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1189_00001ORDINANCE NO.1189 AN ORDINANCE of the City of Moses Lake,Wash- ington,authorizing the issuance and sale of its limited tax general obligation bonds in the aggregate principal amount of $750,000; i specifying the terms,date,interest rates, maturities,and form thereof;pledging to paytheprincipalofandinterestonthebondsfromregulartaxlevies;and confirming acceptance of a proposal for the.purchase of such bonds. WHEREAS,pursuant to Ordinance No.1171,passed by the City Council of the City of Moses Lake,Washington,(the "City")onMay28,1985,the City Council issued and sold its Limited Tax General Obligation Bond Anticipation Note,dated June 6,1985,in the principal amount of $500,000 to provide part of the funds toconstructimprovementstotheCityHallandtoacquirevehicles, computer equipment and software for use in administration of the City and its various departments;and WHEREAS,it is now deemed to be in the best interests of theCitytoborrowmoneyandissuelimitedtaxgeneralobligation bonds for the purpose of refunding the aforesaid bond anticipa- tion notes and providing additional funds for the City Hall improvements and to make certain covenants relating to the secu-rity therefor and payment thereof;and WHEREAS,the City has received a proposal for purchase of such bonds from Seattle-First National Bank,acceptance of whichisdeemedtobeinthebestinterestsoftheCity;NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOSES LAKE,WASHINGTON,DO ORDAIN AS FOLLOWS: Section 1.Purpose and Estimated Cost.The City Councilhasdeterminedthatitisnecessaryandinthebestinterests of the City to borrow money to provide additional funds to pay partofthecostsofimprovementstotheCityHallbuildingandtorefundtheCity's Limited Tax General Obligation Bond Anticipa- tion Note,dated June 6,1985,("BAN")heretofore issued to paypartofthecostoftheCityHallimprovementsandtopurchasevehicles,computer equipment and software for use in adminstra-tion of the City and by its various departments.The cost and expense of the foregoing improvements (the "Improvements")is nowestimatedtobeatleast$750,000,of which approximately$550,000 is expected to be applied to the City Hall remodeling,approximately $100,000 to vehicle purchase and approximately $100,000 to purchase of computer equipment and software,includ-ing interest on the BAN to the date of their redemption on orbeforeDecember31,1985.The City Manager is hereby authorizedtoallocatetheproceedsoftheborrowingamongtheelements oftheImprovementsinsuchamountsandatsuchtimesashedeemsinecessaryanddesirabletocarryouttheImprovements. Section 2.Authorization and Terms of Bonds.For the pur-pose of paying part of the cost and expense of the ImprovementsandrefundingtheBAN,the City shall issue and sell its LimitedTaxGeneralObligationBonds,1985 in the principal amount of$750,000 (the "Bonds").The Bonds shall be dated December 11985,shall be fully registered,shall be in denominations of$5,000 or any integral.multiple of $5,000,and shall bear inter-est from their date payable semiannually on each June 1 andDecember1,commencing June 1,1986,to the registered owner CITY OF MOSES LAKE -Bond Ordinance -1 thereof,with full obligation on the part of the City to pay interest at the Bond rates until the Bonds,both principal and interest,are paid in full. Principal of the Bonds shall be payable upon presentation and surrender of the Bonds by the registered owner or nominee of such owner at the office of either of the fiscal agencies of the State of Washington in the cities of Seattle,Washington,and New I York,New York (the "Bond Registrar").Interest on the Bonds shall be paid by check or draft mailed to the registered owner thereof or nominee of such owner at the address appearing on the registry books of the Bond Registrar on the 15th day of the month preceding the interest payment date.The Bonds shall be payable serially and shall mature on December 1 of each of the following years in the following amounts and shall bear interest at the following rates: Maturity Date Amount Interest Rate December 1,1986 $130,000 5.75% December 1,1987 140,000 6.50 December 1,1988 150,000 6.90 December 1,1989 160,000 7.40 December 1,1990 170,000 7.60 Section 3.Redemption.The City has not reserved the right to redeem any of the Bonds prior to maturity. Section 4.Security.The City hereby irrevocably pledges itself to budget and appropriate from annual tax levies available to the City without a vote of the people amounts sufficient, i together with other monies legally available therefor,to pay the principal of and interest on the Bonds as the same shall become due.The full faith,credit and resources of the City are hereby irrevocably pledged for the payment of the principal of and interest on the Bonds. Section 5.Tax Code Covenant.The City covenants that it will expend the principal proceeds of the Bonds with due dili- gence to the completion of the Improvements specified in this ordinance and will make no use of the proceeds of the Bonds at any time during the term of the Bonds which will cause the Bonds (i)to be arbitrage bonds within the meaning of Section 103(c) of the United States Internal Revenue Code of 1954,as amended, and applicable regulations promulgated thereunder or (ii)to be industrial development bonds with the meaning of Section 103(b) of the Internal Revenue Code of 1954,as amended,and applicable regulations thereunder. Section 6.Form and Execution of the Bonds.The Bonds shall be printed,lithographed,or typewritten on good bond paperinsubstantiallythefollowingform: 1 CITY OF MOSES LAKE -Bond Ordinance -2 UNITED STATES OF AMERICA NO.$ CITY OF MOSES LAKE,WASHINGTON INTEREST RATLE MITED TAX GENERAMLAT RLIGATD TNE:BOND,1985 CUSIP NO.: SEE REVERSE SIDE FOR CERTAIN DEFINITIONS REGISTERED OWNER: PRINCIPAL AMOUNT:DOLLARS The City of Moses Lake,Washington,(the "City"),for valuereceivedherebypromisestopaytotheRegisteredOwneridenti-fied above,or registered assigns,on the Maturity Date specifiedabove,the Principal Amount indicated above and to pay interestthereonfromDecember1,1985,or the most recent date to whichinteresthasbeenpaidordulyprovidedforattheInterestRatesetforthabove,payable on June 1,1986,and semiannually there-after on the first days of each December and June to and includ-ing its Maturity Date and thereafter until this bond withinterestispaidinfull,or funds are available in the "City ofMosesLake,Washington,Limited.Tax General Obligation Bond and i Note Redemption Fund,1985"for payment in full.Both principalofandinterestonthisbondarepayableinlawfulmoneyof theUnitedStatesofAmerica.Principal shall be payable upon presen-tation and surrender of this certificate by the Registered Ownerornomineeofsuchownerattheofficeofeitherofthefiscalagenciesofthe.State of Washington in the cities of Seattle,Washington,and New York,New York (the "Bond Registrar").Inter-est is payable by check or draft mailed to the Registered Ownerhereofornominee.of such owner at the address appearing on theregistrybooksoftheBondRegistraronthe15thdayofthemonthprecedingtheinterestpaymentdate. This bond is one of an issue of $750,000 of bonds of likedate,tenor and effect,except as to number,denomination,matu-rity and interest rate and is issued by the City for the purposeofprovidingfundstorefundtheCity's outstanding limited taxgeneralobligationbondanticipationnotedatedJune1,1986,andtopaypartofthecostofconstructingimprovementstotheCityHallbuildingasprovidedinOrdinanceNo.of the City andisissuedinfullcompliancewiththeordinancesoftheCityandthelawsandconstitutionoftheStateofWashington. The City has not reserved the right to redeem any of thebondsofthisissuepriortotheirrespectivematuritydates. 1 The City hereby irrevocably pledges itself to budget andappropriatefromannualtaxleviesavailabletotheCitywithout a vote of the people amounts sufficient,together with othermonieslegallyavailabletherefor,to pay the principal of andinterestonthebondsofthisissueasthesameshallbecomedue,and the full faith,credit and resources of the City are herebyirrevocablypledgedforthepaymentoftheprincipalofandinterestonsuchbonds. It is hereby certified that all acts,conditions and thingsrequiredbytheConstitutionandlawsoftheStateofWashington CITY OF MOSES LAKE -Bond Ordinance -3 and ordinances of the City to be done,to happen or to be per-formed as conditions precedent to the issuance of this bond havebeendone,have happened and have been performed and that thetotalindebtednessoftheCity,including the bonds of thisissue,does not exceed any constitutional or statutory limita-tions. These Bonds are transferable only upon the registry books oftheBondRegistrar,by surrender of this certificate to the BondRegistrar,duly assigned and executed as indicated on the reversesidehereof. These Bonds shall not become valid or obligatory for anypurposeuntilthecertificateofauthenticationsetforthhereonhasbeensignedbytheBondRegistrar. IN WITNESS WHEREOF,the City has caused this bond to besignedbythefacsimilesignatureofitsmayorandattested bythefacsimilesignatureofitscityclerkanditscorporatesealtobeimpressedorafacsimileimprintedhereonthis1stdayofDecember,1985. CITY OF MOSES LAKE,WASHINGTON By (facsimile signature) Mayor Attest: (facsimile signature) City Clerk Date of Authentication: CERTIFICATE OF AUTHENTICATION This bond is one of the fully registered City of MosesLake,Washington,"Limited Tax General Obligation Bonds,1985"described in the within mentioned ordinance. WASHINGTON STATE FISCAL AGENCYBondRegistrar By (manual)Authorized Officer The following abbreviations,when used in the inscription onthefaceofthewithinbond,shall be construed as though theywerewrittenoutinfullaccordingtoapplicablelawsorregulations: CITY OF MOSES LAKE -Bond Ordinance -4 TEN COM-as tenants in Common TEN ENT-as tenants by the entireties JT TEN -as joint tenants with right of survivorshipandnotastenantsincommon UNIF GIFT MIN ACT-Custodian (Cust)(Minor)under Uniform Gifts to Minors Act (State) Additional abbreviations may also be used though not in listabove. ASSIGNMENT FOR VALUE RECEIVED,the undersigned hereby sells,assigns and transfers unto PLEASE INSERT SOCIAL SECURITY OR TAXPAYERIDENTIFICATIONNUMBEROFTRANSFERREE// (Please print or typewrite name and address,including zip code of Transferee) the within bond and does hereby irrevocably constitute and ap- point , or its successor,as Bond Registrar to transfer said bond on the books kept for registration thereof with full power of substitu- tion in the premises. DATED:. NOTE:The signature on thisAssignmentmustcorrespond with thenameoftheregisteredownerasitappearsuponthefaceofthewithinbondineveryparticular,without i alteration or enlargement or anychangewhatever. SIGNATURE GUARANTEED: Section 9.Bond Redemption Fund.By Ordinance No.1171passedandapprovedMay28,1985,the City has heretofore createdandestablishedintheofficeoftheCityTreasureraspecial CITY OF MOSES LAKE -Bond Ordinance -5 fund known and designated as the "City of Moses Lake Limited Tax General Obligation Bond and Note Redemption Fund,1985"(the"Bond Redemption Fund")for the sole purpose of payment of theprincipalofandinterestontheBANtoberefundedandtheBonds.The City hereby covenants to deposit in the Bond Redemp- tion Fund on or before each interest payment date amounts suffi-cient,together with monies otherwise available therein,to paytheprincipalofandinterestontheBondswhendue.I Section 10.Application and Use of Bond Proceeds.By Ordi- nance 1171,the City has heretofore created and established intheofficeoftheCityTreasureraspecialfundknownanddesig- nated as the "City of Moses Lake Capital Projects Fund,#310"(the "Building and Equipment Fund").So much of the principal proceeds received from the sale of the Bonds as is necessary toprovideforredemptionoftheBANtoberefundedshallbedepositedintheBondRedemptionFundandappliedtopayand redeem said BAN on or before December 31,1985. Accrued interest received from the sale of the Bonds shallbedepositedintheBondRedemptionFundandappliedtopaymentofinterestfirstcomingdueontheBonds. The balance of the principal proceeds of the Bonds shall be deposited in the Building and Equipment Fund and shall be usedforthecapitalpurposesspecifiedinSection1ofthisordinanceandtopaythecostsofissuanceoftheBonds.Pending theexpenditureofsuchprincipalproceeds,the City may temporarilyinvestsuchproceedsinanylegalinvestment,and the investmentearningsmayberetainedintheBuildingandEquipmentFundandexpendedforthepurposesofsuchfund. Section 11.Sale of the Bonds.Acceptance of the proposalofSeattle-First National Bank of Seattle,Washington,datedNovember4,1985,to purchase the Bonds at a price of $98.80 per$100.00 of principal amount of the Bonds and on the terms setforthinsaidproposaland.this ordinance is hereby ratified andconfirmed. Section 12.Effective Date.This ordinance shall takeeffectandbeinforcefive(5)days after passage and publica-tion in the manner provided by law. PASSED by the City Council and signed by its Mayor at aregularopenpublicmeetingonNovember26,1985. MA ÓR A T CITY CLER AS TO 77 CITY ATTORNEY PUBLISHED:Deceber 2,1985 CITY OF MOSES LAKE -Bond Ordinance -6