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HomeMy WebLinkAboutORD 4173 CITY OF RENTON, WASHINGTON ORDINANCE N0. 4173 AN ORDINANCE of the City of Renton, Washington, providing for the submission to the voters of the City at a special election to be held therein on November 8 , 1988, in conjunction with the State general election to be held on the same date, of a proposition authorizing the City to incur indebtedness by issuing its general obligation bonds in a par amount not to exceed $5 , 500, 000 , payable by annual property tax levies to be made in excess of regular property tax levies, for the purpose of paying all or a part of the cost of providing housing for low-income elderly persons in the City by providing the Housing Authority of the City of Renton with part of the capital funds for the development of that housing under the Housing Cooperation Law and to levy those excess property taxes ; and authorizing an agreement with the Housing Authority of the City of Renton for that purpose. WHEREAS, there exists a severe shortage of safe, sanitary and affordable housing in the City of Renton, Washington, (the "City" ) for low-income elderly persons ; and WHEREAS, the Renton Housing Authority needs additional resources to provide that housing through development , acquisition, construction and rehabilitation of additional housing; and WHEREAS, the Housing Cooperation Law (Chapter 35 . 83 RCW) authorizes the City to supply financial assistance to the Renton Housing Authority; and WHEREAS, to provide that assistance, it is deemed necessary and advisable that the City issue its unlimited tax general obligation bonds in the principal amount of not to exceed $5 , 500 , 000; and ORDINANCE NO . 4173 WHEREAS, the Constitution and laws of the State of Washington require that the question of whether or not the City may issue unlimited tax general obligation bonds for that purpose must be submitted to the qualified electors of the City for their ratification or rejection; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DO ORDAIN as follows : SECTION I . As used herein, the following words shall have the following meanings : (a) "Bond" or "Bonds" means any or all of the general obligation bonds of the City issued pursuant to this ordinance, or any series of those bonds . (b) "City" means the City of Renton, Washington. (c) "Housing Authorities Law" means Chapter 35 . 82 RCW as now or hereafter amended. (d) "Housing Authority" means the Housing Authority of the City of Renton, Washington, body corporate and politic created pursuant to RCW 35 . 82 . 030 within the corporate limits of the City. (e) "Housing Cooperation Agreement" means an agreement or aqreements, or amendments thereto, between the City and the Housing Authority connected with the assistance contemplated in this ordinance. (f) "Housing Cooperation Law" means Chapter 35 . 83 RCW s now or hereafter amended. - 2 - ORDINANCE N0. 4173 (g) "Legislative Authority" means the Mayor and City Council of the City. (h) "Low-income Elderly Persons" means individuals qualifying as such under the requirements of the Housing Authority now existing or as duly amended. SECTION II . The City Council finds that there exists a critical shortage of Low-income Elderly Person housing in the City. The Housing Authority is unable to provide sufficient capital funds to provide that needed housing , and other existinq sources of funds for capital expenditures , including federal grants , and housing assistance programs are insufficient to meet fully the existing and projected need for that housing . Financial assistance to the Housing Authority in an amount not exceeding $5 , 500 , 000 would make it possible for the Housing Authority, together with its own resources , to provide 72 or more additional units of housing and related facilities serving these units for Low-income Elderly Persons within the City. Based upon the foregoing facts and findings , the City Council further finds that the public interest requires that the City assist tne Housing Authority in providing funds for the capital costs of acquiring and constructing such housing and related facilities . That assistance shall be provided in the manner hereinafter set forth and at the time or times deemed most necessary and advisable by the Legislative Authority of the City. The City Council further finds and declares that the expenditure of public funds and the acquisition of property or - 3 - ORDINANCE NO. 4173 property rights necessary for the development, acquisition, construction and equipping of housinq for Low-income Elderly Persons pursuant to this ordinance is for a public use and a public and strictly municipal purpose. SECTION III . The City shall aid and cooperate with the Housing Authority in the planning , undertaking, development, acquisition, rehabilitation, construction and equipping of housing, together with related facilities , for Low-income Elderly Persons within the City. The expenditure of the proceeds of the Bonds and the development , construction, rehabilitation, equipping and operation of the low-income elderly housing and related facilities shall be administered pursuant to a Housing Cooperation Agreement entered into pursuant to the Housing Cooperation Law (Chapter 35 . 83 RCW) to fund as necessary the capital costs of one or more housing projects for Low-income Elderly Persons to be developed, purchased, rehabilitated, constructed and equipped by the Housing Authority. The Legislative Authority of the City must approve the Housing Cooperation Agreement by ordinance . The Housing Cooperation Agreement shall contain criteria for projects to be developed, purchased, constructed, rehabilitated and equipped by the Housing Authority. The Housing Cooperation Agreement also shall establish a procedure for City review of proposed projects in accordance with such criteria and for disbursement of bond proceeds by the City Finance Director , and contain such other provisions as the - 4 - ORDINANCE NO. 4173 Legislative Authority of the City and the Housinq Authority agree are neceesary and appropriate to carry out the purposes of this ordinance . SECTION IV. The City shall borrow not to exceed $5 , 500 , 000 on the credit of the City and issue and sell its general obligation bonds in that par amount for strictly municipal capital purposes, other than the replacement of equipment, to provide the funds to provide housing for Low-income Elderly Persons by providing the Housing Authority with capital funds for the development of additional low-income elderly housing units and related facilities under the Housing Cooperation Law and pursuant to the Housing Cooperation Agreement (the "Project" ) . Costs of engineering, planning , financial , legal and other services lawfully incurred incident to the Project shall be appropriate capital costs to be paid from the proceeds of the Bonds . SECTION V. The Bonds shall be issued as a single issue, as a part of a combined issue with other authorized bonds , or in more than one series . The Bonds shall be fully registered; shall bear interest payable as permitted by law; shall mature within twenty years from their date or within any shorter period fixed by the City Council ; shall be paid by annual property tax levies sufficient in amount to pay both principal and interest when due, which annual property tax levies shall be made in excess of regular property tax levies without limitation as to rate or amount but only in amounts sufficient to pay both - 5 - ORDINANCE NO. 4173 principal and interest when due; and shall be issued and sold in the manner, at the times and in the amounts as shall be required for the Project . The exact date, form, terms, option of prior redemption, price, interest rate or rates and maturities of the Bonds shall be fixed hereafter by ordinance of the City Council . Pending the issuance of the Bonds and receipt of their proceeds, the City Council may authorize the issuance of short-term obligations pursuant to Chapter 39 . 50 RCW, and the costs of those short-term obligations shall be included in the cost of the Project for which the Bonds are issued. SECTION VI . The City Council finds that an emergency exists which requires constructing the facilities comprising the Project , and the Director of Records and Elections of King County, Washington, is requested to concur in tha� finding and to call and conduct a special election to be held in the City on November 8 , 1988, in conjunction with the State general election to be held on the same date, for the purpose of submitting to the qualified electors of the City for their approval the question of whether or not the City shall borrow not to exceed $5 , 500 , 000 , issue its general obligation bonds in that par amount for capital purposes only, other than replacement of equipment, and levy excess taxes necessary to redeem the Bonds as herein set forth. SECTION VII . The City Clerk is directed to certify to the Director of Records and Elections of King County, Washington, at least 45 days prior to the November 8 , 1988 , special election - 6 - ORDINANCE NO. 4173 date a copy of this ordinance and the proposition to be submitted at that special election in the form of a ballot title as follows : PROPOSITION LOW-INCOME HOUSING BONDS - $5 , 500, 000 Shall the City of Renton, Washington, borrow $5, 500 , 000 to pay costs of constructing, developing, rehabilitating , acquirinq and equipping low-income elderly housing and related facilities in the City in cooperation with the Renton Housing Authority by selling general obligation bonds therefor maturing within 20 years and levy annual excess property taxes necessary to pay and retire the bonds , as provided in Ordinance No . 4173? BONDS . . YES / / BONDS . . NO / / SECTION VIII . This ordinance shall be effective upon its passage, approval and five days after publication. PASSED BY THE CITY COUNCIL this 12th day of September , 1988 . . � Maxine E . Motor, City Clerk APPROVED BY THE MAYOR this 12th day of September , 1988 . �..`.� �C. .\)�� u. n�1� Q ,^�,, E�drY"�me r, Ma r Approved as to form: '�,_J - � a Date of Publication: September 16 , 1988 2 3 0 4 r - 7 -