ORD 83-08 LOCAL IMPROVEMENT DISTRICT NO. 6 BONDSCITY OF WINSLOW, WASHINGTON
ORDINANCE NO. 83-08
AN ORDINANCE relating to Local Improvement
District No. 6; fixing the amount, form, date,
interest rates, maturity and denominations of Local
Improvement District No. 6 Bonds; providing for the
delivery and sale thereof to Hatper, McLean & Company
of Seattle, Washington; and fixing the interest rate
on special assessment installments to be paid in
Local Improvement District No. 6.
THE CITY COUNCIL OF THE CITY OF WINSLOW, WASHINGTON, DO
ORDAIN as follows:
Section 1. The total amount of the assessment roll in
Local Improvement District No. 6 (the "District") in the City of
Winslow, Washington (the "City"), created under Ordinance No.
79-20 passed August 20, 1979, was $246,069.14. The 30-day
period for making cash payments of assessments without interest
in the District expired on July 15, 1983, and no assessments
were prepaid, leaving a balance of assessments unpaid on the
assessment roll in the sum of $246,069.14. Local improvement
district bonds of the District shall, therefore, be issued in
the total principal sum of $246,069.14. The Bonds shall be
dated August 15, 1983, shall be payable on August 15, 2005, and
shall be numbered from 1 to 50, inclusive, in the manner and
with any additional designation as the Bond Registrar (collec-
tively, the fiscal agencies of the State of Washington located
in Seattle, Washington, or New York, New York) deems necessary
for the purpose of identification. Bond No. 1 shall be in the
denomination of $1,069.14 and Bonds Nos. 2 to 50, inclusive,
shall be in the denomination of $5,000.00 each. Interest shall
be computed on the basis of a 360-day year of twelve 30-day
months. The bonds shall bear interest payable annually begin-
ning on August 15, 1984, in accordance with the following
schedule:
Bond Numbers
(Inclusive)
Interest
Rates
1 to 14 10.50%
15 to 19 10.625
20 to 25 10.75
26 to 30 11.10
31 to 39 11.20
40 to 50 11.30
The Bonds shall be issued only in registered form as to
both principal and interest on books or records maintained by
the Bond Registrar (the 'Bond Register'). Such Bond Register
shall contain the name and mailing address of the owner of each
Bond or nominee of such owner and the principal amount and
number of Bonds held by each owner or nominee.
Bonds may be transferred only if endorsed in the manner
provided thereon and surrendered to the Bond Registrar. The
transfer of a Bond shall be by the Bond Registrar's receiving
the Bond to be transferred. cancelling it and issuing a new
certificate in the form of the Bonds to the transferee after
registering the name and address of the transferee on the Bond
Register. The new certificate shall bear the same Bond number
as the transferred Bond but may have a different inventory
reference number or control number. Such exchange or transfer
shall be without cost to the owner or transferee.
Both principal of and interest on the Bonds shall be
payable solely out of the Bond Fund and from the Local Improve-
ment Guaranty Fund of the City. and shall be payable in lawful
money of the United States of America. Interest on the Bonds
shall be paid by check or draft mailed to the registered owners
or nominees at the addresses appearing on the Bond Register on
th~ last business day of the month preceding the interest
payment date. Principal of the Bonds shall be payable upon
presentation and surrender of the Bonds by the registered owners
at the principal offices of either of the fiscal agencies of the
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State of Washington in Seattle. Washington. and New York, New
York. at the option of such owners.
The City reserves the right to redeem the Bonds prior to
their stated maturity on any interest payment date, in numerical
order. lowest numbers first, whenever there shall be sufficient
money in the Bond Fund to pay the Bonds so called and all
earlier numbered Bonds over and above the amount required for
the payment of the interest on all unpaid Bonds, by mailing, not
less than 30 nor more than 60 days prior to the date fixed for
redemption. notice of such redemption by first class mail,
postage prepaid. to the registered owner of any Bond to be
redeemed at the address appearing on the Bond Register. The
requirements of this section shall be deemed to be complied with
when notice is mailed as herein provided whether or not it is
actually received by the owner of any Bonds. The interest on
the Bonds so called for redemption shall cease on the date fixed
for redemption unless such Bond or Bonds so called are not
redeemed upon presentation made pursuant to such call.
Section 2. The Bonds and coupons shall be printed, litho-
graphed or typed on good bond paper in a form consistent with
the provisions of this ordinance and state law, shall be signed
by the Mayor and attested by the City Clerk-Treasurer, both of
whose signatures shall be in facsimile, and shall have a fac-
simile reproduction of the seal of the City printed thereon.
Only such Bonds as shall bear thereon a Certificate of
Authentication in the following form, manually executed by the
Bond Registrar, shall be valid or obligatory for any purpose or
entitled to the benefits of this ordinance:
CERTIFICATE OF AUTHENTICATION
This bond is one of the fully registered bonds
described in the within mentioned ordinance and is one
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of the City of Winslow. Washington, Local Improvement
District No. 6 Bonds.
[Name of Bond Registrar]
By _
Authorized Officer
Such Certificate of Authentication shall be conclusive evidence
that the Bonds so authenticated have been duly executed, authen-
ticated and delivered hereunder and are entitled to the benefits
of this ordinance.
In case either of the officers who shall have executed the
Bonds shall cease to be such officer or officers of the City
before the Bonds so signed shall have been authenticated or
delivered by the Bond Registrar, or issued by the City, such
Bonds may nevertheless be authenticated, delivered and issued
and upon such authentication, delivery and issue, shall be as
binding upon the City as though those who signed the same had
continued to be such officers of the City. Any Bond may also be
signed and attested on behalf of the City by such persons as at
the actual date of execution of such Bond shall be proper
officers of the City although at the original date of such Bond
any such person shall not have been such officer of the City.
Section 3. The Bond Registrar shall keep, or cause to be
kept, at its principal corporate trust office, sufficient books
for the registration and transfer of the Bonds, which shall at
all times be open to inspection by the City. The Bond Registrar
is authorized, on behalf of the City, to authenticate and
deliver Bonds transferred or exchanged in accordance with the
provisions of such Bonds and this ordinance and to carry out all
of the Bond Registrar's powers and duties under this ordinance.
The Bond Registrar shall be responsible for its representa-
tions contained in the Registrar's Certificate of Authentication
on the Bonds. The Bond Registrar may become the owner of Bonds
with the same rights it would have if it were not the Bond
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Registrar, and to the extent permitted by law, may act as
depository for and permit any of its officers or directors to
act as a member of, or in any other capacity with respect to,
any committee formed to protect the rights of Bond owners.
Section 4. The Bonds shall be negotiable instruments to
the extent provided by RCW 62A.8-102 and 62A.8-105.
Section 5. The City covenants that it will spend the
principal proceeds of the Bonds with due diligence to completion
of the purposes specified in this ordinance and will make no use
of the proceeds of the Bonds or other funds of the City at any
time during the term of the Bonds which, if such use had been
reasonably expected at the date the Bonds are issued, would have
caused the Bonds to be arbitrage bonds within the meaning of
Section 103(c) of the United States Internal Revenue Code of
1954, as amended, and the applicable regulations promulgated
thereunder.
The City further covenants that on or before December 31,
1984, it will have deposited into its Local Improvement Guaranty
Fund sufficient money so that the total amount deposited in that
fund (including investments therein), and maintained therein
thereafter, shall be equal at least to 7% of all outstanding
obligations against that fund.
Section 6. Hatper, McLean & Company in Seattle,
Washington, has submitted an offer to purchase all of the Bonds
at a price of par. plus accrued interest from the date of the
Bonds to the date of their delivery to the purchaser, the City
to furnish the printed Bonds and the approving legal opinion of
Roberts & Shefelman, municipal bond counsel of Seattle,
Washington, at the Clty's expense. Bond counsel shall not be
required to review or express any opinion concerning the com-
pleteness or accuracy of any official statement, offering
circular or other sales material issued or used in connection
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with the Bonds, and bond counsel's opinion shall so state. The
City Council. deeming that it is in the best interest of the
City that such offer be accepted. accepts the same. The Bonds
shall. therefore. immediately upon their execution. be delivered
to Harper. McLean & Company in Seattle. Washington. upon payment
therefor in accordance with such offer.
Section 7. The interest rate on the installments and
delinquent payments of the special assessments in Local Improve-
ment District No. 6 is revised and fixed at the rate of 11.08%
per annum. which is one-half of one percent more than the
interest rate for the Bonds.
PASSED by the City Council and APPROVED by the Mayor of the
City of Winslow. Washington. this 28th day of July. 1983. at a
special open public meeting. notice thereof having been given as
required by law.
ATTEST:
APPROVED AS TO FORM:
' Mayor
City Attorney
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