1397_00001ORDINANCE NO.1397
AN ORDINANCE of the city of Moses Lake,
Washington,authorizing the issuance of itsLocalImprovementDistrictNo.56 bond antici-
pation notes in the principal amount of$35,300;providing for the security and sourceofpaymenttherefor;and by reference toOrdinanceNo.1393 providing the terms thereofandforthesalethereof.
WHEREAS,by Ordinance No.1338,passed by the City Council of
the City of Moses Lake,Washington,(the nCityn)on October 11,1988,Local Improvement District No.56 was formed,theimprovementsconsistingofgrading,graveling and improving SeventhAvenuewereordered,provision for payment of all of the costs oftheimprovementsbyspecialassessmentagainstthepropertyspeciallybenefitedwasmade,and the issuance of local improvementdistrictbondswasauthorized;and
WHEREAS,it is now deemed to be in the best interest of theCitytoborrowmoneyandtoissueshorttermobligations(the "LID
56 Notes")pursuant to Chapter 39.50 RCW in anticipation of theissuanceofLocalImprovementDistrictNo.56 bonds for the purposeofprovidingpartofthefundsnecessarytopaythecostofcarryingouttheimprovements;NOW,THEREFORE,
THE CITY COUNCIL OF THE CITY OF MOSES LAKE,WASHINGTON,DO
ORDAIN AS FOLLOWS:
Section 1.Authorization of the Notes.The estimated costandexpenseoftheimprovementsorderedbyOrdinanceNo.1338 of8thecity(the "Improvements")and costs of issuing the notesauthorizedhereinisestimatedtobe$35,300.00,all of which istobeassessedagainstthepropertyspeciallybenefitedbysuchimprovements.For the purpose of paying part of the cost and
expense of the Improvements,the City will issue its LocalImprovementDistrictNo.56 Bond Anticipation Notes in theprincipalamountof$35,300 (the "LID 56 Notes").The LID 56 Notesshallbedated,shall mature,shall bear interest at the rate,andshallbepayableassetforthinOrdinanceNo.1393 and by thisreferenceincorporatedasiffullysetforthherein(the "MasterOrdinance").
Section 2.Source of Payment of and Security for the Notes.Both principal of an interest on the LID 56 Notes shall be payablesolelyfromtheLIDFunddescribedinSection3ofthisordinance,
from special assessments deposited in the LID Fund,and from theproceedsofLocalImprovementDistrictNo.56 bonds or installmentnotesand/or additional short term obligatîons of the City.
The City covenants that it will,in good faith,make everyreasonableefforttosellasufficientamountofLocalImprovementDistrictNo.56 bonds or installment notes,or additional bondanticipationnotesorothershorttermobligationssothat,on orbeforethematuritydateoftheLID56Notes,monies will be
m ated thheeLpID Fcu dMin anaanmdonnterest onœthe LIpD 5r6ONn
Section 3.Note Redemption Fund.By ordinance No.1338,there has been created in the office of the City Treasurer aspecialfundknownasthe"Local Improvement District No.56 Fund,"Treasurer's Fund No.756,(the "LID Fund")solely for the purposesofpayingcostsoftheImprovementsandofpaymentoftheprincipalofandinterestonanyobligationsissuedtopaycostsoftheImprovements.The city hereby covenants to deposit in the LID FundonorbeforethematuritydateoftheLID56Notesamountssufficient,together with other monies otherwise available therein,
City of Moses Lake -LID No.56 BAN Ordinance -1
to pay the principal of and interest on the LID 56 Notes when due.
Section 4.Guaranty Fund Statement.The LID 56 Notes shallincludethefollowingstatement:
The laws of the State of Washington require disclosure
of the following part of RCW 35.45.070:
Neither the holder nor owner of any [obligation]issued against a local improvement fund shall have
any claim therefor against the city or town by which
it is issued,except for payment from the specialassessmentsmadefortheimprovementforwhichthe[obligation]was issued and except also for paymentfromthelocalimprovementguarantyfundofthecity
or toyn.The city or town shall not be liable totheholderorownerofany[obligation]for any losstothelocalimprovementguarantyfundoccurringin
the lawful operation thereof .
Section 5.Application and Use of Note Proceeds.The
principal proceeds of the LID 56 Notes shall be deposited in theLIDFundandappliedtopaycostsoftheImprovementsand/or to
repay any interfund loans heretofore made to pay any of such costs,including a pro rata portion of the costs of issuing all of thenotesissuedsimultaneouslywiththeLID56NotespursuanttotheMasterordinance.The accrued interest,if any,received upondeliveryoftheLID56NotesshallbedepositedintheLIDFundandappliedtopaymentoftheinterestontheLID56Noteswhendue.
Section 6.Declaration of Emergenov and Effective Date.TheiCityCouncildeclaresthattheproceedsoftheLID56Notesareimmediatelyrequiredand,therefore,that an emergency exists;andthisordinanceshalltakeeffectandbeinforcefive(5)days
after passage and publication as provided by law upon one readingiftwo-thirds (2/3)of the entire City Council present vote infavorofpassage.
PASSED by the city council and signed by its Mayor at aregularopenpublicmeetingonNovember14,1989.
YOR
ATTE T:
CITY CLER
D AS TO
CITY ATTORNEY
PUBLISHED:NOVEMBER 20,1989
City of Moses Lake -LID No.56 BAN Ordinance -2
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