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HomeMy WebLinkAbout1975-1775 ISSUANCE & SALE OF TAX LEVY GENERAL OBLIGATION BONDS IN THE AMOUNT OF $600,000; CREATING BOND REDEMPTION FUND. --- ORDINANCE NO. 1775 11 1 / AN ORDINANCE of the City Council of the City of Yakima, Washington, providing for the issuance and sale of limited tax levy general obligation bonds o,f tl city in the principal amount of $ 0 °C),U00 for the purpose of providing funds to acquire, construct and equip a convention center; providing the date, form, terms and maturities of said bonds; creating a Construction Account; creating a Bond Redemption Fund; providing for the annual levy and collection of ad, valorem taxes to pay the principal of and interest on said bonds; and declaring an emergency. WHEREAS, it is deemed necessary and advisable that the City of Yakima, Washington (hereinafter called the "City"), acquire, construct and equip a convention center, as hereinafter more specifically described; and • WHEREAS, in order to provide part of the money for such purposs it is.deemed necessary and advisable that the City now issue and sell its limited tax levy general obligation bonds in the principal amount of $ 600,000 . NOW, THEREFORE, BE IT ORDAINED by the City of Yakima, Washington, as follows: Section 1. It is hereby found and declared that the public interest, welfare and benefit require the City to acquire, construct and equip a convention center, as hereinafter more specifically described. Section 2. For the purpose of providing the money necessary to pay part of the cost of acquiring, constructing and equipping a convention center within the City of Yakima, to be designated • the bicentennial pavilion, which shall consist of a multi-use meeting and exhibition hall, together with all necessary appurtenances, including, but not limited to parking facilities, utilities and landscaping, the City shall issue and sell its limited tax levy , . general obligation bonds in the principal amount of $600,000_ (hereinafter called the "Bonds"). • The acquiring, constructing and equipping of such facili- ties shall be subject to the preparation and consideration of such environmental assessments as may be required by the State Environ- mental Policy Act, and rules and regulations promulgated thereunder. The City may undertake the project jointly with Yakima County, pursuant to such agreement between the City and the County as the City Council may approve. The Bonds shall be dated May 1, 1975, shall be in the denomination of $5,000 each, shall bear interest at such rate or rates as shall be fixed by the City Council upon the sale thereof, payable on the first day of November, 1975 and semiannually on the first days of May and November of each year thereafter, and shall be numbered and mature on May 1 of each of the following years in the following amounts: Bond Nos. Years Amounts Bond Nos. Years Amounts 1-3 1977 $ 15,000 45-50 1987 $ 30,000 4-6 1978 15,000 51-57 1988 35,000 7-10 1979 20,000 58-64 1989 35,000 11-14 1980 20,000 65-72 1990 40,000 15-18 1981 20,000 73-80 1991 40,000 19-22 1982 20,000 81-89 1992 45,000 23-27 1983 25,000 90-99 1993 50,000 28-32 1984 25,000 100-109 1994 50,000 33-38 1985 30,000 110-120 1995 55,000 39-44 1986 30,000 (The above schedule has been computed on an assumed interest rate of 7.5 % per annum.) Both principal of and interest on the Bonds shall be payable in lawful money of the United States of America at the office of the Treasurer of the City in the City Hall in Yakima, • Washington, or, at the option of the holder, at either of the fiscal agents of the State of Washington, in the Cities of Seattle, Washington, or New York, New York. Section 3. The City hereby reserves the right to redeem any or all of the Bonds outstanding at par in whole, or in part in -2- inverse numerical order, on any interest payment date on and after ten years from date of issue. Notice of any such intended redemption shall be given by one publication thereof in the official City newspaper not more 411 than forty nor less than thirty days prior to said redemption date and by mailing a like notice at the same time to the main office of the purchaser or account manager of the purchasers of the Bonds at their sale by the City or to the business successor or successors, if any, of said purchaser or account manager at its main office. Interest on any Bond or Bonds so called for redemption shall cease on such redemption date unless the same are not redeemed upon presentation made pursuant to such call. In addition to such publication and mailing, the City Treasurer shall also mail notice of any such intended redemption to Moody's Investors Service, Inc., and Standard & Poor's Corporation, New York, New York, or to their successors, if any. • The mailing of such notice shall not, however, be a condition precedent to the call of any Bonds for redemption. Section 4. The Bonds shall be in substantially the following form: UNITED STATES OF AMERICA NO. $5,000 STATE OF WASHINGTON CITY OF YAKIMA LIMITED TAX LEVY GENERAL OBLIGATION BOND, 1975 The City of Yakima, Washington, a municipal corpora tion of the State of Washington (hereinafter called the "City"), hereby acknowledges itself to owe and for value received promises to pay to bearer on the first day of May, 19 the principal amount of FIVE THOUSAND DOLLARS together with interest thereon at the rate of -3- per annum payable on the first day of November, 1975 and semi- annually on the first days of May and November of each year thereafter as evidenced by and upon presentation and surrender 411 of the attached interest coupons as they severally become due or until such principal sum shall have been paid or duly provided for. Both principal of and interest on this bond are payable in lawful money of the United States of America at the office of the Treasurer of the City in the City Hall in Yakima, Washington, or, at the option of the holder, at either of the fiscal agencies of the State of Washington, in the Cities of Seattle, Washington or New York, New York, The City has reserved the right to redeem any or all of the bonds of this issue outstanding in whole, or in part in inverse numerical order, on any interest payment date on and after ten years from date hereof. 41 1 Notice of any such intended redemption shall be given by one publication thereof in the official City newspaper not more than forty nor lass than thirty days prior to said redemption date and by mailing a like notice at the same time to This bond is one of an issue of 120 bonds of like amount, date and tenor except as to number, rate of interest and date of maturity in the aggregate principal amount of $600,000 and is issued pursuant to Ordinance No. of the City under and in strict compliance with the provisions of the Constitution of the State of Washington, and provisions of the City Charter and duly adopted ordinances of the City. 11 0 The City hereby irrevocably covenants that it will include in its annual budgets and levy taxes annually within and as a part of the tax revenue permitted the City without a vote of the people amounts which, with other moneys of the City legally available therefor, will -4- be sufficient to pay the principal of and interest on the bonds of this issue as the same shall become due. The full faith, credit and resources of the City are hereby irrevocably pledged for the annual levy of such taxes and for the prompt payment of such principal and interest. It is hereby certified and declared that all acts, conditions and things required to be done precedent to and in the issuance of this bond have happened, been done and performed and that the total indebtedness of the City, including this bond and the bonds of this issue, does not exceed any constitutional or statutory limitation. IN WITNESS WHEREOF, the City of Yakima, Washington, has caused this bond to be signed on behalf of the City with the facsimile signature of its Mayor, to be attested by • the manual signature of its Clerk, the official seal of the City to be impressed hereon and the interest coupons attached hereto to be signed with the facsimile signatures of said officials this first day of May, 1975. CITY OF YAKIMA, WASHINGTON By Mayor ATTEST: City Clerk The interest coupons attached to the Bonds shall be in substantially the following form: NO. On the first day of , 19 , the City of Yakima, Washington, will pay to bearer at the office of the Treasurer of the City in the City Hall in -5- Yakima, Washington, the amount shown hereon in lawful 411 money of the United States of America, said amount being the semiannual interest due that date on its Limited Tax Levy General Obligation Bond, 1975, dated May 1, 1975 and numbered CITY OF YAKIMA, WASHINGTON By Mayor ATTEST: City Clerk Section 5. The Bonds shall be, signed on behalf of the City by the facsimile signature of the City Clerk and shall have 411 the official seal of the City impressed thereon. Each of the interest coupons attached thereto shall be signed with the facsimile signatures of said officials. Section 6. There is hereby created a special account of the City to be known as the "Bicentennial Pavilion Construction Account." All moneys received from the sale of the Bonds (except for accrued interest, if any, which shall be paid into the Bond Redemption Fund hereinafter created) and any moneys which the City may now have on hand or may later receive which are to be used for the purpose of paying part of the costs of acquiring, constructing and equipping the facilities described in Section 1, shall be paid into such Construction Account. The moneys in such Account shall be used for the purpose provided in this ordinance and, if necessary, for redeeming and retiring any warrants drawn thereon or for reimbursing any other fund or account of the City which may have been drawn upon to pay any part or all of the costs of acquisition, construction and equipping of the hereinbefore authorized improvements. -6- Section 7. There is hereby created a special fund of the City to be known as the "1975 Limited Tax Levy General Obligation Bond Redemption Fund," which Fund shall be drawn upon for the sole purpose of paying the principal of and interest on the Bonds. The City covenants and agrees for as long as any of the Bonds are outstanding and unpaid that each year it will include in its budget and cause to be levied annually a tax upon all the property within the City subject to taxation in an amount which, with other moneys of the City which may be legally used and which the City applies for such purposes, will be sufficient to pay the principal of and interest on the Bonds as the same shall become due. All of such taxes so collected and any of such other moneys shall be paid into the Bond Redemption Fund, and none of the moneys therein shall be used for any other purpose than the payment of the principal of and interest on the Bonds. The City hereby irrevocably pledges that the annual tax provided for herein to be levied for the payment of such principal and interest sahll be within and as a part of the tax levy permitted the City without a vote of the people and that a sufficient portion of each such annual tax to be levied and collected by the City prior to the full payment of the principal of and interest on the Bonds will be and is hereby irrevocably set aside, pledged and appropriated for the payment of the principal of and interest on the Bonds as aforesaid. The City has, pursuant to its Ordinance No. 163+, adopted February 19, 1974, provided for the levy of a special excise tax, as authorized by Chapter 236, Washington Laws of 1967, • as amended, and in particular, Section 11 of said Chapter 236, as amended. All revenue derived from such tax so levied is hereby irrevocably pledged to the payment of the principal of and interest on the Bonds, as such principal and interest shall -7- become due, and such tax revenue shall be applied to such purpose. • The full faith, credit and resources of the City are hereby pledged for the annual levy and collection of such taxes and to the prompt payment of the principal of and interest on the Bonds as the same shall become due. Section 8. The City Clerk is hereby authorized and directed to advertise the Bonds for sale in the manner required by law. Sealed bids for the purchase of said Bonds will be received by the City Clerk in the City Hall in Yakima, Washington, until 11:00 o'clock A.M. Pacific Daylight Time on May 19 , 1975, at which time said bids will be publicly opened, read and evaluated. Said bids will be considered and acted upon by the City Council at a regular meeting thereof to be held in the Council Chambers in the • City Hall at 3:00 o'clock P.M. Pacific Daylight Time on the same date. Upon the sale of the Bonds the proper City officials are hereby authorized and directed to do everything necessary for the prompt issuance, execution and delivery thereof and for the proper application and use of the proceeds of such sale. Section 9. The actual value of the taxable property within the City as ascertained by the last preceding assessment for City purposes is $481,622,938. The principal amount of existing nonvoted general obligation bond indebtedness of the City, including the principal amount of the Bonds, is $300,000. The princpal amount of existing voted general obligation bond indebtedness of the City is $5,285,000. Section 10. In order to permit the City to proceed with • the acquisition, construction and equipping of the improvements for which the Bonds are being issued as soon as possible, it is necessary that this ordinance become effective at the earliest possible date. For the above reasons and for the immediate -8- _ ' preservation of the public interest, welfare, peace, property, health and safety it is hereby found and declared that an emergency • exists and this ordinance shall become effective immediately upon its passage and approval and publication as required by law. PASSED by the Council of the City of Yakima, Washington, and approved by its Mayor at a regular meeting of said Council held this J9 day of , 1975. CITY OF YAKIMA, WASHINGTON B I, }� By F;! in• Mayor ATTEST: City C e APPROVED AS TO FORM: • s Ci Attorney • " -9-