1282_00001ORDINANCENO.1282
ANORDINANCEPROVIDINGFOR INTERIMFINANCINGOF LID #55
THECITY COUNCILOF THE CITY OF MOSESLAKE;WASHINGTONDO ORDAINAS FOLLOWS:
Section 1.
I 1.The City Council;by Ordinance #1265;established Local Improvement Dis-
trict #55 providing for the improvement of Clover Drive from Evergreen toNelsonRoad.
2.Seattle First National Bank has agreed to provide the interim financing
for this LID at the rate of 7.1%per annum.This is based on the CityCouncilissuingtheregisteredwarrantsastaxexemptinstruments;issuingthewarrantsforaperiodnotexceedingoneyear;and issuing the warrants
as a general obligation of the city.An attorney's opinion is not re-quired concerning tax exemption status;but is required for generalobligationstatus.
3.Said warrants will be redeemed not later than one year from the date ofissuance.Anticipated construction and LID costs are $110;000of which$50;000 is being paid from city funds.The remaining $60;000 will be is-sued as registered warrants of $20;000 each made payable to Seattle FirstNationalBank;not to exceed a total of $60;000as actual costs when ex-penses become due.The proceeds of the registered warrants will bedepositedinLIDFund#55 and used to pay the construction costs.TheregisteredwarrantswillberedeemedwithLIDbondsorotherfinancing
sources upon completion of the LID project;or not later than one yearfromthedateofissuanceofsaidwarrants.
4.Interest earned upon deposits in Fund #55 shall accrue to Fund #55 as pro-vided by state law.I Section 2.The City Manger and City Finance Director are empoweredto issueregisteredwarrantsforLID#55 on Seattle First National Bank;Seattle;Washington.Said warrants shall draw interest at an annual percentage rate of7.1%.Said warrants shall be issued in accordance with the terms set forth inSection1.
Section 3.It is the intention of the City Council that these warrants beissuedastaxexemptinstruments.
Section 4.This ordinance shall take effect and be in force five (5)daysafteritspassageandpublicationasprovidedbylaw.
Adopted by the City Council and signed by its Mayor on August 11;1987.
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Publish:8/17/87