GENERAL OBLIGATION BONDS

Wilmington City Code ch. 2, art. VI, div. 7

in effect

Wilmington City Code § 2-431 Short title.

Sec. 2-431. - Short title. This division shall be known and cited as the General Obligation Bond Ordinance. (Code 1968, § 30-80)

Wilmington City Code § 2-432 Authorization.

Sec. 2-432. - Authorization. This division is enacted pursuant to the provisions of 22 Del. C. ch. 8 (§ 801 et seq.), as effectuated by vote of the electors in the adoption of the city charter. (Code 1968, § 30-81)

Wilmington City Code § 2-433 Scope.

Sec. 2-433. - Scope. It is the intent of this division to provide a comprehensive authorization for the issuance of general obligation bonds or notes of the city in addition to that granted by other statutes or ordinances. The provisions of this division shall be complete and full authority, any other law, general or special, to the contrary notwithstanding, governing all matters, procedural or substantive, required or permitted under this division and no requirements of other laws need be observed except to the extent that specific reference is made in this division to such laws. (Code 1968, § 30-82)

Wilmington City Code § 2-434 Definitions.

Sec. 2-434. - Definitions. The following words, terms and phrases, when used in this division, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: Bond or bonds means any general obligation bond or note of the city issued and outstanding pursuant to this division and any supplemental ordinance and shall include temporary bonds and general obligation bonds or notes authorized and issued pursuant to any other law. Bond committee means the mayor, chairman of the finance committee of city council, and the city treasurer and, as ex officio nonvoting members, the city auditor and city solicitor. Where action by the bond committee is required to be taken pursuant to the terms of this division, it shall mean an action which is approved by a majority of the voting members of the bond committee and such approval shall be conclusively evidenced by written acknowledgment of a majority of the voting members of the bond committee. Bond counsel means the attorney or law firm that prepares the "legal opinion" for a municipal bond issue. Bondholder means the holder of any bearer bond and the registered owner of any registered bond, and the term "holder," unless the context otherwise requires, shall be deemed to include the registered owners of any bond as well as the holder of bearer bond. Financial advisor means the professional adviser offering financial counsel in matters relating to bringing a city bond issue to market, or city long-term debt generally. Financial institutions means such institutions that are engaged in underwriting public debt. These institutions may purchase city bonds for resale to the public or to be held in their own portfolio of investments. Fiscal agent, with respect to any specific series of bonds, means such state or federally chartered bank or trust company or other responsible entity as may from time to time be appointed by the city pursuant to a supplemental ordinance or which may be designated by the bond committee to act as paying agent and registrar for the bonds. Other parties associated with bringing a bond issue to market ("parties") means any trustee, including paying agent, escrow agent, investment agent, marketing agent, re-marketing agent or registrar, parties also include the financial printer, rating agencies, bond insurers, underwriters counsel, verification agent or arbitrage compliance agent. Project means any buildings, structures, facilities or improvements of a public nature, the related land, rights or leasehold estates in land, and the related furnishings, machinery, apparatus or equipment of a capital nature, which the city is authorized to own, construct, acquire, improve, lease as lessor or as lessee, operate, maintain or support; any item of construction, acquisition or extraordinary maintenance or repair thereof; the city's share of the cost of any of the foregoing or any combination thereof undertaken jointly with others; and any combination of any or all of the foregoing or any undivided portion of the cost of any of the foregoing or of any such combination as may be designated as a project by the city for financing purposes. Series, when applied to bonds, means collectively all of the bonds of a given issue authorized by a supplemental ordinance as provided in sections 2-453 through 2-456 and may also mean, if appropriate, a subseries of any series if, for any reason, the city should determine to divide any series into one or more subseries of bonds. Supplemental ordinance means an ordinance supplemental to this division enacted pursuant to this division by the city council authorizing the issuance of a series of bonds. (Code 1968, § 30-83; Ord. No. 98-021(sub 1), § 1, 3-5-98)

Wilmington City Code § 2-435 Severability.

Sec. 2-435. - Severability. In case any one or more of the provisions contained in this division or in any bond or coupon issued pursuant to this division shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision of this division or of such bonds or coupons, and this division or such bonds or coupons shall be construed and enforced as if such invalid, illegal or unenforceable provision had never been contained in this division or bond or coupon. (Code 1968, § 30-86)

Wilmington City Code § 2-436 Form of bonds generally.

Sec. 2-436. - Form of bonds generally. All bonds shall be generally designated as general obligation bonds of the city, and such bonds, and the coupons, if any, appertaining thereto, shall be in such forms as are required or permitted by this division or a supplemental ordinance, or as may be determined by the bond committee. The authorized form of any bond or coupon, if any, shall be conclusively evidenced by the execution thereof. (Code 1968, § 30-87)

Wilmington City Code § 2-437 General terms, content and payment of bonds.

Sec. 2-437. - General terms, content and payment of bonds. (a) Bonds shall be issued in such series and within such series in such subseries as the city may from time to time determine. The aggregate principal amount of bonds which may be issued, authenticated and delivered under this division is unlimited but, prior to issuance of each series of bonds, the city shall adopt a supplemental ordinance authorizing such series and prescribing such specific terms as council deems appropriate. (b) The bonds of each series may be issued in coupon form with principal payable to the bearer, unless issuance of bonds in coupon form would cause the interest on the bonds to be subject to federal income taxation, in which case all bonds must be in fully registered form, or registered as to principal only, in fully registered form, or may consist in whole or in part of one or more bonds in fully registered form payable as to principal or subject to mandatory redemption in annual installments, or any combination of the foregoing, shall be issued in such aggregate principal amount, shall be dated on or as of such date, shall be in such denominations, shall mature or be subject to mandatory redemption in such principal amounts and on such dates, shall bear interest from such date and at such rate, shall be subject to optional redemption at such times and upon such terms, and shall contain such other terms and conditions not inconsistent with this division, all as shall be determined by the city and set forth in the supplemental ordinance under which such bonds are issued, or as shall be determined by a designated officer or officers of the city authorized by the supplemental ordinance, or in the absence of such provisions or designation, as shall be determined by the bond committee as specified in section 2-456. (c) The principal of, the premium, if any, and interest on any bond shall be payable in lawful money of the United States of America at such place within or without the state and in such manner, all as shall be more specifically set forth in such bond. (d) In all instances of bonds issued pursuant to this division and this section, the bond committee shall select bond counsel and, not later than seven days prior to the introduction of the bond ordinance, forward its selection to the city solicitor for approval, subject to Section 8-410 of the City Charter, and shall select the financial advisors, the financial institutions, and any other parties associated with bringing a bond issue to market, as each of the aforesaid terms or phrases is defined in section 2-434 of this chapter. (Code 1968, § 30-88; Ord. No. 98-021(sub 1), § 1, 3-5-98)

Wilmington City Code § 2-438 Registration of bonds; registrar; bond register.

Sec. 2-438. - Registration of bonds; registrar; bond register. The city shall keep or cause to be kept at the principal office of the fiscal agent, books for the registration and transfer of bonds entitled to registration and transfer; and the city will register or transfer or cause to be registered or transferred therein, as hereinafter provided and under such reasonable regulations as may be prescribed by the bond committee, any bonds entitled to be so registered or transferred, upon presentation for such purpose. The fiscal agent may be appointed the registrar of the city for the purpose of registering, transferring and exchanging the bonds. The books kept pursuant to this section are referred to as the bond register in this division and the bonds. (Code 1968, § 30-89)

Wilmington City Code § 2-439 Bonds negotiable instruments.

Sec. 2-439. - Bonds negotiable instruments. The bonds shall have the qualities of negotiable instruments under the Uniform Commercial Code (6 Del. C. § 1-101 et seq.), subject to the provisions for registration and transfer contained in sections 2-440 and 2-441 and in the bonds. (Code 1968, § 30-90)

Wilmington City Code § 2-440 Transfer of coupon bonds.

Sec. 2-440. - Transfer of coupon bonds. All coupon bonds shall be negotiable and title thereto shall pass by delivery unless registered as to principal in the manner provided in this section. The bearer of any coupon bond may have the ownership of the principal thereof registered on the bond register required to be kept pursuant to section 2-438, and such registration shall be noted on such bond. After such registration no transfer shall be valid unless made on such books by the registered owner in person or by his duly authorized attorney, and similarly noted on such bond; but such bond may be discharged from reg-istration by being in like manner transferred to the bearer, and thereupon transferability by delivery shall be restored; and such bond may again, from time to time, be registered or discharged from registration in the same manner as before. Such registration, however, shall not affect the negotiability by delivery of the coupons, for interest, but every such coupon shall continue to be transferable by delivery and shall remain payable to the bearer. (Code 1968, § 30-91)

Wilmington City Code § 2-441 Registration and transfer of fully registered bonds.

Sec. 2-441. - Registration and transfer of fully registered bonds. The names and addresses of the registered owners of all fully registered bonds, together with a brief description of the bonds so registered, shall be recorded in the bond register. Any fully registered bond may be transferred at the principal office of the fiscal agent or surrendered for transfer at the principal office of one of the paying agents designated in such bond, upon surrender of such bond accompanied by delivery of a written instrument of transfer, duly executed by the registered owner of such bond or his duly authorized attorney, and thereupon the city and the fiscal agent shall execute in the name of the transferee or transferees, and the fiscal agent shall deliver, a new fully registered bond, or new fully registered bonds, of like form, of the same series, bearing the same rate of interest, of the same maturity, and for the same aggregate principal amount. (Code 1968, § 30-92)

Wilmington City Code § 2-442 Exchange of bonds.

Sec. 2-442. - Exchange of bonds. (a) All bonds of any series issued under this division shall be exchangeable for like bonds of different authorized denominations or for bonds in different form of the same series, as the case may be, and, in each case, in the same aggregate principal amount, maturing on the same dates and bearing the same rate of interest as the bonds to be exchanged, all in the manner hereinafter provided, unless such exchange would be unreasonably expensive to the city or would cause the interest payable on such series to become includable in the income of the recipients thereof for federal income tax purpose. The holder of any bearer coupon bond or the registered owner of any registered bond desiring to exchange such bond shall surrender—or, in the case of registered bonds, shall cause his attorney duly authorized to surrender—such bond in negotiable form or, as the case may be, accompanied by an appropriate instrument of transfer, together with all unmatured coupons appertaining to coupon bonds so surrendered, at the principal office of the fiscal agent or at such other place as the fiscal agent may designate, together with a written request for exchange, setting forth the form of bond requested to be issued in exchange, the denomination thereof and, if to be issued in partial or fully registered form, the person in whose name such bonds are to be registered. Thereupon and subject to the provisions of section 2-443, the city and the fiscal agent shall execute and deliver to the persons thereunto entitled a new bond in the form requested in authorized denominations aggregating the principal amount of the bond surrendered, maturing as to principal on the same date, bearing the same rate of interest, and bearing the same designation as to series. (b) All fully registered bonds issued in exchange for bonds of any series shall be dated on the date of issuance thereof and shall bear interest from the date which interest was initially payable with respect to such series or from the next preceding interest payable date of such series, whichever is later, or, if the date of authentication shall be an interest-payable date of such series, from such date. All coupon bonds issued in exchange for bonds of any series shall be dated as of the date of the initial issuance of such series and all matured coupons shall be removed from such bonds prior to their authentication and delivery in exchange. (Code 1968, § 30-93)

Wilmington City Code § 2-443 Cost of bond registration, transfer or exchange; miscellaneous provisions governing transfers and exchanges.

Sec. 2-443. - Cost of bond registration, transfer or exchange; miscellaneous provisions governing transfers and exchanges. (a) Registration, transfer, discharges from registration, and exchanges of bonds authorized under this division shall be without expense to the holders of such bonds, but any taxes or other governmental charges required to be paid with respect to the same shall be paid by the holder requesting any such transaction, as a condition precedent to the exercise of such privilege. (b) The city shall not be required to make: (1) Any exchange or transfer of any bonds during the period of 15 business days next preceding any interest payment date for such bonds; or (2) Any exchange or transfer of any bonds during the period of 20 business days next preceding the first publication or mailing of any notice of redemption of such bonds. (c) All bonds surrendered for exchange and the coupons, if any, attached thereto and all registered bonds without coupons surrendered for transfer, shall be canceled as to the principal thereof and the coupons as they severally become due and payable and thereafter shall be cremated, shredded or otherwise destroyed by the fiscal agent. (d) All bonds executed, authenticated and delivered in exchange for bonds surrendered or upon the transfer of registered bonds shall be valid obligations of the city, evidencing the same debt as the bonds surrendered and shall be secured by this division to the same extent as such surrendered bonds. (Code 1968, § 30-94)

Wilmington City Code § 2-444 Ownership of bonds.

Sec. 2-444. - Ownership of bonds. The city, the fiscal agent and any paying agent designated in any bond may treat the holder of any coupon bond if it shall not at the time be registered as to principal, the registered owner of any coupon bond if it shall at the time be so registered, the holder of any coupon appertaining to a coupon bond whether or not such coupon bond shall be so registered, and the registered owner of any fully registered bond, as the absolute owner of such bond or such coupon, as the case may be, for all purposes whether or not such bond or such coupon shall be overdue, and neither the city, the fiscal agent nor any paying agent shall be affected by any notice to the contrary. Any consent, waiver or other action taken by the holder of any bearer coupon bond or by the registered owner of any bond other than a bearer coupon bond pursuant to the provisions of this division shall be conclusive and binding upon such holder, his heirs, successors or assigns, and upon all transferees of such bond whether or not notation of such consent, waiver or other action shall have been made on such bond or on any bond issued in exchange therefor. (Code 1968, § 30-95)

Wilmington City Code § 2-445 Definitive and temporary bonds.

Sec. 2-445. - Definitive and temporary bonds. Bonds in definitive form shall be fully engraved or printed or lithographed on steel engraved borders. Until bonds in definitive form of any series are ready for delivery, the city and the fiscal agent may execute and, upon the request of the city in writing, the fiscal agent shall deliver in lieu of any such bonds, and subject to the same provisions, limitations and conditions, one or more printed, lithographed or typewritten bonds in temporary form, substantially of the tenor of the bonds hereinbefore described, without coupons or with one or more coupons, and with appropriate omissions, variations and insertions. Such bonds in temporary form may be for the amount of any authorized denomination or any multiple thereof, as the city treasurer may determine. Until exchanged for bonds in definitive form such bonds in temporary form shall be entitled to the benefit of this division. Unless otherwise agreed with the holder of such temporary bonds, the city shall without unreasonable delay prepare, execute and deliver to the fiscal agent, and thereupon, upon the presentation and surrender of any bonds in temporary form, the fiscal agent shall execute and deliver, in exchange therefor, bonds in definitive form of the same series and same maturity for the same aggregate principal amount as the bonds in temporary form surrendered. Such exchange shall be made by the city at its own expense and without making any charge therefor. Until such bonds in definitive form are ready for delivery, the holder of one or more bonds in temporary form may, with the consent of the city, exchange the same, upon surrender thereof to the fiscal agent for cancellation, for bonds in temporary form of like aggregate principal amount, of the same series and maturity, in authorized denominations and bearing all unmatured coupons, if any. (Code 1968, § 30-96)

Wilmington City Code § 2-446 Execution of bonds.

Sec. 2-446. - Execution of bonds. The bonds shall be executed on behalf of the city by the facsimile signatures of the mayor, the city treasurer and the city auditor under the seal of the city reproduced thereon in facsimile or in such other manner as shall be authorized by a supplemental ordinance, and shall be authenticated by a manual signature of an authorized signatory of the fiscal agent. The coupons attached to coupon bonds shall be executed on behalf of the city by the facsimile signature of the city treasurer. Any such bonds or coupons may be executed, issued and delivered notwithstanding that one or more of the officers whose facsimile signature shall be upon such bonds or coupons or any thereof, shall have ceased to be such officer at the time when such bonds shall actually be delivered. (Code 1968, § 30-97)

Wilmington City Code § 2-447 Authentication of bonds.

Sec. 2-447. - Authentication of bonds. No bonds or coupons thereunto appertaining shall become valid or obligatory for any purpose until such bonds shall have been authenticated by the fiscal agent, and such authentication by the fiscal agent upon any bond shall be conclusive evidence and the only evidence that the bond so authenticated has been duly authenticated and delivered and that the holder thereof is entitled to the benefit of this division. (Code 1968, § 30-98)

Wilmington City Code § 2-448 Mutilated, destroyed, lost or stolen bonds.

Sec. 2-448. - Mutilated, destroyed, lost or stolen bonds. (a) Upon receipt by the fiscal agent and the city of evidence satisfactory to both of them that any outstanding bond or coupon has been destroyed, lost or stolen, and of indemnity satisfactory to both of them, then, in the absence of notice to the city or to the fiscal agent that such bond or coupon, if alleged to have been lost or stolen, has been acquired by a bona fide purchaser, or if a bond or coupon has been mutilated, the city in its discretion acting through the city treasurer may execute and deliver a new bond of the same series and same maturity and of like tenor, which shall have attached the same corresponding coupons, if any, as the mutilated, destroyed, lost or stolen bond if such bond were a coupon bond, in exchange and substitution for, and upon surrender and cancellation of, the mutilated bond and coupons, if any, or in lieu of and in substitution for the bond and coupons, if any, so destroyed, lost or stolen. (b) The city may, for each new bond authenticated and delivered under the provisions of this section, require the payment of the expenses, including counsel fees, which may be incurred by the city and the fiscal agent in the premises. In case any such mutilated, lost or stolen bond or coupon has become or is about to become due and payable, the city in its discretion may, instead of issuing a new bond or coupon, direct the payment thereof at maturity and the fiscal agent shall thereupon pay the same. (c) Any bond or coupon issued under the provisions of this section in lieu of any bond or coupon alleged to be destroyed, lost or stolen shall constitute an original additional contractual obligation on the part of the city whether or not the bond or coupon so alleged to be destroyed, lost or stolen be at any time enforceable by anyone, and shall be equally and proportionately entitled to the benefits of this article with all other bonds and coupons issued under this division. (Code 1968, § 30-99)

Wilmington City Code § 2-449 Security for the bonds.

Sec. 2-449. - Security for the bonds. The full faith and credit of the city shall be pledged to the punctual payment of the principal of, premium, if any, and interest on all bonds issued in accordance with this division. The bonds shall be direct, unlimited obligations of the city, and, unless paid from other sources, including the proceeds of bonds, the city shall be obligated to levy ad valorem taxes upon all taxable property within the city for the payment of the bonds, the premium, if any, and interest on the bonds thereon without limitation as to rate or amount. (Code 1968, § 30-100)

Wilmington City Code § 2-450 Bonds may be subject to redemption.

Sec. 2-450. - Bonds may be subject to redemption. Bonds of any series may be subject to either optional or mandatory redemption at the times, in the order, in the amounts, at the redemption prices, and other such terms, conditions and restrictions, all as may be set forth in the supplemental ordinance authorizing the issuance of such series or, in the absence of such provisions, as may be set forth in the bonds at the direction of the bond committee. (Code 1968, § 30-101)

Wilmington City Code § 2-451 Notice; selection by lot.

Sec. 2-451. - Notice; selection by lot. (a) Whenever the city shall determine to redeem all or part of the bonds of any series in accordance with the rights reserved so to do, or when the city or the fiscal agent shall be required to redeem bonds pursuant to mandatory redemption provisions, the city or the fiscal agent, as the case may be, shall cause a notice of intention to redeem, signed in the name of the city by the fiscal agent, to be published once a week for two consecutive weeks, the first publication to be at least 30 days and not more than 60 days before the redemption date, in one daily newspaper published in the English language and of general circulation in the city. At least 30 days before the redemption date the fiscal agent shall mail such notice to each registered owner appearing upon the bond registered of the registered bonds to be redeemed, but failure so to mail any such notice shall not affect the validity of the proceedings for redemption. Such notice shall specify, unless a pertinent supplemental ordinance shall otherwise provide, the series and the maturities of the bonds so to be redeemed and also, if less than all then outstanding bonds of a maturity are to be redeemed, the numbers of the bonds to be redeemed which may be expressed in designated blocks, if applicable, and the date fixed for redemption, the redemption price and the place of payment and shall further state that, from and after such date, interest thereon will cease to accrue. (b) In connection with the redemption of less than all the bonds of a particular maturity or series, the fiscal agent shall draw by lot the number of the bonds to be redeemed in such manner as it shall deem proper unless the supplemental ordinance establishing the terms and provisions of such bonds or the redemption provisions of the particular bonds provides that they shall be redeemable in the order or inverse order of their numbers or that such bonds shall be redeemable in the order or inverse order of their maturities and all bonds of a particular maturity or maturities are being redeemed. For the purpose of any drawing, the fiscal agent shall assign a number for each basic denomination. (Code 1968, § 30-102)

Wilmington City Code § 2-452 Effect of redemption; payment.

Sec. 2-452. - Effect of redemption; payment. Notice of redemption having been given in the manner provided in section 2-451 or irrevocable instructions to give such notice having been delivered to the fiscal agent to pay said bonds or portions thereof, and funds having been deposited in trust with the fiscal agent prior to the date fixed for redemption, such bonds shall become due and payable on the redemption date so designated, and interest on such bonds or portions thereof shall cease from such redemption date, whether such bonds be presented for redemption or not, and the coupons representing the interest on any of such bonds thereafter to accrue shall from that date be void and of no effect. The principal amount of all bonds or portions thereof so called for redemption, together with the premium, if any, and accrued interest thereon, shall be paid by the fiscal agent, upon presentation and surrender thereof in negotiable form, accompanied by coupons, if any, representing such interest. All coupons maturing subsequent to the date of redemption must accompany each bond so redeemed. (Code 1968, § 30-103)

Wilmington City Code § 2-453 Purpose of bonds.

Sec. 2-453. - Purpose of bonds. The bonds issued under this division shall be issued for the purpose of paying the costs of projects undertaken by the city; of reimbursing any fund of the city from which such costs shall have been paid or advanced; or funding any of such costs for which the city shall have outstanding notes or other temporary indebtedness; or of refunding bonds of the city. (Code 1968, § 30-104)

Wilmington City Code § 2-454 Debt limitation.

Sec. 2-454. - Debt limitation. (a) Bonds shall not be issued pursuant to this division if the debt cost of such bonds would increase the aggregate amount of payments with respect to the principal of and interest on all bonds of the city then outstanding payable in the fiscal year in which such bonds are issued to an amount in excess of 17½ percent of the annual operating budget of the city for such fiscal year. Debt cost as provided in this section shall be the greater of the payment actually to be made on such bonds, if any, in the fiscal year in which such bonds are issued or an amount which would be payable for debt service in such fiscal year with respect to the principal of and interest on such bonds if they had been issued with a level annual debt cost. (b) In computing the aggregate amount of payments with respect to the principal of and interest on bonds of the city, there shall be excluded such payments with respect to: (1) All bonds issued by the city for the purpose of providing a supply of water for the city; (2) All bonds issued by the city for sewer purposes as a part of the sewer system of the city for which the city collects rates, rents or fees; (3) All bonds issued by the city for any other purpose for which an exclusion is authorized by law including but not limited to exclusions for bonds issued for parking authority purposes and urban renewal purposes; (4) All bonds issued by the city for construction, improvement, acquisition or development of the port facility maintained by the city; (5) Any guaranty or other obligation incurred pursuant to any law and which said law provides shall be excluded from the computation of any debt limitations of the city; and (6) All bonds for which provision has been made for the payment or redemption of such bonds by the deposit of funds sufficient for such purpose as provided in section 2-452. (Code 1968, § 30-105)

Wilmington City Code § 2-455 Sale of bonds.

Sec. 2-455. - Sale of bonds. To the extent that the supplemental ordinance authorizing any series of bonds coming under this division shall not otherwise provide: (1) All bonds shall be sold at public, private or invited sale as the bond committee may determine to be in the best interest of the city and, if sold at competitive public sale, shall be sold to the purchaser or purchasers submitting the highest and best bid upon such terms and conditions of the bidding as shall be specified in an official notice of sale issued in the name of the city; and (2) The terms upon which or the prices for which the bonds are to be sold or exchanged, and the form, terms and provisions of the bonds shall be determined by the bond committee. (Code 1968, § 30-106)

Wilmington City Code § 2-456 Supplemental ordinance.

Sec. 2-456. - Supplemental ordinance. (a) Prior to the issuance of any series of bonds, the council shall adopt an ordinance supplemental hereto specifying the aggregate principal amount or maximum aggregate principal amount, and authorizing the issuance of such bonds; stating that such bonds are issued in respect of costs of a project of the city or to fund or refund notes or other obligations of the city issued in respect thereof or for the purpose of refunding debt issued for such purpose. Such supplemental ordinance may specify such form, terms and provisions of the bonds to be issued thereunder; may specify a particular method of sale; may specify the terms upon which, or the prices for which, the bonds are to be sold or exchanged, including, if applicable, competitive bidding specifications; and may contain or authorize such further covenants, terms and agreements, all as the council may deem appropriate and proper. Such supplemental ordinance may specify that the terms of the bonds and the terms of the sale thereof may be determined by subsequent resolution or may be determined by action of the bond committee. The bond committee, prior to the issuance of any series of bonds, shall select bond counsel and, not later than seven days prior to the introduction of the bond ordinance, forward its selection to the city solicitor for approval, subject to Section 8-410 of the City Charter, and shall select financial advisors, financial institutions and any other parties associated with bringing a bond issue to market, as such terms are defined in section 2-434 of this chapter. (b) If the city shall, by supplemental ordinance, authorize the issuance of refunding bonds in the absence of specific direction or inconsistent authorization contained in the supplemental ordinance, the bond committee is hereby authorized in the name and on behalf of the city to take all such action, including the irrevocable pledge of proceeds or the income and profit from the investment thereof for the payment and redemption of the funded or refunded bonds or notes and including the publication of all required redemption notices or the giving of irrevocable instructions therefor, as may be necessary or appropriate to accomplish the funding or refunding. The bond committee shall be authorized in all such instances of any supplemental ordinance, authorizing the issuance of refunding bonds, to select bond counsel and, not later than seven days prior to the introduction of the bond ordinance, forward its selection to the city solicitor for approval, subject to Section 8-410 of the City Charter and to select the financial advisors, financial institutions, and any other parties associated with bringing a bond issue to market. (Code 1968, § 30-107; Ord. No. 98-021(sub 1), § 3-5-98)

Wilmington City Code § 2-457 Ordinances are contracts with bondholders.

Sec. 2-457. - Ordinances are contracts with bondholders. This division and supplemental ordinances adopted pursuant to this division are contracts with the holders of all bonds from time to time outstanding under this division and thereunder and shall be enforceable in accordance with the laws of the state. (Code 1968, § 30-108)

Wilmington City Code § 2-458 No liability of officers.

Sec. 2-458. - No liability of officers. Neither the members of council, employees of the city nor other representatives of the city shall be liable personally on the bonds by reason of the issuance thereof or their execution thereof. (Code 1968, § 30-109)

Source: City of Wilmington, Delaware, City Code, City Charter and Related Laws (Municode Library, library.municode.com)URL: https://library.municode.com/de/wilmington/codes/code_of_ordinances?nodeId=PTIIWICO_CH2AD_ARTVIFI_DIV7GEOBBOFetched: 11/6/2026