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HomeMy WebLinkAboutORD 3663 a CITY OF RENTON, WASHINGTON ORDINANCE NO. 3663 AN ORDINANCE AMENDING ORDINANCES NOS. 3394 and 3532 PERTAINING TO LOCAL IMPROVEMENT DISTRICT NO. 315; ESTABLISHING CONSOLIDATED LOCAL IMPROVEMENT DISTRICT NO. 315 ET AL. AND CONSOLIDATED LOCAL IMPROVEMENT FUND, DISTRICT NO. 315 ET AL. ; FIXING THE AMOUNT, FORM, DATA:, INTEREST RATE, MATURITY AND DENOMINATIONS OF THE CONSOLIDATED LOCAL IMPROVEMENT DISTRICT NO. 315 ET AL. BONDS; RATIFYING AND CONFIRM- ING THE SALE AND PROVIDING FOR THE DELIVERY THEREOF TO SEATTLE-NORTHWEST SECURITIES CORPORATION, SEATTLE, WASHINGTON; AND FIXING THE INTEREST RATE ON LOCAL IMPROVEMENT DISTRICT ASSESSMENT INSTALLMENTS IN LOCAL IMPROVEMENT DISTRICTS NOS. 317 AND 321. WHEREAS, the City Council of the City has heretofore created Local Improvement Districts Nos. 315, 317 and 321 for various purposes; and WHEREAS, RCW 35. 45. 160 authorizes the establishment of con- solidated local improvement districts for the purpose of issuing bonds only and provides that if the governing body of any munic- ipality orders the creation of such consolidated local improve- ment district, the money received from the installment payment of the principal of and interest on assessments levied within original local improvement districts shall be deposited in a consolidated local improvement district bond redemption fund to be used to redeem outstanding consolidated local improvement district bonds; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DO ORDAIN as follows: Section I. Section V of Ordinance No. 3394 passed by the City Council on January 21, 1980 is amended to read as follows: Section V: Local Improvement District warrants shall be issued in payment of the cost and expense of the improvement herein ordered. Such warrants shall be payable out of said . "Local Improvement Fund, District No. 315" to bear interest from L 1 the date thereof at a rate to be fixed hereafter, but not to exceed 12% per annum and to be redeemed in cash, and/or by Local Improvement District bonds herein authorized to be issued, said interest-bearing warrants to be hereafter referred to as "reve- nue warrants. " Such bonds shall bear interest at a rate to be hereafter fixed but not exceeding 12-1/2% per annum; shall be payable on or before 12 years from the date of issuance, the life of the improvement ordered being not less than 12 years and shall be issued in exchange for and in redemption of any and all revenue warrants issued hereunder and not redeemed in cash with- in a period not to exceed sixty ( 60) days after the first publi- cation by the Director of Finance of notice that the assessment roll for Local Improvement District No. 315 is in his hands for collection. The bonds shall be redeemed by the collection of special assessments to be levied and assessed upon the property within said District, payable in 10 equal installments, with interest at a rate to be fixed hereafter but not exceeding 11-1/2% per annum, and a penalty of 11-1/2% which shall also be collected. The exact form, amount, date, interest rate and denomination of said warrants and bonds shall be hereafter fixed by Ordinance of the City Council. For those persons found by the City of Renton to be econom- ically disadvantaged property owners or other persons who, under the terms of a recorded contract of purchase, recorded mortgage, recorded deed of trust transaction, or recorded lease are responsible under penalty of forfeiture, foreclosure or default, the assessment levied for the LID may be deferred until a time previous to the termination of the LID District under terms acceptable to the City and upon assurance of property security for the payment of such assessments. Such deferral shall not survive the ownership of interest of the economically disadvan- taged property owner or person to whom the deferral was granted 2 - and it shall likewise not survive the sale, transfer or other action which either terminates the possessory interest of such property owner or person or which turns the property into investment, rental or lease property. Section II. Section I of Ordinance No. 3532 passed by the City Council on April 20, 1981, is amended to read as follows: Section I. The maximum interest rate allowable on Local Improvement District warrants to be issued in payment of the cost and expense of the improvement previously ordered shall not exceed 12% per annum. No Local Improvement District Bonds which have been authorized to be issued shall bear interest at a rate to exceed 12-1/2% per annum. Section III. For the purpose of issuing bonds only, those local improvement districts of the City of Renton, Washington (the "City") , established by the following ordinances, respec- tively, the 30-day period for making cash payment of assessments without interest in each local improvement district having expired in the case of the assessments for each local improve- ment district, are consolidated into a consolidated local improvement district to be known and designated as "Consolidated Local Improvement District No. 315 et al. " : Local Improvement Created by District No. Ordinance No. 315 3394, as amended 317 3462 321 3519 Section IV. There is created and established in the office of the City Director of Finance for Consolidated Local Improvement District No. 315 et al. a special consolidated local improvement district fund to be known and designated as "Consol- idated Local Improvement Fund, District No. 315 et al. " (the "Bond Fund") . All money presently on hand representing collec- tions pertaining to installments of assessments and interest 3 - i.. b thereon in each of the local improvement districts listed in Section 1 shall be transferred to and deposited in the Bond Fund, and all collections pertaining to assessments on the assessment rolls of those local improvement districts when here- after received shall be deposited in the Bond Fund to be issued to redeem outstanding Consolidated Local Improvement District No. 315 et al. bonds. Section V. "Consolidated Local Improvement District No. 315 et al. Bonds" (the "Bonds") shall be issued in the total principal sum of $106, 389. 72, being the total amount on the assessment rolls of Local Improvement Districts Nos. 315, 317 and 321 remaining uncollected after the expiration of the 30-day interest-free prepayment period. Bond No. 1 shall be in the denomination of $6, 389. 72, and the remaining• Bonds numbered to 21, inclusive, shall be in the denomination of $5, 000. 00 each. The Bonds all shall be dated October 1, 1982, and shall be pay- able on October 1, 1994, with the right reserved to the City to redeem the Bonds prior to 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 publishing notice of such call once in the official newspaper of the City or, if there is no official newspaper of the City, then in a newspaper of general circulation in the City not less than 10 nor more than 20 'days prior to the call date, and by mailing a copy of such notice within the same period to the main office of Seattle-Northwest Securities Corporation in Seattle, Washington, and upon such date the interest on Bonds so called shall cease and each and every coupon representing interest not accrued on such date shall be void. The Bonds shall bear inter- est at the rate of 12. 25% per annum, payable annually beginning 4 - 4 October 1, 1983, to be represented by interest coupons to matur- ity attached to each Bond. Both principal of and interest on the Bonds shall be payable solely out of the Bond Fund and from the Local Improvement Guaranty Fund of the City, and shall be payable in lawful money of the United States of America at the office of the City Director of Finance or, at the option of the holder, at either fiscal agency of the State of Washington in Seattle, Washington, or New York, New York. Section VI. The Bonds and coupons shall be printed or lithographed on engraved paper in a form consistent with this ordinance and state law. The Bonds shall be signed by the facsimile signature of the Mayor, attested by the manual signature of the City Clerk under the seal of the City, and the coupons shall bear the facsimile signatures of the Mayor and the City Clerk. Section VII. Seattle-Northwest Securities Corporation of 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 opin- ion of Roberts & Shefelman (Roberts, Shefelman, Lawrence, Gay & Moch) , municipal bond counsel of Seattle, Washington, at the City' s expense. Bond counsel shall not be required to review nor 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 City Council, deeming that it was in the best interest of the City that such offer be accepted, accepted the same on September 20, 1982, and such acceptance is ratified and confirmed. The Bonds shall, there- fore, immediately upon their execution, be delivered to Seattle- - 5 - Northwest Securities Corporation, Seattle, Washington, upon pay- ment therefor in accordance with such offer. Section VIII. The interest rates on the installments and delinquent payments of the special assessments in Local Improve- ment Districts Nos. 317 and 321 are revised and fixed at the rate of 12. 75% per annum, which is one-half of one percent more than the interest rate for the Bonds. PASSED by the City Council of the City of Renton, Washington, this 27th day of September, 1982. Maxine E. Motor, City Clerk APPROVED BY THE MAYOR this 27th day of September, 1982. Barbara Y. Shinpo h, Mayor APPROVED AS TO FORM: City Attorney Date of Publication: October 1, 1982 0100r 6 -