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HomeMy WebLinkAboutORD 3729 Amended by. Ordinance #3734 Amended by ORD #4417 CITY OF RENTON, WASHINGTON ORDINANCE NO. 3729 AN ORDINANCE of the City of Renton, Washington, providing for the issuance of $7, 140,000 principal amount of "Unlimited Tax General Obligation Refunding Bonds, 1983 , " for the purpose of providing the funds to refund, pay and retire the outstanding "Unlimited Tax General Obligation Park Bonds, 1980, Series A, " and the outstanding "Unlimited Tax General Obligation Park Bonds, 1982, Series B, " of the City; fixing the date, form, denomination, interest rates, maturities, terms and covenants of such bonds; creating a special refunding fund to provide for the refunding opera- tion; providing for and authorizing the purchase of certain obligations out of the proceeds of the sale of such bonds and for the use and application of the money to be derived from such investment; authorizing the execution of an agreement with Peoples National Bank of Seattle. Washington, as Refunding Trustee; providing for the payment and redemption of the outstanding bonds to be refunded; and providing for the sale and delivery of such bonds to Seattle- Northwest Securities Corporation of Seattle, Washington. WHEREAS, pursuant to Ordinance No. 3399, as amended by Ordinance No. 3404, the City of Renton, Washington (the "City" ) , issued $6,000,000 par value of its "Unlimited Tax General Obligation Park Bonds, 1980, Series A" (the "1980 Bonds" ) , dated May 1, 1980; and WHEREAS, pursuant to Ordinance No. 3619, the City issued $1, 825, 000 par value of its "Unlimited Tax General Obligation Park Bonds, 1982, Series B" (the "1982 Bonds" ) . dated May 1, 1982; and WHEREAS, there are presently outstanding $5,705,000 par value of 1980 Bonds maturing serially on May 1 in each of the ears 1984 Y through 2000, and bearing interest at various rates from 7 .75% to 9 .75% per annum, and, as provided in Ordinance No. 3399, as amended by Ordinance No. 3404, the City reserved the right to redeem the 1980 Bonds as a whole, or in part in inverse numerical order, on May 1, 1990, or on any semiannual interest payment date thereafter, at par plus accrued interest; and WHEREAS, there are presently outstanding $1, 825,000 par value of 1982 Bonds maturing serially on May 1 in each of the years 1984 through 2002, and bearing interest at various rates from 11.25% to 13 .75% per annum, and, as provided in Ordinance No. 3619, the City reserved the right to redeem the 1982 Bonds as a whole, or in part in inverse numerical order, on May 1, 1992, or on any semiannual interest payment date thereafter, at the following percentages of par if called on the following dates, plus accrued interest: Call Dates Call Prices On May 1, 1992, or November 1, 1992 101.0% On May 1, 1993, or November 1, 1993 100. 5% On May 1, 1994 and thereafter 100.0% and WHEREAS, after due consideration, it appears to the City Council that the outstanding 1980 Bonds and 1982 Bonds maybe refunded by the issuance and sale of the unlimited tax general obligation refunding bonds authorized herein (the "Bonds",-) so that a substantial saving will be effected by the diffez%nce:,- between the principal and interest cost over the life offthe Bonds and the principal and interest cost over the life of the- 2 - outstanding 1980 Bonds and 1982 Bonds but for such refunding, which refunding will be effected by: (a) The issuance of the Bonds; (b) The payment of the principal of and inter- est on the 1980 Bonds as the same shall become due up to and including May 1, 2000; and (c) The payment of the principal of and inter- est on the 1982 Bonds as the same shall become due up to and including May 1, 1992, and the redemption and retirement on May 1, 1992, of all outstanding 1982 Bonds matur- ing on May 1 of each of the years 1993 through 2002; and WHEREAS, in order to effect such refunding in the manner that will be most advantageous to the City and its taxpayers, it is found necessary and advisable that certain "Acquired Obliga- tions" (hereinafter identified) , bearing interest and maturing at such time or times as necessary to accomplish the refunding as aforesaid, be purchased out of the proceeds of the sale of the Bonds and other money of the City legally available there- for; and WHEREAS, Seattle-Northwest Securities Corporation has offered to purchase such Bonds under the terms and conditions hereinafter set forth in the form of a purchase contract; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON. DO ORDAIN, as follows : Section 1 . For the purpose of providing a part -of the money required to: 3 - (a) Pay the principal of and interest on the 1980 Bonds as the same shall become due up to and including May 1, 2000; and (b) Pay the principal of and interest on the 1982 Bonds as the same shall become due up to and including May 1, 1992, and to redeem and retire on May 1, 1992, all outstanding 1982 Bonds maturing on May 1 of each of the years 1993 through 2002, the City shall issue the Bonds in the aggregate principal amount of $7, 140.000. The Bonds shall be designated "Unlimited Tax General Obligation Refunding Bonds, 1983 " of the City; shall be dated June 1, 1983; shall be in the denomination of $5,000 each; shall be numbered from 1 to 1428, inclusive; and shall bear interest at the rates set forth below, payable on May 1, 1984 , and semiannually thereafter on. each succeeding November 1 and May 1, as evidenced by coupons to be attached to the Bonds representing interest to maturity. If any Bond is not redeemed upon proper presentment at its maturity or call date thereof, the City shall be obligated to pay interest at the coupon rate for each such Bond from and after the maturity or call date until such Bond, both principal and interest, shall have been paid in full or until sufficient money for such payment in full is on deposit in the "Unlimited Tax General Obligation Refunding Bond Fund, 1983" (the "Bond Fund" ) , hereinafter created and such Bond has been duly called for payment by the City Director of Finance ' s publishing notice of such call once at least ten days prior to the call date in the official newspaper of the City or, if there is no official newspaper, in a newspaper of general circulation in the City. Both principal of and interest on the 4 - r Bonds are to be paid in lawful money of the United States of America, which at the time of payment shall be legal tender for the payment of public and private debts, at the office of the Director of Finance of the City, or, at the option of the holder, at either fiscal agency of the State of Washington in Seattle. Washington, or New York, New York. The Bonds shall bear interest and mature on May 1 of each year in accordance with the following schedule: Bond Numbers Interest Maturity (Inclusive) Amounts Rates Years 1 to 50 $250,000 6.00% 1984 51 to 93 215,000 6.50% 1985 94 to 137 220,000 7.00% 1986 138 to 184 235,000 7.50% 1987 185 to 233 245,000 8 .00% 1988 234 to 287 . 270,000 8 .25% 1989 288 to 345 290,000 8 . 50% 1990 346 to 408 315,000 8 .75% 1991 409 to 477 345,000 9.00% 1992 478 to 551 370, 000 9.20% 1993 552 to 634 415,000 9.40% 1994 635 to 725 455,000 9. 50% 1995 726 to 826 505, 000 9.60% 1996 827 to 937 555,000 9 .70% 1997 938 to 1062 625,000 9 .75% 1998 1063 to 1197 675,000 9.80% 1999 1198 to 1348 755,000 9.90% 2000 1349 to 1386 190,000 9.95% 2001 1387 to 1428 210,000 10.00% 2002 The City reserves the right to redeem any or all of the Bonds prior to their stated maturity dates as a whole, or in part in inverse numerical order, on May 1, 1993, or any semi- annual interest payment date thereafter at par plus accrued interest to date of redemption. 5 - Notice of such intended redemption shall be published in the official newspaper of the City or, if there is no official newspaper, in a newspaper of general circulation in the City, at least once not less than 30 nor more than 45 days prior to the call date, and a copy of such notice shall be mailed within the same period by registered or certified mail to Seattle-Northwest Securities Corporation in Seattle, Washington, or its succes- sor . In addition, such redemption notice shall be sent to Moody' s Investors Service, Inc. , and Standard & Poor ' s Corpora- tion at their offices in New York, New York, but the mailing of such notice to such New York firms shall not be a condition precedent to the redemption of such Bonds. Interest on any Bonds so called for redemption shall cease on such call date upon payment of the redemption price into the Bond Fund . The City further reserves the right to purchase any or all of the Bonds in the open market at any time at a price not in excess of par plus accrued interest to date of purchase. Section 2 . The City pledges irrevocably to levy taxes annually without limitation as to rate or amount on all property In the City subject to taxation in an amount sufficient, together with other money legally available and to be used therefor, to pay the principal of and interest on the Bonds as the same shall become due, and the full faith, credit and resources of the City are pledged irrevocably for the payment of the principal of and interest on such Bonds . 6 - Section 3 . The City covenants that it will make no use of the proceeds of the Bonds or of its other money at any time during the term of the Bonds which will cause 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 applicable regulations promulgated thereunder . Section 4 . The Bonds and coupons shall be printed or lithographed on good bond paper in a form consistent with the provisions of this ordinance. The Bonds shall be signed by the facsimile signature of the Mayor, attested by the manual signa- ture of the City Clerk, and a facsimile reproduction of the seal of the City shall be printed thereon, and the .coupons shall bear the facsimile signatures of the Mayor and the City Clerk. Section 5 . The Bond Fund is created and established in the office of the Director of Finance of the City. The accrued interest received, if any, upon the sale and delivery of the Bonds shall be paid into the Bond Fund. All taxes collected for and allocated to the payment of the principal of and interest on the Bonds hereafter shall be deposited in the Bond Fund. Section 6 . There is created and established in the office of the Director of Finance of the City a special fund to be known and designated as the 01983 Unlimited Tax Bonds Refunding Fund" (the "Refunding Fund" ) . Immediately upon receipt of payment in full for the Bonds, the accrued interest received shall be deposited in the Bond Fund and the principal proceeds shall be deposited in the Refunding Fund. The funds in the 7 - Refunding Fund shall be used immediately upon receipt thereof to discharge the obligations of the City under the respective bond ordinances authorizing the issuance of the 1980 Bonds and 1982 Bonds by providing for the payment of the principal of and interest on the 1980 Bonds and 1982 Bonds as hereinafter set forth. To the extent practicable the City shall discharge such obligations by the purchase of United States Treasury Certifi- cates of Indebtedness, Notes and Bonds, State and Local Govern- ment Series and other obligations of the United States of America ( "Acquired Obligations" ) bearing such interest and maturing as to principal and interest in such amounts and at such times as to provide for : (a) The payment of the principal of and inter- est on the 1980 Bonds as the same shall become due up to and including May 1, 2000; and (b) The payment of the principal of and inter- est on the 1982 Bonds as the same shall become due up to and including May 1, 1992, and the redemption and retirement on May 1, 1992, of all outstanding 1982 Bonds matur- ing on May 1 of each of the years 1993 through 2002; The Acquired Obligations are more particularly described in the purchase contract entered into between Seattle-Northwest Securities Corporation and the City on June 13, 1983, and are set forth in Schedule A attached to the Refunding Trust Agreement. 8 - The Acquired Obligations and a beginning cash balance of $100.00 shall be deposited irrevocably with the Peoples National Bank of Seattle, Washington (the "Refunding Trustee" ) . Any amounts described in this section which are not provided for in full by the purchase and deposit of the Acquired Obligations shall be provided for by the irrevocable deposit of a portion of the proceeds of the sale of the Bonds or other money of the City with the Refunding Trustee. All the money received as principal of or interest on the Acquired Obligations shall be held by the Refunding Trustee for the credit of the City and the Refunding Fund shall be held in trust and shall be used for the sole purpose of paying the 1980 Bonds and 1982 Bonds as aforesaid . Any money remaining in the Refunding Fund after the payment and retirement in full of the 1980 Bonds and 1982 Bonds as aforesaid shall be transferred and paid into the Bond Fund. All of the Acquired Obligations purchased as a part of the refunding plan are dedicated irrevocably to the purpose set forth in this ordinance, and such investments or the earnings or the proceeds therefrom may be used for no other purpose, nor may any of such investments be liquidated prior to maturity, except that the City reserves the right to substitute other direct United States obligations for any of the Acquired Obligations and to use any savings created thereby for any lawful City purpose if, in the opinion of Roberts & Shefelman, bond counsel to the City, the Bonds will remain exempt from federal income taxation under 9 - Section 103(c) of the Internal Revenue Code of 1954, as amended, and applicable regulations thereunder, and if such substitution shall not impair the timely payment of principal of or interest on the 1980 Bonds and 1982 Bonds . Section 7 . The City irrevocably calls for redemption all of. the outstanding 1982 Bonds on May 1, 1992, at 101%of par plus accrued interest . Such call . for redemption shall be irrevo- cable after the delivery of the definitive Bonds to the initial purchaser thereof . The Refunding Trustee, on behalf of the Director of Finance of the City, is authorized and directed to give notice of the redemption of the 1982 Bonds in accordance with the provisions of Ordinance No. 3619 and in such bonds . All necessary and proper fees, compensation and expenses of the Refunding Trustee for the Bonds and all other costs inci- dental to the setting up of the escrow to accomplish the refund- ing of the 1980 Bonds and 1982 Bonds and the costs relating to the issuance and delivery of the Bonds, including bond printing, the premium for MBIA insurance, if purchased, bond counsel ' s fee and other related expenses shall be paid out of the principal proceeds of the Bonds. The proper officers and agents of the City are directed to enter into a Refunding Trust Agreement with the Refunding Trustee setting . forth the duties, obligations and responsibilities of the Refunding Trustee in connection with the redemption and retirement of the 1980 Bonds and 1982 Bonds as provided herein and stating that such provisions and payment of 10 - the fees, compensation and expenses of such refunding trustee are satisfactory to it . In order to carry out the purposes of this ordinance, the Mayor, or her designee, and City Clerk of the City are author- ized and directed to execute a Refunding Trust Agreement and deliver it to the Refunding Trustee Section 8 . In the event that money and/or Government Obligations, as such obligations are defined in Chapter 39.53 RCW, as now or hereafter amended, maturing at such time or times and bearing interest to be earned thereon in amounts (together with such money, if necessary) sufficient to redeem and retire the Bonds in accordance with their terms, are set aside in a special fund to effect such redemption and retirement, and such money and the principal of and interest on such Government Obligations are set aside and pledged irrevocably for such purpose, then no further payments need be made into the Bond Fund for the payment of the principal of and interest on the Bonds, and the Bonds and the coupons appurtenant thereto shall cease to be entitled to any lien, benefit or security of this resolution except the right to receive the money so set aside and pledged, and the Bonds and such coupons shall be deemed not to be outstanding hereunder . Section 9. The City Council finds and determines that the issuance and sale of the Bonds at this time will effect a saving to the City and its taxpayers and is in the best interest of the City and in the public interest. In making such finding and - 11 - determination, the City Council has given consideration to the fixed maturities of the Bonds and the 1980 Bonds and 1982 Bonds refunded, the costs of issuance of the Bonds and the known earned income from the investment of the proceeds of sale of the Bonds and other money of the City used in the refunding plan pending redemption of the 1980 Bonds and 1982 Bonds . The City Council further finds and determines that the money and Acquired Obligations to be deposited with the Refund- ing Trustee for the 1980 Bonds and 1982 Bonds in accordance with Section 6 of this resolution will discharge and satisfy the obligations of the City under Ordinance No. 3399, as amended by Ordinance No. 3404 , with respect to the 1980 Bonds and Ordinance No. 3619 with respect to the 1982 Bonds, and the pledges, charges, trusts, covenants and agreements of the City therein made or provided for as to such 1980 Bonds and 1982 Bonds and that the 1980 Bonds and 1982 Bonds shall no longer be deemed to be outstanding under Ordinance No. 3399, as amended by Ordinance No. 3404 and Ordinance No. 3619 immediately upon the deposit of such money and Acquired Obligations with the Refunding Trustee. Section 10. Seattle-Northwest Securities Corporation of Seattle, Washington, has submitted its written offer in the form of a purchase contract whereunder such purchaser agrees to purchase the Bonds under the terms and conditions as provided in such purchase contract and to purchase on behalf of the City the Acquired Obligations at the prices specified in Schedule A of Exhibit A, which written purchase contract is on file with the 12 - City Clerk and is incorporated herein by this reference. The City Council is of the opinion that it is in the best interests of the City to accept such offer and such offer is accepted and the City officials are authorized and directed to execute such purchase contract . The Bonds will be printed at City expense and will be delivered to the purchaser in accordance with its purchase offer with the approving legal opinion of Roberts & Shefelman, muni- cipal bond counsel, of Seattle, Washington, relative to the issuance of the Bonds, printed on each bond. Bond counsel shall not be required to review or express any opinion concerning the completeness or accuracy of any official statement, offering circular or other sales material issued or used in connection with the Bonds and bond counsel ' s opinion shall so state. The proper City officials are authorized and directed to do everything necessary for the prompt execution and delivery of the Bonds to the purchaser and for the proper application and use of the proceeds of the sale thereof . Section 11. Pending the printing, execution and delivery to the purchaser of the definitive Bonds, the City may cause to be executed and delivered to such purchaser a single temporary Bond in the principal amount of $7, 140,000. Such temporary Bond shall bear the same date of issuance, interest rates, principal payment dates and terms and covenants as the definitive Bonds, and shall be issued as a fully registered bond in the name of such purchaser, and shall be in such form as acceptable to such - 13 - purchaser. Such temporary Bond shall be exchanged for or the definitive Bonds as soon as the same are printed, executed and available for delivery. If the Acquired Obligations are not acquired by the Refunding Trustee and the definitive Bonds are not ready for exchange and delivery within 45 days from the date of delivery of the temporary Bond, such temporary Bond shall be Immediately retired at the original purchase price therefor plus accrued interest from money in the Refunding Fund. PASSED by the City Council this 13th day of June, 1983 . MAXINE E. MOTOR, City Clerk APPROVED BY THE MAYOR this 13th day of June, 1983 . BARBARA Y. S INPOCH; Mayor Approved as to form: Ci ttorney Date of Publication: June 17, 1983 14 - EXHIBIT A REFUNDING TRUST AGREEMENT THIS AGREEMENT made and entered into as of the 13th day of June, 1983, by and between the CITY OF RENTON, WASHINGTON, a municipal corporation of the State of Washington (the "City' ) , and PEOPLES NATIONAL BANK, Seattle, Washington (the "Refunding Trustee" ) : W I T N E S S E T H• Section 1. Recitals . The City now has outstanding the following bonds : (a) $5,705,000 principal amount of its "Unlimited Tax General Obligation Park Bonds, 1980, Series A, " issued under date of May 1, 1980 (the "1980 Bonds" ) , which 1980 Bonds mature serially on May 1 of each of the years 1984 through 2000, and bear interest at various rates from 7.75% to 9.75%; and (b) $1, 825,000 principal amount of its "Unlimited Tax General Obligation Park Bonds, 1982, Series B, " issued under date of May 1, 1982 (the "1982 Bonds" ) , which 1982 Bonds mature serially on May 1 of each of the years 1984 through 2002, and bear interest at various rates from 11 .25% to 13 .75%. (The 1980 Bonds and 1982 Bonds are sometimes hereinafter collec- tively referred to as the "Outstanding Bonds. " ) Pursuant to Ordinance No. ; 3729 (the "Refunding Bond Ordinance" ) passed by the City Council of the City on June 13th .1983, the City has determined to: (a) Pay the principal of and interest on the 1980 Bonds as the same shall become due up to and Including May 1, 2000; and (b) Pay the principal of and interest on the 1982 Bonds as the same shall become due up to and including May 1, 1992, and to redeem and retire on May 1, 1992, all outstanding 1982 Bonds maturing on May 1 of each of the years 1993 through 2002, out of the proceeds of the sale of its "Unlimited Tax General Obligation Refunding Bonds, 1983" (the "Refunding Bonds" ) , and other money of the City legally available therefor . Section 2 . Provisions for Refunding. To accomplish the refunding of all of the Outstanding Bonds in the manner herein- after set forth in this section, the City, simultaneously with the delivery of the Refunding Bonds issued pursuant to the Refunding Bond Ordinance, irrevocably agrees to deposit with the Refunding Trustee in trust for the security and benefit of the holders and owners of the Outstanding Bonds to be refunded and the Refunding Bonds, the sum of $100.00 in cash, and certain securities, which securities hereinafter are referred to as "Acquired Obligations, " of the types and with amounts, interest rates and maturities as more particularly set forth in Schedule A attached to this Agreement and by this reference incorporated herein. Such cash and Acquired Obligations, together with the investment income therefrom, will be sufficient to provide the funds to: (a) Pay the principal of and interest on the 1980 Bonds as the same shall become due up to and including May 1, 2000; and (b) Pay the principal of and interest on the 1982 Bonds as the same shall become due up to and including May 1, 1992, and to redeem and retire on May 1, 1992, all outstanding 1982 Bonds maturing on May 1 of each of the years 1993 through 2002, 2 - The City reserves the right to substitute other direct United States obligations for any of the Acquired Obligations if, in the opinion of Roberts & Shefelman, bond counsel to the City, the Refunding Bonds will remain exempt from Federal income taxation under Section 103(c) of the Internal Revenue Code of 1954, as amended, and applicable regulations thereunder, and if such substitution shall not impair the timely payment of the principal of or interest on the Outstanding Bonds . Section 3 . Provisions Applicable to Refundiny. On or before the delivery of the Refunding Bonds, the City agrees that it will cause to be delivered to the Refunding Trustee a state- ment setting forth the amount of interest and principal to be paid on each semiannual interest payment date on all of the Outstanding Bonds to be paid and refunded as hereinbefore set forth, up through the call date of the 1982 Bonds to be called prior to maturity as aforesaid and the amount of principal required to pay and redeem the 1980 Bonds up through their final maturity date and the 1982 Bonds to be called prior to maturity on their call date. The City by the Refunding Bond Ordinance has called for redemption or repayment all of the 1982 Bonds to be called on the indicated call date as above set forth. Such call for redemption or prepayment shall be irrevocable upon the delivery of the definitive Refunding Bonds. The Refunding Trustee, on behalf of the City Director of Finance, shall provide for 3 - publication and mailing of the proper notices of such redemption or prepayment in accordance with the applicable provisions of Ordinance No. 3619 and in the 1982 Bonds. The cost of such publication and mailing is included in the fee of the Refunding Trustee. Provision for giving of such notices of redemption or prepayment has been made irrevocably by the City. Section 4 . Disbursements by Refunding Trustee. The Refunding Trustee shall present for payment on the due date thereof the Acquired Obligations so deposited and shall apply the proceeds derived therefrom in accordance with the provisions Of this section. Money shall be transferred by the Refunding Trustee to the City Finance Director in amounts sufficient and in time to pay the principal of and interest on the Outstanding Bonds coming due on or before each respective payment date and the redemption price to be payable with respect to the Outstanding Bonds on their call dates as aforesaid. Section 5 . Non-reinvestment of Funds; Custody and Safe- keeping of "Acquired Obligations" . All money deposited with. the Refunding Trustee or received by the Refunding Trustee as matur- ing principal or interest on the Acquired Obligations prior to the time required to make the payments hereinbefore set forth shall be held by the Refunding Trustee and shall not be rein- vested, unless with such reinvestment the Refunding Bonds will remain exempt from federal income taxation. 4 - All income derived from the Acquired Obligations and any money deposited with the Refunding Trustee (which money is not required to make the payments hereinbefore required to be made) shall be paid to the City Finance Director for the credit of the "Unlimited Tax General Obligation Bond Fund, 1983" (the "Bond Fund" ) , as and when realized and collected for use and applica- tion as other money deposited in the Bond Fund. For as long as any of the Outstanding Bonds is outstanding, on or before the 10th day of each month, commencing with the month of August, 1983, the Refunding Trustee shall render a statement as of the last day of the preceding month to the City Finance Director, which statement shall set forth the Acquired Obligations which have matured and the amounts received by the Refunding Trustee by reason of such maturity, the investment income received, and the amounts paid to the City Finance Director for credit to the "1983 Unlimited Tax Bonds Refunding Fund" (the "Refunding Fund" ) created and established by the Refunding Bond Ordinance, and the dates of such payment, for the payment of the maturing principal of and interest on the Outstanding Bonds as the same shall become due and payable, and the final payment of the redemption price therefor on the call date for the 1982 Bonds to be called as herein set forth and any other transactions of the Refunding Trustee pertaining to its duties and obligations as set forth herein. t I'I - 5 - All Acquired Obligations, money and investment income deposited with or received by the Refunding Trustee pursuant to this Agreement shall be subject to the trust created by this Agreement, and the Refunding Trustee shall be liable for the preservation and safekeeping thereof . Section 6 . Duties and Obligations of Refunding Trustee. The duties and obligations of the Refunding Trustee shall be as prescribed by the provisions of this Agreement, and the Refund- Ing Trustee shall not be liable except for the performance of its duties and obligations as specifically set forth herein and to act in good faith in the performance thereof and no implied duties or obligations shall be incurred by such Refunding Trustee other than those specified therein. The Refunding Trustee may consult with counsel of its choice (except as provided below) and the opinion of such coun- sel shall be full and complete authorization and protection in respect to any action taken or not taken or suffered by it here- under in good faith and in accordance with the opinion of such counsel . For any question relating to the tax exempt status of the Refunding Bonds, the Refunding Trustee must consult with Roberts & Shefelman, bond counsel to the City. Provisions for the fees, compensation and expenses of the Refunding Trustee satisfactory to it have been made . Section 7 . Effect of Non-Delivery of Definitive Bonds . The Bond Ordinance provides that if the Acquired Obligations are 6 - not acquired by the Refunding Trustee and the definitive Bonds are not ready for exchange and delivery within 95 days from the date of delivery of the temporary Bond, such temporary Bond shall be immediately retired at the original purchase price therefor plus accrued interest from money in the Refunding Fund. CITY OF RENTON, WASHINGTON By:�W60GAW Mayor ATTEST: City Clerk PEOPLES NATIONAL BANK By 0291r 7 - Unlimited Tax.General Obligation Refunding Bonds, 1983 Schedule A: Acquired Obligations All Acquired Obligations are U.S. Treasury -Securities -- State and Local Government Series. Obligation Amount Coupon Due Price Certificates of Indebtedness $ 156,800 0.00% 11/1/83 $ 156,800 Certificates of Indebtedness 215,000 0.00 5/1/84 215,000 Notes 20,500 0.00 11/1/84 20,500 Notes 2259400 0.00 5/1/85 225,400 Notes 99900 0.00 11/1/85 99900 Notes 2349900 0.00 5/1/86 2341900 Notes 2369400 0.00 5/1/87 236,400 Notes 2369700 4.40 5/1/88 236,700 Notes 244,700 10.30 5/1/89 244,700 Notes 272,100 10.40 5/1/90 2729100 Notes 2970400 10.50 5/1/91 297,400 Notes 197782000 10.50 5/1/92 19778,000 Notes 2739300 10.50 5/1/93 273,300 Bonds 306,000 10.50 5/1/94 306,000 Bonds 3399800 10.50 5/1/95 339,800 Bonds . 3799100 10.60 5/1/96 3799100 Bonds 420,000 10.60 5/1/97 420,000 Bonds 472,200 10.60 5/1/98 472,200 Bonds 5212100 10.70 5/1/99 521,100 Bonds 579,100 10.70 5/1/00 579,100 $79218,400 $7,2189400