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CITY OF KENT, WASHINGTON
ORDINANCE NO.(�
AN ORDINANCE relating to Local Improvement
District No. 283, accepting the offer of
First Interstate Bank of Washington, N.A.,
formerly Pacific National Bank of Washington,
to purchase and extend warrants heretofore
issued and ratifying and confirming actions
of the City and its officers and employees
taken consistent with this ordinance.
WHEREAS, by Ordinance No. 2102 passed by the City Council
on June 19, 1978, local improvement district warrants were autho-
rized to be issued in payment of the cost and expense of the
improvements therein ordered, such warrants to be payable out of
the "Local Improvement Fund, District No. 283" therein created, to
bear interest from the date thereof at a rate to be thereafter
fixed by ordinance and to be redeemed in cash and/or by local
improvement district bonds therein authorized to be issued, such
interest-bearing warrants to be hereinafter referred to as "revenue
warrants"; and
WHEREAS, on January 5, 1979, Pacific National Bank of
Washington, now First Interstate Bank of Washington, N.A., offered
to purchase and hold $1,981,316 of such warrants between January 1,
1979, and January 1, 1980, at an interest rate of 6.21% per annum,
with the representation by the City that the project would be com-
pleted by the winter of 1979, and did take, purchase and receive
warrants under such offer; and
WHEREAS, under that offer such warrants should have been
redeemed by the time of this ordinance, and the holder bank has
agreed to extend its offer to hold and purchase such warrants at
the rate of 75% of that bank's prime for a period of 182 days from
the date of this ordinance; NOW, THEREFORE,
THE CITY COUNCIL OF THE CITY OF KENT, WASHINGTON, DO
ORDAIN as follows:
Section 1. The offer of Pacific National Bank of
Washington, dated January 5, 1979, to purchase revenue warrants
issued on the Local Improvement Fund, District No. 283, is accepted,
ratified and confirmed in accordance with its terms, and the interest
rate on such warrants until they are redeemed or extended is fixed
at 6.21% per annum.
Section 2. Revenue warrants issued on the Local
Improvement Fund, District No. 283, pursuant to Ordinance No. 2102
and this ordinance having been reasonably expected to be redeemed
prior to this date and, by reason of unforeseen litigation and
other factors, such redemption has not occurred, all such warrants
presently outstanding and those warrants issued after the date of
this ordinance shall bear interest at the rate of 75% of the prime
lending rate of First Interstate Bank of Washington as of the
effective date of this ordinance for warrants then outstanding as
of the date of warrants hereafter issued, all of such warrants
to be redeemed within 182 days after the effective date of this
ordinance or extended on the basis of an interest rate agreed to
at that time between the bank and Director of Finance, all in
accordance with the offer of First Interstate Bank of Washington,
dated November 3, 1981.
Section 3. All actions heretofore taken consistent with
the terms of this ordinance are ratified, confirmed and approved.
Section 4. This ordinance shall be in full force and
effect five (5) days after the date of its publication as provided
by law.
PASSED by the City Council and APPROVED by the Mayor of
the City of Kent, Washington, at a regular open public meeting
thereof, this 17th day of May, 1982.
ATTEST: --
Mayor
Deputy eity Clerk
FORM APPROVED:
City Attorney Attorney
2
PASSED the
_ ( day of 1982.
APPROVED the day of 1982.
PUBLISHED the day of 1982.
I hereby certify that this is a true copy of Ordinance
No. __, n`�j() , passed by the City Council of the City of Kent,
Washington, and approved by the Mayor of the City of Kent as hereon
indicated.
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BETTY Y, DEP Y CITY CLERK