of sale of the Bonds, may be invested by the Issuer in United States of America obligations or in obligations the principal of and interest on which is fully guaranteed by the United States of America and any investments now or hereafter permitted by Act 94 or other controlling law. Investment of moneys in the Redemption Account being accumulated for payment of the next maturing principal or interest payment of the Bonds shall be limited to obligations bearing maturity dates prior to the date of the next maturing principal or interest payment on the Bonds. In the event investments are made, any securities representing the same shall be kept on deposit with the bank or trust company having on deposit the fund or funds or account from which the purchase was made. Profit realized or interest income earned on investment of funds in the Funds established hereunder shall be deposited in or credited to the Fund having realized the profit or earned the interest (unless otherwise expressly provided in this Ordinance or as determined by the Issuer), such deposit or credit to occur periodically but not less often than at the end of each fiscal year Section 14. Bond Form. The Series 2026 Bonds shall be in substantially the following form with such changes as may be approved by an Authorized Officer and Bond Counsel: UNITED STATES OF AMERICA STATE OF MICHIGAN COUNTY OF WAYNE CITY OF RIVERVIEW 2026 WATER SUPPLY AND SEWAGE DISPOSAL SYSTEM REVENUE BOND Interest Rate Maturity Date Date of Original Issue CUSIP April 1, 20____ ___________, 2026 REGISTERED OWNER: Cede & Co. PRINCIPAL AMOUNT: ________________ Dollars ($______________) The City of Riverview, County of Wayne, State of Michigan (the “Issuer”), for value received, hereby promises to pay, solely and only out of the hereinafter described Net Revenues of the Issuer’s Water Supply and Sewage Disposal System (hereinafter defined) the Principal Amount shown above in lawful money of the United States of America to the Registered Owner shown above, or registered assigns, on the Maturity Date shown above, unless prepaid prior thereto as hereinafter provided, with interest thereon (computed on the basis of a 360-day year consisting of twelve 30-day months) from the Date of Original Issue shown above or such later date to which interest has been paid, until paid, at the Interest Rate per annum shown above, first payable on April 1, 2027, and semiannually thereafter. Principal of this bond is payable upon surrender of this bond at the corporate trust office of UMB Bank, N.A., Grand Rapids, Michigan (the “Transfer Agent”) or such other Transfer Agent as the Issuer may hereafter designate by notice mailed to the registered owner not less than 60 days prior to any interest payment date. Interest on this bond is payable by check or draft mailed by the Transfer Agent to the person or entity who is, as of the 15th day of the month preceding the interest payment date, the registered owner of record, at the registered address as shown on the registration books of the Issuer kept by the Transfer Agent. For prompt payment of principal and interest on this bond, the Issuer has irrevocably pledged the revenues of the Water Supply and Sewage Disposal System of the Issuer, including all appurtenances, extensions and improvements thereto (the “System”), after provision has been made for reasonable and necessary expenses of operation, maintenance and administration (the “Net Revenues”), and a statutory first lien thereon is hereby recognized and created. This bond is one of a series of bonds of even Date of Original Issue aggregating the principal sum of __________ Dollars ($__________), issued pursuant to Ordinance No. ____ of the Issuer, duly adopted by the City Council of the Issuer (the “Ordinance”), and under and in full compliance with the Constitution and statutes of the State of Michigan, including specifically Act 94, Public Acts of Michigan, 1933, as amended, for the purpose of paying the cost of acquiring and constructing additions, extensions and improvements to the System. For a complete statement of the revenues from which and the conditions under which this bond is payable, a statement of the conditions under which additional bonds of equal standing as to the Net Revenues may hereafter be issued and the general covenants and provisions pursuant to which this bond is issued, reference is made to the Ordinance. Bonds of this issue maturing in the years 2028 to 2034, inclusive, are not subject to redemption prior to maturity. Bonds or portions of bonds in multiples of $5,000 maturing in the year 2035 and thereafter may be redeemed at the option of the Issuer, in such order as the Issuer shall determine and within any maturity by lot, on any date on or after April 1, 2034 at par and accrued interest to the date fixed for redemption. [Insert any mandatory redemption or extraordinary redemption provisions] In case less than the full amount of an outstanding bond is called for redemption the Transfer Agent upon presentation of the bond called in part for redemption shall register, authenticate and deliver to the registered owner a new bond in the principal amount of the portion of the original bond not called for redemption. Notice of redemption of any bond or portion thereof shall be given by the Transfer Agent at least thirty (30) days prior to the date fixed for redemption by mail to the registered owner at the registered address shown on the registration books kept by the Transfer Agent. Bonds shall be called for redemption in multiples of $5,000 and any bond of a denomination of more than $5,000 shall be treated as representing the number of bonds obtained by dividing the denomination of the bond by $5,000 and such bond may be redeemed in part. Notice of redemption for a bond redeemed in part shall state that upon surrender of the bond to be redeemed a new bond or bonds in aggregate principal amount equal to the unredeemed portion of the bonds surrendered shall be issued to the registered owner thereof. No further interest on a bond or portion thereof called for redemption shall accrue after the date fixed for redemption, whether presented for redemption or not, provided funds are on hand with the Transfer Agent to redeem the bond or portion thereof. This bond is a self-liquidating bond and is not a general obligation of the Issuer and does not constitute an indebtedness of the Issuer within any constitutional or statutory debt limitation of the Issuer but is payable solely and only, both as to principal and interest, from the Net Revenues of the System. The principal of and interest on this bond are secured by the statutory lien hereinbefore mentioned. The Issuer has covenanted and agreed, and does hereby covenant and agree, to fix and maintain at all times while any bonds payable from the Net Revenues of the System shall be outstanding, such rates for service furnished by the System as shall be sufficient to provide for payment of the interest on and the principal of the bonds of this issue and any additional bonds of equal standing as and when the same shall become due and payable, and to create and maintain a bond redemption fund (including a bond reserve account) therefor, to provide for the payment of expenses of administration and operation and such expenses for maintenance of the System as are necessary to preserve the same in good repair and working order, and to provide for such other expenditures and funds for the System as are required by the Ordinance. This bond is transferable only upon the books of the Issuer kept for that purpose at the office of the Transfer Agent by the registered owner hereof in person, or by the registered owner’s attorney duly authorized in writing, upon the surrender of this bond together with a written instrument of transfer satisfactory to the Transfer Agent duly executed by the registered owner or the registered owner’s attorney duly authorized in writing, and thereupon a new registered bond or bonds in the same aggregate principal amount and of the same maturity shall be issued to the transferee in exchange therefor as provided in the Ordinance authorizing the bonds, and upon the payment of the charges, if any, therein prescribed. It is hereby certified and recited that all acts, conditions and things required by law precedent to and in the issuance of this bond and the series of bonds of which this is one have been done and performed in regular and due time and form as required by law. This bond is not valid or obligatory for any purpose until the Transfer Agent’s Certificate of Authentication on this bond has been executed by the Transfer Agent. IN WITNESS WHEREOF, the City of Riverview, County of Wayne, State of Michigan, by its City Council, has caused this bond to be executed with the facsimile signatures of its Mayor and its City Clerk, and a facsimile of its corporate seal to be printed on this bond, all as of the Date of Original Issue. CITY OF RIVERVIEW By: Mayor [(Seal)] Countersigned: By: ________________________ City Clerk CERTIFICATE OF AUTHENTICATION This bond is one of the bonds described in the within-mentioned Ordinance. __________________________, ___________, Michigan Transfer Agent By: Authorized Signatory Date of Registration: ___________ [End of Bond Form] Section 15. Adjustment of Bond Terms. The Authorized Officers are each hereby authorized to adjust the final bond details as set forth herein to the extent necessary or convenient to complete the sale of the Series 2026 Bonds and in pursuance of the forgoing are each authorized to exercise the authority and make the determinations pursuant to Sections 7a(1)(c)(i) and (v) of Act 94, including but not limited to determinations regarding interest rates, prices, discounts, maturities, principal amounts, denominations, date of issuance, interest payment dates, redemption rights, and other matters within the parameters established by this Ordinance. Section 16. Notice of Sale; Sale Order; Award of Sale of Series 2026 Bonds. The Authorized Officers are each hereby authorized to fix a date of sale for the Series 2026 Bonds and to publish a notice of sale of the Series 2026 Bonds in The Bond Buyer, New York, New York, which notice of sale shall be in the form as recommended by the Issuer’s Bond Counsel. The Authorized Officers are each hereby authorized on behalf of the Issuer to execute a Sale Order awarding the sale of the Series 2026 Bonds to the bidder whose bid meets the requirements of law and the terms of the Official Notice of Sale as published, provided that the interest rate on the Series 2026 Bonds shall not exceed 6.00%, the final maturity of the Series 2026 Bonds shall not exceed sixteen (16) years from the date of issuance and the minimum price shall be not less than 99% of the par value of the Series 2026 Bonds. The Authorized Officers are each hereby authorized on behalf of the Issuer to execute a Sale Order evidencing the final terms of the Series 2026 Bonds, and to take all other necessary actions required to effectuate the sale, issuance and delivery of the Series 2026 Bonds within the parameters authorized in this Ordinance. Section 17. Tax Covenant. The Issuer shall, to the extent permitted by law, take all actions within its control necessary to maintain the exclusion of the interest on the Series 2026 Bonds from gross income for federal income tax purposes under the Internal Revenue Code of 1986, as amended (the “Code”), including, but not limited to, actions relating to any required rebate of arbitrage earnings and the expenditures and investment of the proceeds of the Series 2026 Bonds and moneys deemed to be proceeds of the Series 2026 Bonds. Section 18. Additional Bonds. The Issuer may issue Additional Bonds of equal standing with the Series 2026 Bonds for the following purposes and subject to the following conditions: (a) To complete the Project in accordance with the plans and specifications therefor. Such Additional Bonds shall not be authorized unless the engineers in charge of construction shall execute a certificate evidencing the fact that additional funds are needed to complete the Project in accordance with the plans and specifications therefor and stating the amount that will be required to complete the Project. If such certificate shall be so executed and filed with the Issuer, it shall be the duty of the Issuer to provide for and issue additional revenue bonds in the amount stated in said certificate to be necessary to complete the Project in accordance with the plans and specifications plus an amount necessary to issue such bonds or to provide for part or all of such amount from other sources. (b) For subsequent repairs, extensions, enlargements and improvements to the System or for subsequent repairs, extensions, enlargements and improvements to the System and for the purpose of refunding part or all of the Bonds then outstanding and paying costs of issuing such Additional Bonds. Additional Bonds for such purposes shall not be issued pursuant to this subparagraph (b) unless the Adjusted Net Revenues of the System for the then last two (2) preceding twelve-month operating years or the Adjusted Net Revenues for the last preceding twelve-month operating year, if the same shall be lower than the average, shall be equal to at least one hundred ten percent (110%) of the maximum amount of principal and interest thereafter maturing in any operating year on the then outstanding Bonds, the then outstanding junior lien bonds, and on the Additional Bonds then being issued. If the Additional Bonds are to be issued in whole or in part for refunding outstanding Bonds, the annual principal and interest requirements shall be determined by deducting from the principal and interest requirements for each operating year the annual principal and interest requirements of any Bonds to be refunded from the proceeds of the Additional Bonds. For purposes of this subparagraph (b) the Issuer may elect to use as the last preceding operating year any operating year ending not more than sixteen months prior to the date of delivery of the Additional Bonds and as the next to the last preceding operating year, any operating year ending not more than twenty-eight months prior to the date of delivery of the Additional Bonds. Determination by the Issuer as to existence of conditions permitting the issuance of Additional Bonds shall be conclusive. No Additional Bonds of equal standing as to the Net Revenues of the System shall be issued pursuant to the authorization contained in this subparagraph if the Issuer shall then be in default in making its required payments to the Operation and Maintenance Fund or the Redemption Fund. (c) For refunding a part or all of the Bonds then outstanding and paying costs of issuing such Additional Bonds including deposits which may be required to be made to the bond reserve account for such Bonds. No Additional Bonds shall be issued pursuant to this subsection unless the maximum amount of principal and interest maturing in any operating year after giving effect to the refunding shall be less than the maximum amount of principal and interest maturing in any operating year prior to giving effect to the refunding. Section 19. Continuing Disclosure. The Issuer covenants to enter into a continuing disclosure undertaking for the benefit of the holders and beneficial owners of the Bonds in accordance with the requirements of Rule 15c2-12 promulgated by the Securities and Exchange City Council, and the Authorized Officers are each hereby authorized to execute such undertaking prior to delivery of the Series 2024 Bonds. Section 20. Other Matters. The Authorized Officers are each authorized and directed to (a) approve the circulation of a preliminary official statement describing the Bonds and to deem the preliminary official statement “final” for purposes of Rule 15c2-12 of the SEC; (b) solicit bids for and approve the purchase of a municipal bond insurance policy for the Series 2026 Bonds; (c) apply for ratings on the Series 2026 Bonds; and (d) do all other acts and take all other necessary procedures required to effectuate the sale, issuance and delivery of the Series 2026 Bonds. Section 21. Appointment of Bond Counsel. The appointment of the law firm of Miller, Canfield, Paddock and Stone, P.L.C. of Detroit, Michigan, as Bond Counsel for the Series 2026 Bonds is hereby confirmed, notwithstanding its periodic representation in unrelated matters of potential parties to the Bonds. Section 22. Appointment of Municipal Advisor. Bendzinski & Co. Municipal Finance Advisors, Grosse Pointe, Michigan, is hereby appointed as registered municipal advisor for the Bonds. Section 23. Savings Clause. All ordinances, resolutions or orders, or parts thereof, in conflict with the provisions of this Ordinance are, to the extent of such conflict, repealed. Section 24. Severability; Paragraph Headings; and Conflict. If any section, paragraph, clause or provision of this Ordinance shall be held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of this Ordinance. The paragraph headings in this Ordinance are furnished for convenience of reference only and shall not be considered to be part of this Ordinance. Section 25. Publication and Recordation. This Ordinance shall be published in full in The News-Herald, a newspaper of general circulation in the Issuer qualified under State law to publish legal notices, promptly after its adoption, and shall be recorded in the Ordinance Book of the Issuer and such recording authenticated by the signatures of the Mayor and City Clerk. Section 26. Effective Date. This Ordinance shall be effective upon its adoption. Adopted and signed this 15th day of June, 2026. Signed: Andrew Swift Mayor Signed: Cherry L. Lawson City Clerk