1526_00001ORDINANCE NO.1894
AN ORDINANCE of the City of Moses Lake authorizing theissuanceandsaleofitslimitedtaxgeneralobligationbondsintheaggregateprincipalamountof$1,200,000;specifying the terms,date,interest rates,maturities,and form thereof;pledging to pay the principal of andinterestonthebondsfromregulartaxlevies;estab-lishing a special bond redemption fund;accepting aproposalforthepurchaseofsuchbonds;and amending the1992Budget.
WHEREAS,by chapter 12.12 of the Moses Lake Municipal Code,the City Council of the city of Moses Lake,Washington,(the"City"),established a set of standards for improvements in thedowntownbusinessdistrictforreconstructingsidewalkswithdecorativepavers,installing or upgrading existing curbs andgutters,and installing pads for street lights and decorativegratingsfortrees(the nDowntown sidewalk Project");and
WHEREAS,the City has heretofore acquired property located atthecornerofThirdAvenueandAshStreetintheCity,and it isnowdesiredtoimprovesuchpropertytoprovideamunicipalparkinglot(the nParking Project");and
WHEREAS,it is desired to renovate the City Park andRecreationDepartmentshops(the "P &R Shops Project");and
WHEREAS,it is further desired to amend the 1992 Budget of theCitytoprovideforanalternativesourceofmoneytomakethefinalpaymentinOctober1992ontherealestatecontractforpurchaseofpropertylocatedonThirdAvenuenearFigStreetintheCityandtoprovideforpurchaseofrealpropertynearthe0intersectionofBurressandBroadwayinthecityforasatellitefirestation;and
WHEREAS,it is also desired to provide monies for ball fielddevelopmentonCityproperty;and
WHEREAs,by Resolution No.1652 and No.1691,the City CouncilhasdeclareditsintentiontoreimbursecostsoftheDowntownSidewalkProject,the Parking Project,and the P &R Shops ProjectfromproceedsofgeneralobligationbondsthatwerepaidfromtheCurrentExpenseFundpriortoissuanceofsuchbonds;and
WHEREAS,it is now deemed to be in the best interests of theCitytoborrowmoneyandissuelimitedtaxgeneralobligationbondsforthepurposesoftheDowntownSidewalk,Parking and P &R ShopsProject,and to make certain covenants relating to the security forsuchbonds,the payment thereof and the expenditure of the proceedstherefrom;and
WHEREAS,the assessed valuation of real property within theCityisinexcessof$309,204,200,the City's limitation on generalindebtednessincurredwithoutavoteis0.75%of the assessedvaluationoratleast$2,319,000,the City's limitation on generalpurposevotedandallnonvotedindebtednessis2.5%of the assessedvaluationoratleast$7,730,100,the City has no outstanding voted9indebtednessanditsnonvotedgeneralindebtednesscurrentlyoutstandingdoesnotexceed$650,000;and
WHEREAS,the City has received a proposal for purchase of suchbondsfromPiperJaffrayInc.of seattle,Washington,acceptance ofwhichisdeemedtobeinthebestinterestsoftheCity;NOW,THEREFORE,
THE CITY COUNCIL OF THE CITY OF MOSES LAKE,WASHINGTON,DOORDAINasfollows:
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Section 1.Budget Amendment.It is hereby found and deter-mined that certain changes should be made in the 1992 Budget of theCityadoptedbyOrdinanceNo.1505 in order for the City to acquireasiteforanewsatellitefirestationandtoprovideasource ofmoneyforballfielddevelopmentonCityproperty.
(a)The 1992 Budget is hereby amended to provide for paymentoftheOctober1992finalinstallmentundertherealestatecon-tract for purchase of property on Third Avenue near Fig Street for
a fire department headquarters building (the "Fire DepartmentOHeadquartersProject")in the principal amount of $50,000,togetherwithaccruedinterestof$4,500,from the proceeds of generalobligationbondsoftheCitytobeissuedin1992;
(b)The amount of $54,500 heretofore budgeted and appropriat-ed for the Fire Department Headquarters Project is hereby budgetedandreappropriatedtothePark&Recreation Improvement Fund of theCityforuseindevelopingballfieldswithintheCity;and
(c)The amount of $55,000 plus interest at the rate of 8.00%per annum is hereby budgeted and appropriated for the purchase oflandlocatedneartheintersectionofBurressandBroadwayforfutureconstructionofasatellitefirestation(the "SatelliteFireStationProject),which shall be paid as follows:The amountof$19,000 will be paid from proceeds of general obligation bondstobeissuedin1992;and the balance shall be paid under a realestatecontractintwoannualinstallmentsof$18,000 plus inter-est.
Section 2.Purpose.The City shall acquire,construct,reconstruct and install:
01)The 1992 phase of improving downtown sidewalks,curbs,gutters,street lighting mounting pads and tree grates in thedowntownbusinessarea,generally including both sides of each0streetwithintheareaboundedbyAlderandBeechStreetsandBroadwayandThirdAvenues(the "Downtown Sidewalk Project");
Co)Improvement to City-owned property located at the cornerofThirdAvenueandAshStreettoprovideamunicipalparkinglot,including paving,landscaping and lighting (the "Parking Project");
(c)Renovations to the City Park and Recreation Departmentshops(the "P &R Shops Project");
(d)Development or redevelopment of ball fields on propertycurrentlyownedortobeacquiredbytheCity(the "Ball FieldsProject");
(collectively,the "Capital Improvement Program");and
(e)Final payment of principal and interest on propertylocatedonThirdAvenuenearFigStreetforaFireDepartmentHeadquartersBuilding(the "Fire Department Headquarters Project");and
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(f)Initial payment of principal on property located nearBurressandBroadwayforasatellitefirestation(the "Satellite
Fire station Project")
(collectively,the nProperty Acquisition Project").
The cost of the 1992 phase of the Downtown Sidewalk Project isestimatedtobeinexcessof$840,000,all of which will be paidfromBondproceeds;the cost of the Parking Project is estimated tobeatleast$100,000,all of which will be paid from Bond proceeds;the cost of the P &R Shops Project is estimated to be at least$100,000;and the cost of the Ball Fields Project is estimated tobeatleast$120,000,of which approximately $60,000,half of which
is expected to be paid from Bond proceeds.The foregoing costs oftherespectivecomponentsoftheCapitalImprovementProgram,including reimbursement of the Current Expense Fund forarchitectural,engineering and other preliminary costs paid priortoBondissuanceandincludingaproratashareofthecostsoffinancing,shall be paid from $1,120,000 of the principal proceedsofthelimitedtaxgeneralobligationbondsofthecityauthorizedbyandtobeissuedpursuanttothisordinance.Any bond proceedswhichareavailableaftercompletionoftheDowntownSidewalk
Project,the Parking Project and the P &R Shops Project shall beappliedtotheBallFieldsProject.The foregoing costs of therespectivecomponentsofthePropertyAcquisitionProject,
including a pro rata share of the costs of financing,shall be paidfrom$80,000 of the principal proceeds of such bonds.
In the event that it is deemed that any portion of suchProgramshouldbedelayedorabandoned,or other capital programsshouldbeundertaken,the City Council shall have the discretion tomakeanychangesinthegeneralplansfortheCapitalImprovement
Program as they shall deem necessary,desirable or appropriate fromtimetotime.In the event that supplemental or matching fundsfromfederal,state or local public sources or private sources0becomeavailabletopayaportionofsuchcostorthecostoftheProgramislessthanestimated,any excess funds may be applied tosuchothercapitalimprovementsasthecityCouncildeemsnecessaryordesirable,may be used to retire by purchase or redemption thegeneralobligationbondsissuedpursuanttothisordinanceinaccordancewiththeirtermsandmaybeusedtopayanycosts
necessary to comply with the Internal Revenue Code of 1986,asamended,and regulations promulgated thereunder to maintain theexemptionfromfederalincometaxoftheinterestonsuchbonds.
Section 3.Authorization and Terms of Bonds.For theforegoingpurposes,the City shall issue and sell its Limited TaxGeneralObligationBonds,1992 in the principal amount of$1,200,000 (the "Bonds"),of which $1,120,000 shall be applied totheCapitalImprovementProgramandshallconstitute"Project Bondsandtheremaining$80,000 shall be applied to the PropertyAcquisitionProjectandshallconstitutenAcquisitionBonds".TheBondsshallbedatedAugust1,1992,shall be fully registered,shall be in denominations of $5,000 or any integral multiple of$5,000,and shall bear interest from their date payablesemiannuallyoneachFebruary1andAugust1,commencingFebruary1,1993,to the registered owner thereof,with fullobligationonthepartoftheCitytopayinterestattheBondratesuntiltherespectivematuritydatesoftheBondsandthereafteruntilsuchBonds,both principal and interest,are paidinfullorfundsareavailableintheBondRedemptionFundcreatedbySection12ofthisordinancesufficienttomakesuchpaymentinfull.
Both principal of and interest on the Bonds shall be payableinlawfulmoneyoftheUnitedStatesofAmericatotheregistered
owner or owners thereof.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 thefiscalagenciesoftheStateofWashingtoninthecitiesof
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Seattle,Washington,and New York,New York (the "Bond Registrar").
Interest on the Bonds shall be paid by check or draft mailed to theregisteredownerthereofornomineeofsuchownerattheaddressappearingontheregistrybooksoftheBondRegistraronthe15thdayofthemonthprecedingtheinterestpaymentdate.
The Bonds shall be numbered and bear such additional designa-tion as the Bond Registrar shall determine,shall be payableseriallyandshallmatureAugust1ofthefollowingyearsinthefollowingUmountsandshallbearinterestatthefollowingrates:
Maturity Year Maturity Amount Interest RateProjectAcquisition
Bonds Bonds
1993 $25,000 $5,000 3.60¾1994 30,000 5,000 4.35%
1995 35,000 5,000 4.75%
1996 35,000 5,000 5.00%
1997 35,000 5,000 5.20%1998 40,000 5,000 5.40%
1999 40,000 5,000 5.55%2000 45,000 5,000 5.65%
2001 45,000 5,000 5.80%
2002 50,000 5,000 5.90%
2003 50,000 5,000 6.00%2004 55,000 5,000 6.10%2005 60,000 5,000 6.20%2006 65,000 5,000 6.25%2007 70,000 5,000 6.30%2008 70,000 5,000 6.35%2009 80,000 6.40%2010 90,000 6.45%2011 100,000 6.50%
2012 100,000 6.50%
The Bonde are interchangeable for Bonds of any authorizeddenominationofanequalaggregateprincipalamount,and of thesameinterestrateandmaturity.Bonds may be transferred only ifendorsedinthemannerprovidedthereonandsurrenderedtoBondRegistrar.Such exchange or transfer shall be without cost to theownerortransferee.The City may deem the person in whose nameeachBondisregisteredtobetheabsoluteownerthereofforthepurposeofreceivingpaymentoftheprincipalofandinterestonsuchBondandforanyandallotherpurposeswhatsoever.
Section 4.Redemption.
(1)Optional Redemption.The Bonds maturing in the years1993through2000,inclusive,are not subject to redemption priortomaturity.The City has reserved the right to redeem the BondsmaturingonorafterAugust1,2001,in whole,or in part (maturi-ties to be selected by the City and by lot within a maturity insuchmannerastheBondRegistrarshalldetermine),on any interestpaymentdateonorafterAugust1,2000,at a price of 100%of theparamountthereof,plus accrued interest,if any,to the date ofredemption.
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(2)Notice of Redemption.Notice of any such intendedredemptionshallbegivennotlessthanthirty(30)days nor morethansixty(60)days prior to the date fixed for redemption byfirstclassmail,postage prepaid,to the registered owner of anyBondtoberedeemedattheaddressappearingontheregistrationbooksoftheBondRegistrar.The requirements of this sectionshallbedeemedtobecompliedwithwhennoticeismailedashereinprovided,whether or not it is actually received by the owner ofanyBond.Notice shall also be mailed to Piper Jaffray Inc.at itsmainofficeinSeattle,Washington,or to its successor in busi-ness,if any,at its main office and to Standard &Poor's Corpora-tion and Moody's Investors Service in New York,New York,or theirbusinesssuccessors,but the mailing of these three notices shallnotbeaconditionprecedenttothecalloftheBondsforredemp-tion.
(3)Effect of Call for Redamotion.Interest on any Bonds socalledforredemptionshallceaseonthedatefixedforredemptionunlesstheBondorBondssocalledarenotpaidinfulluponpresentationmadepursuanttosuchcall.
Section 5.Security.The City hereby irrevocably pledgesitselftobudgetandappropriatefromannualtaxleviesavailabletotheCitywithoutavoteofthepeopleamountssufficient,together with other monies legally available therefor,to pay theprincipalofandinterestontheBondsasthesameshallbecomedue.The full faith,credit and resources of the City are herebyirrevocablypledgedforthepaymentoftheprincipalofandinter-est on the Bonds.
Section 6.Tax Code Covenant and Election of Rebate Excep-tions.The City covenants that it will apply the principal pro-caeds of the Bonds to the costs of the Capital Improvement ProgramandthePropertyAcquisitionProject,respectively,and that itwillmakenouseoftheproceedsoftheBondsatanytimeduringthetermoftheBondsnortakeanyactionorrefrainfromanyactionasmaybenecessarytocomplywiththeUnitedStatesInter-nal Revenue Code of 1986,and applicable regulations promulgatedthereunderwhichwouldcausetheinterestontheBondstobecometaxableunderSections103,141,148,149 and 150 of said Code.
The City hereby irrevocably elects to apply the six-monthexpenditureexceptionfromrebatefortheproceedsoftheAcquisitionBondesetforthinSection3ofthisordinance;andfurtherirrevocablyelectstoapplytheconstructionexpenditureexceptionfromrebatefortheproceedsoftheProjectBondssetforthinSection3pursuanttowhichtheCitymustexpend:(i)10%of the Project Bond proceeds within six months from the date ofissuanceoftheBonds;(ii)a total aggregate amount of 45%within12monthsofissuance;(iii)a total aggregate amount of 75%within18monthsofissuance;and (iv)100%of the Project Bond proceeds
O
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within 24 months,provided that,a reasonable construction
retainage may remain unexpended at the end of 24 months if suchretainageisexpendedwithin36monthsfromthedateofissuanceoftheBonds.
Section 7.Findings and Designation of Bank Eligibility.The
City has issued $3,125,000 of Water and Sewer Revenue Refunding
Bonds,1992 on January 1,1992,and has or expects to enter intolease-purchase contracts in 1992 in an aggregate amount not toexceed$980,000,so that the total aggregate amount of tax-exemptobligationsexpectedtobeissuedin1992,including the Bonds,is
not expected to exceed $10,000,000;and the City Council herebyfindsanddeterminesthattheBondsare,and are hereby designated
to be,qualified tax-exempt obligations pursuant to Section
265(b)(3)of said Code relating to financial institutions.
Section 8.Form of the Bonds.[The city clerk is herebyauthorizedtopublishthefollowingsummaryofthissection7inlieuofthefulltext:
Section 8.Form of the Bonds.SUMMARY OF SECTION
(A copy of the full text will be mailed upon request):
This section contains the text of the Bonds to bedeliveredtobondholdersandwithtwoexceptionscontains
no information or agreement which is not set forthelsewhereinthisordinance.The two exceptions are(1)certain abbreviations for describing interests heldbyregisteredbondownersand(2)the assignment form foreffectingatransferofBondownership.]
The Bonds shall be printed,lithographed,or typewritten on goodbondpaperinsubstantiallythefollowingform:
UNITED STATES OF AMERICA
NO.$
CITY OF MOSÈS LAKE,WASHINGTON
LIMITED TAX GENERAL OBLIGATION BOND,1992
INTEREST RATE:MATURITY DATE:CUSIP NO.:
SEE REVERSE SIDE FOR
CERTAIN DEFINITIONS
REGISTERED OWNER:
PRINCIPAL AMOUNT:DOLLARS
The city of Moses Lake,Washington,(the "City"),for valuereceivedherebypromisestopaytotheRegisteredOwneridentifiedabove,or registered nominees,on the Maturity Date specified
above,the Principal Amount indicated above and to pay interestthereonfromthedateofthisbond,or the most recent date towhichinteresthasbeenpaidordulyprovidedforattheInterestRatesetforthabove,payable on february 1,1993,and semiannually
thereafter on the first days of each August and February to and
O including its Maturity Date and thereafter until this bond withinterestispaidinfull,or funds are available in the "City ofMosesLake,Washington,Limited Tax General Obligation BondRedemptionFund,1992"for payment in full.Both principal of andinterestonthisbondarepayableinlawfulmoneyoftheUnited
States of America.Principal shall be payable upon presentationandsurrenderofthiscertificatebytheRegisteredOwner ornomineeofsuchownerattheofficeofeitherofthefiscalagenciesoftheStateofWashingtoninthecitiesofSeattle,Washington,and New York,New York (the nBond Registrar").
1992LIMINDTAXGHERALOBLIGATIONBGEORDINHCE-Page 6
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Interest is payable by check or draft mailed to the Registered
Owner hereof or nominee of such owner at the address appearing ontheregistrybooksoftheBondRegistraronthe15thdayofthemonthprecedingtheinterestpaymentdate.
This bond is one of an issue of $1,200,000 of bonds of like
date,tenor and effect,except as to number,denomination,maturity
and interest rate and is issued by the City for the purpose ofprovidingfundstoimprovedowntownsidewalks,a municipal parking
O lot and City shops,as provided in Ordinance No.of the City
(the "Bond Ordinance")and is issued in full compliance with theordinancesandresolutionsoftheCityandthelawsandConstitutionoftheStateofWashington.
The bonds of this issue maturing in the years 1993 through2000,inclusive,are not subject to redemption prior to maturity.
The City has reserved the right to redeem the bonds of this issuematuringonorafterAugust1,2001,in whole,or in part(maturities to be selected by the City and by lot within a maturityinsuchmannerastheBondRegistrarshalldetermine),on anyinterestpaymentdateonorafterAugust1,2000,at a price of
100%of the par amount thereof,plus accrued interest,if any,tothedateofredemption.
Notice of any such intended redemption shall be given not lessthanthirty(30)days nor more than sixty (60)days prior to thedatefixedforredemptionbyfirstclassmail,postage prepaid,totheregisteredownerofthisbondattheaddressappearingontheregistrationbooksoftheBondRegistrar.The requirements of therecedingsentenceshallbedeemedtobecompliedwithwhennotice
is mailed as herein provided,whether or not it is actuallyreceivedbytheownerofthisbond.Notice shall also be mailed toPiperJaffrayInc.at its main office in Seattle,Washington,or toitssuccessorinbusiness,if any,at its main office and tostandard&Poor's corporation and Moody's Investors service in NewYork,New York,or their business successors,but the mailing ofthesethreenoticesshallnotbeaconditionprecedenttothecallofthisbondforredemption.
Interest on this bond so called for redemption shall cease onthedatefixedforredemptionunlesssuchbondsocalledisnotpaidinfulluponpresentationmadepursuanttosuchcall.
The City hereby irrevocably pledges itself to budget andappropriatefromannualtaxleviesavailabletotheCitywithoutavoteofthepeopleamountssufficient,together with other monieslegallyavailabletherefor,to pay the principal of and interest onthebondsofthisissueasthesameshallbecomedue,and the fullfaith,credit and resources of the City are hereby irrevocably
pledged for the payment of the principal of and interest on suchbonds.
By the Bond Ordinance,the City has designated the bonds ofthisissuetobequalifiedtax-exempt obligations pursuant toSection265(b)(3)of the Internal Revenue Code of 1986 relating tofinancialinstitutions.
It is hereby certified that all acts,conditions and thingsrequiredbytheConstitutionandlawsoftheStateofWashingtonandordinancesoftheCitytobedone,to happen or to be performedOasconditionsprecedenttotheissuanceofthisbondhavebeendone,have happened and have been performed and that the totalindebtednessoftheCity,including the bonds of this issue,doesnotexceedanyconstitutionalorstatutorylimitations.
This bond is transferable only upon the registry books of theBondRegistrarbysurrenderofthiscertificatetotheBondRegistrar,duly assigned and executed as indicated on the reversesidehereof.
1992LIMITETAIGMBILOBLIGATIONBONDORDIllMcE -Page 7
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This bond shall not become valid or obligatory for any purposeuntilthecertificateofauthenticationsetforthhereonhasbeensignedbytheBondRegistrar.
IN WITNESS WHEREOF,the City has caused this bond to be signedbythefacsimileormanualsignatureoftheMayorandattestedbythefacsimileormanualsignatureofitsCityClerkanditscorporatesealtobeimpressedorafacsimileimprintedhereonthis1stdayofAugust,1992.
O CITY OF MOSES LAKE,WASHINGTON
BV (facsimile signature)
Mayor
Attest:
(facsimile signature)
City clerk
Date of Authentication:
CERTIFICATE OF AUTHENTICATION
This bond is one of the fully registered City of Moses Lake,Washington,"Limited Tax General Obligation Bonds,1992"describedinthewithinmentionedBondOrdinance.
WASHINGTON STATE FISCAL AGENCY
Bond Registrar
BY (manual)Authorized Officer
------e
wi a s,i-n-s-o-r p on thefaceofthewithinhond,shall be construed as though they were writtenoutinfullaccordingtoapplicablelawsorregulations:
TEN COM -as tenants in commonTENENT-as tenants by the entireties
IT TEN -as joint tenants with right of survivorship and not astenantsincommon
UNIF (GIFT)(TRANSFER)MIN ACT Custodian(dustodian)(Minor)
under Uniform (Gifts)
(Stata)
(Transfers)to Minors Act
Additional abbreviations may also beusedthoughnotinlistabove
1992LIMITETAIGHEALOBLICATION80E ORDIENCE-Page 8
ASSIGNMENT
FOR VALUE RECEIVED,the undersigned hereby sells,assigns and
transfers unto
I I
Planse irteert Social Security or TyÿerIdentificationNumberofTrarteferee6
(Please print or typewritenameandaddress,includingzip codeof Transferee)
the within bond and does hereby irrevocably constitute and appoint
or its successor,as Bond Registrar,to transfer said bond on the
books kept for registration thereof with full power of substitution in
the premises.
DATED:
SIGNATURE GUARANTEED:
NOTE:The signature on this Assign-ment must correspond with the nameOoftheregisteredownerasitappearsuponthefaceofthewithinbondineveryparticular,withoutalterationorenlargementoranychangewhatever.
Section 9.Execution of Bonds.The Bonds shall be signed onbehalfoftheCitywiththefacsimileormanualsignatureoftheMayor,shall be attested by the facsimile or manual signature oftheCityClerkandshallhavethecorporatesealoftheCityimpressedorafacsimilethereofimprintedthereon.
The Bonds shall not be valid or obligatory for any purpose orentitledtothebenefitsofthisordinanceunlessitshallbearthereonaCertificateofAuthenticationintheformhereinbeforerecited,manually executed by the Bond Registrar.Such CertificateofAuthenticationshallbeconclusiveevidencethattheBonds soauthenticatedhavebeendulyexecuted,authenticated and deliveredhereunderandareentitledtothebenefitsofthisordinance.
In case either of the officers who shall have executed theBondsoranybondwhichmaybehereafterissuedinsubstitutionforanyBondshallceasetobesuchofficerorofficersoftheCitybeforethebondsosignedshallhavebeenauthenticatedordeliveredbytheBondRegistrar,or issued by the City,such bond
O may nevertheless be authenticated,delivered and issued and uponsuchauthentication,delivery and issuance,shall be as bindingupontheCityasthoughthosewhosignedthesamehadcontinuedtobesuchofficersoftheCity.The Bonds or any substitute bondsmayalsobesignedandattestedonbehalfoftheCitybysuchpersonsasattheactualdateofexecutionofsuchbondsshallbetheproperofficersofthecityalthoughattheoriginaldateoftheBondsanysuchpersonshallnothavebeensuchofficerofthecity.
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Section 10.Lost or Destroyed Bonds.In case any Bond shall
be lost,stolen or destroyed,the Bond Registrar may authenticate
and deliver a new bond of like date,principal amount,maturity,interest rate,tenor and effect to the registered owner or nomineethereofuponpaymenttotheCityfortheexpensesandchargesinconnectiontherewithanduponitsfilingwiththeBondRegistrar
evidence satisfactory to said Bond Registrar that such Bond wasactuallylost,stolen or destroyed and of its ownership thereof,and upon furnishing the City with indemnity satisfactory to themboth.
Section 11.Bond Registrar.Either of the fiscal agencies oftheStateofWashingtoninthecitiesofSeattle,Washington,andNewYork,New York (the nBond Registrarn)shall keep,or cause tobekept,sufficient books for the registration and transfer of theBonds.The Bond Registrar is authorized,on behalf of the city todeliverasubstitutebondorbondsinauthorizeddenominationsfor
any Bonds transferred or exchanged in accordance with theprovisionsofsuchBondsandthisordinanceandtocarryoutalloftheBondRegistrar's powers and duties under this ordinance.
Section 12.Defeasance.In the event that monies areirrevocablysetasideinaspecialescrowfund(the "Escrow Fund")
on the terms and conditions set forth in this Section 11 to refundalloranypartoftheBonds,with respect to the Bonds sorefunded:
a.Payments into the Bond Redemption Fund for paymentofprincipalofandinterestontheBondsshallbediscontinued;
b.Such Bonds shall cease to be entitled to any lien,benefit or security of this ordinance except the right to receivethemoniessosetaside;and
c.Such Bonds shall be deemed not to be outstandingunderthisordinance;provided,that any Bonds so refunded shall bedeemedtobeoutstandingforthepurposeoftransfers,exchanges orthereplacementoflostordestroyedBondspursuanttothisordinance.
The EscroW Fund shall be established with a corporate fiduciaryqualifiedtodobusinessintheStateofWashingtonand:
(1)Monies set aside in said Escrow Fund shall beirrevocablypledgedtopayprincipalofandredemptionpremium,if any,and interest on the refunded Bonds;and
(2)Said monies shall be held in cash and/or "governmentobligations"as defined in Chapter 39.53 RCW:
(3)Such government obligations shall mature at suchtimeortimesandbearinterestatsuchratestoprovidewithoutanyreinvestmentthereofsufficientamountstopayinterestontherefundedBondswhendueandtoredeemandretiretherefundedBondsattheirrespectivematuritydates,mandatory redemption dates,and/or pursuant to an irrevocablecallofanyorallsuchrefundedBondsforredemption inaccordancewiththeirterms;and
(4)The sufficiency of such cash and governmentOobligationstomakesuchpaymentsshallhavebeenverified byanindependentcertifiedpublicaccountant.
Section 13.Bond Redemption Fund.There is hereby createdandestablishedintheofficeoftheFinanceDirectoroftheCity(the "Treasurer")a special fund to be known and designated as the"City of Moses Lake,Washington,Limited Tax General obligationBondRedemptionFund,1992"(the "Bond Redemption Fund")for thesolepurposeofpaymentoftheprincipalofandinterestontheBonds.The City hereby covenants to deposit in the Bond Redemption
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Fund on or before each interest payment date amounts sufficient,
together with monies otherwise available therein,to pay theprincipalofandinterestontheBondswhendue.
Section 14.Application and Use of Bond .Proceeds.TheproceedsofthesaleoftheBondsshallbedepositedandappliedasfollows,the specific amounts of which shall be determined prior todeliveryoftheBonds:
6 a.To the Bond Redemption Fund shall be paid the amountreceivedonthedateofdeliveryoftheBondsasaccruedinterest
on the Bonds,which amount shall be applied to pay the interestcomingdueontheBondsonFebruary1,1993;
b.That portion of the principal proceeds of the BondsallocabletotheDowntownSidewalkProjectandtheParkingProject
will be deposited in the Street Improvement Fund of the City andappliedtopaycostsofsuchProjects;
c.That portion of the principal proceeds of the BondsallocabletotheP&R Project will be deposited in the BuildingMaintenanceFundoftheCityandappliedtopaycostsoftheP&RProject;
d.That portion of the principal proceeds of the BondsallocabletotheBallFieldProjectwillbedepositedinthePark
&Recreation Improvement Fund and applied to carry out so much of
the Ball Field Project as such monies,together with other monieswhichmaybeavailabletosuchProjectin1992and1993;and
e.To the Current Expense Fund of the City shall bepaidthebalanceofprincipalproceedsoftheBondsandappliedtopaycostsofthePropertyAcquisitionProjectandtopaycostsofissuanceoftheBonds.
Pending the expenditure of the original proceeds of the Bonds,the City may temporarily invest such proceeds in any investmentspermittedbylawsoftheStateofWashington.The Bond proceedsdepositedinaccordancewithSubsections13.h.,13.c.,13.d.and13.e.above are hereinafter referred to as the "original Principal
Proceeds."Pending the expenditure of the Original PrincipalProceeds,the city may temporarily invest such proceeds in anyinvestmentpermittedbylawsoftheStateofWashington.Earnings
on such investments are hereinafter referred to as the "InvestmentProceeds."
In accordance with Section 2.12.040 of the Moses LakeMunicipalCode,part or all of the Investment Proceeds may bedepositedintheCurrentExpenseFundoftheCityandexpendedforthepurposesofsuchFund.
Section 15.Sale of the Bonds.The acceptance of theproposalofPiperJaffrayInc.of Seattle,Washington,datedJuly14,1992,to purchase the Bonds at a price of $98.58 per$100.00 of principal amount of the Bonds and on the terms set forthinsaidproposalandthisordinanceisherebyratifiedandconfirmed.
Section 16.Authorîzation to City officials.The proper Cityofficialsareherebyauthorizedtoenterintosuchagreements,toOexecutesuchinstruments,to print bonds,to approve an officialstatementorotherdisclosuredocument,to provide certifications,and to take all actions they deem reasonable,necessary and propertocarryouttheProjectandissuanceoftheBondsinconformancewiththeprovisionsofthisordinance.
Section 17.Severability.If any one or more of thecovenantsoragreementsprovidedinthisordinancetobeperformedonthepartoftheCityshallbedeclaredbyanycourtofcompetentjurisdictiontobecontrarytolaw,then such covenant or
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covenants,agreement or agreements shall be null and void and shallbedeemedseparablefromtheremainingcovenantsandagreementsofthisordinanceandshallinnowayaffectthevalidityoftheotherprovisionsofthisordinanceoroftheBonds.
Section 18.Ratification.Any.act taken pursuant to theauthorityofthisordinancepriortoitseffectivedateisherebyratifiedandconfirmed.
6 section 19.Effective Date.This ordinance shall take effectfivedaysafteritsadoptionandpublicationinthemannerprovidedbylaw.
PASSED by the City Council of the City of Moses Lake,Washington at a regular open public meeting thereof held on the14thdayofJuly,1992.
CITY OF MOSES LAKE,WASHINGTON
ATT ST:
City Cl 'S
APPR ED AS TO FORM:
City Attorney
O PUBLISHED:July 11,1992
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