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RES 2006-37 BUDGET FOR SEWER FACILITIES/LOCAL IMPROVEMENT DIST. 20RESOLUTION NO. 2006-37 A RESOLUTION of the City Council of the City of Bainbridge Island, Washington, directing the inclusion in the amount to be assessed on the Final Assessment Roll for Local Improvement District No. 20 of the City of the sum of $500,000 as a Legal Defense Contingency Fund and declaring its intention to consider the possible reduction of assessments in such Local Improvement District if the Legal Defense Contingency Fund included on the Final Assessment Roll is determined not to be needed after the statutory period permitted for filing appeals from final assessments in that Local Improverrient District has expired and after any such appeals have been resolved. WHEREAS, the Final Assessment Roll for Local Improvement District No. 20 ("LID No. 20") which was created and established by Ordinance No. 2003-38 for the purpose of impr)ving four neighborhoods and an elementary school site by the acquisition, construction and connection of sanitary sewer facilities, all in accordance with Resolution No. 2003-38 of the City Council, is being prepared as provided by law and in due course will be on file with the City Clerl: at City Hall in anticipation of a Final Assessment Roll Hearing, the time and place of which shall be set by City Resolution No. 2006-36; and WHEREAS, the City Council is of the opinion that a Legal Defense Contingency Fund in th,, amount of $500,000 should be included in the project costs on such Final Assessment Roll because of concern that there may be, objections to assessments and that expensive and time- consuming administrative proceedings and litigation challenging final assessments may occur during the assessment process, which might result in the reduction of one or more assessments by court order or agreed settlement, and the City Council wishes to protect the City from that finar.cial exposure and risk; and WHEREAS, all the Legal Defense Contingency Fund may not be needed if no litigation is commenced within the time and in the manner provided by law for challenging any final assessments; now, therefore, BE IT RESOLVED BY THE; CITY COUNCIL OF THE CITY OF BAINBRIDGE ISLiLND, WASHINGTON, AS FOLLOWS: Section 1. There shall be added to and included in the amount to be assessed on the Final Assessment Roll for LID No. 2.0 the sum of $500,000 as a Legal Defense Contingency Fund to be used to pay costs of defending against objections to or appeals from final assessments in LID No. 20, or to make up any, reductions of assessments resulting from court orders or agreed settlements. Section 2. The City Council declares its intention to consider the possibility of reducing the amount of the Final Assessment Roll for LID No. 20, and reducing proportionately all or the individual assessments appearing thereon in a total amount of up to $500,000, if the Legal Defense Contingency Fund included on the Final Assessment Roll is found and determined by the City Council not to be needed for lawful purposes of LID No. 20, including those purposes set forth in Section 1 above, after expiration of the statutory period permitted for the commencement of appeals to the Superior Court from assessments in LID No. 20, and after any such appeals have been resolved. The foregoing Resolution was ADOPTED by the City Council of the City of Bainbridge Island, Washington, at a regular open public meeting thereof on the 9th day of August, 2006. i Darlene Kordonowy, Ma}(or,,) 5068797:A 2 ATTEST/AUTHENTICATE: (Rosalind D. Lassoff, Interim City Clcrk ] ORNI APPROVED: ]Paul ?ACMurray, City Attoluney EILEJ WITH THE CITY CLfRK_: August 2, 2006 PASSED I3Y THE CITY COUNCIL: August 9, 2006 PUBLISHED: RESOLUTION NO.: 2006-37 �IIfi%7y75 I 3 CERTIFICATION I, the undersigned, City Clerk of the City of Bainbridge Island, Washington, hereby certi:y as follows: 1. The attached copy of Resolution No. 2006-37 (the "Resolution") is a full, true and correct copy of the Resolution duly adopted at a regular meeting of the City Council held at the regular meeting place thereof on August 9, 2006, as the Resolution appears on the minute book of the City; and the Resolution is now in full force and effect. 2. A quorum of the members of the City Council was present throughout the rneeting and a majority of those members present voted in the proper manner for the adoption of the Resolution. IN WITNESS WHEREOF, I have hereunto set my hand this %-�, day of August, 2006. PA ROSALIND D. LASSOFP, Interim City Clerk 5068797:.1