HomeMy WebLinkAboutOrd 0422 - Water and Sewer Revenue Bonds for Waterworks Utility CITY OF TUKWILA, WASHINGTON
ORDINANCE NO. 422 AN ORDINANCE specifying and adopting a
system or plan of additions to and betterments
and extensions of the waterworks utility of
the City of Tukwila, including the system of
sewerage as a part thereof; declaring the esti-
mated cost thereof as nearly as may be;
providing for the issuance of $85,000.00 par
value of water and sewer revenue bonds re-
quired to pay the cost thereof and the cost of
completing the system or plan of additions to
and betterments and extensions of the water-
works utility of the City of Tukwila, including
the system of sewerage as a part thereof, as
adopted by Ordinance No. 381, passed June 3,
1963; fixing the date, form, maturities,
interest rate terms and covenants of those
bonds; and providing for the sale and delivery
of those bonds to McLean Company, Inc.
Tacoma, Washington.
WHEREAS, the City of Tukwila, Washington (then the
Town of Tukwila), by Ordinance No. 320, passed by the Town Council
and approved by the Mayor on the 1st day of May, 1961, and subsequently
amended, specified and adopted a system or plan for a system of sewerage
for the Town and provided that the system of sewerage become a part of the
waterworks utility of the Town, and authorized the issuance and sale of
"Water and Sewer Revenue Bonds 1961," in the principal sum of not to
exceed $170,000.00 to pay a portion of the cost thereof, such waterworks
utility, as hereinafter referred to, being deemed to include the systems of
water supply and distribution and sanitary sewage disposal, as combined by
Ordinance No. 320 pursuant to RCW 35.67.320, and any additions thereto
and extensions, renewals and betterments thereof hereafter made or constructed;
and
WHEREAS, $170,000.00 of the "Water and Sewer Revenue
Bonds, 1961" (hereinafter referred to as the "1961 Bonds were issued
pursuant to Ordinance No. 334 and are payable from the gross revenues of the
waterworks utility, including as a part of such revenues a water and sanitary
sewage disposal service surcharge payable under a contract between the
City and Puget Western, Inc. a Washington corporation; and
WHEREAS, the City, in Section 7 of Ordinance No. 334
authorizing the issuance of the 1961 Bonds, reserved the right to issue
additional water and sewer revenue bonds on a parity of lien with the 1961
Bonds in the following language and under the following conditions:
"The Town reserves the right to issue additional or refunding
water and sewer revenue bonds which shall constitute a charge or lien upon the
gross revenues of the waterworks utility of the Town, including all additions
thereto and betterments replacements and extensions thereof at any time made,
on a parity of lien with the Bonds, if the following conditions shall be met
and complied with at the time of issuance of such additional or refunding water
and sewer revenue bonds:
"(a) All payments then required by this
Ordinance or any other ordinance hereafter enacted
pertaining to the Bonds and to any such additional
or refunding water and sewer revenue bonds hereafter
issued shall have been made into the Bond Fund
and maintained intact therein; and
"(b) The revenues of the waterworks utility
of the Town, including any water and sanitary
sewage disposal service surcharge payable under
any Agreement between the Town and any third
party, for any twelve months out of the immediately
preceding fifteen months' period adjusted to reflect
a year's net income from each customer of the water-
works utility of the Town connected to such utility
at the end of that twelve -month period who has
not been a customer for the entire twelve- month
period, plus the additional revenue, from whatever
source and of whatever nature, anticipated to be
received from the proposed improvement in connection
with which such additional water and sewer revenue
bonds are to be issued, shall be deemed sufficient,
after the payment of normal operation and maintenance
costs and State and Federal taxes, to equal at
least 1.35 times the average annual principal and
interest requirements of all then outstanding water
and sewer revenue bonds, including the Bonds and
of the additional or refunding bonds proposed to be
so issued, but except the principal requirements
of any term bond maturity year or years, as defined
in Section 8 of this Ordinance of any bonds payable
out of the Bond Fund. Such determination of the
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sufficiency of the revenues shall be made and
certified to by an independent professional
registered engineer experienced in municipal
utilities and licensed to practice in the State
of Washington; except, that if such additional
bonds proposed to be so issued are for the sole
purpose of refunding water and sewer revenue bond,
such certification of coverage shall not be required
if the amount required for payment of the principal
and interest in each year for the refunding bonds is
not increased over the amount required for the
bonds to be refunded thereby and the maturities of
said refunding bonds are not extended beyond the
maturities of the bonds to be refunded thereby;
and
"(c) The ordinance authorizing the issuance
of such additional bonds shall provide that an amount
equal to the average annual debt service of the
additional bonds proposed to be issued shall be
accumulated as a reserve in the Bond Fund, said
amounts to be accumulated by monthly deposits
commencing not later than one month after the
date of issuance of the additional bonds and to be
accumulated within five years after the date of
issuance of such bonds, and said reserve to be
maintained in such amounts so long as any of those
additional bonds are outstanding to the last maturity
thereof. In the case of parity refunding bonds the
ordinance authorizing the issuance of such refunding
bonds shall provide that the money in the "Reserve
Account" for the bonds to be refunded shall be
transferred to the "Reserve Account" in the Bond
Fund, or that the moneys in the "Reserve Account"
for the bonds to be refunded shall be used to
redeem such bonds, in which event an amount
equal to the average annual debt service for the
refunding bonds proposed to be issued shall be
accumulated as a reserve in the same manner
and within the same times as set forth herein for
additional revenue bonds.
"In lieu of the accumulation of a reserve
in the manner provided in this subsection 7 (c)
the ordinance authorizing such additional bonds
may provide for a cash deposit by a third party
with an escrow agent acceptable to the Town in
an amount equal to the average annual debt
service of the additional bonds proposed to be
issued, which deposit shall be made on or before
the delivery of the additional bonds and shall be
conditioned on the payment into the "Reserve
Account" of the Bond Fund of amounts necessary
to make up any deficiency in the Principal and Interest
Account in the Bond Fund to meet maturing install-
ments of either principal or interest on such additional
bonds. That third party shall also be bound by agree-
ment with the Town to make such additional cash
deposits in escrow as are necessary to maintain
that deposit at the required level in the event that
the original or subsequent deposits are called upon
to make up the deficiencies in the Principal and
Interest Account of the Bond Fund. Such cash
deposits shall remain in escrow at the required
level until the moneys in the Reserve Account paid
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in for those additional bonds equal the average
annual debt service of those additional bonds";
and
WHEREAS, the City of Tukwila, Washington, by Ordinance
No. 381, passed by the City Council and approved by the Mayor on the 3rd
day of June, 1963, adopted a system or plan for making additions to and
betterments and extensions of the waterworks utility of the City, consisting
of the construction and installation of certain sewer collection lines, trunk
sewer lines, and general facilities, estimated the total cost of said plan
to be $819,000.00, and provided that payment therefor would be made (a)
by assessments to be levied in the amount of not to exceed $412,000.00
against property specially benefited by the proposed improvement and included
in a local improvement district to be formed, and (b) from the proceeds
received from the issuance and sale of "Water and Sewer Revenue Bonds,
1963," in the amount of not to exceed $407,000.00 par value; and
WHEREAS, by Ordinance No. 382, passed by the City Council
and approved by the Mayor on the 1st day of July, 1963, the system or plan of
additions to and betterments and extensions of the waterworks utility of the
City of Tukwila, as adopted by Ordinance No. 381 was ordered to be carried
out, Local Improvement District No. 5 was established, and it was ordered
that not to exceed $412,000.00 of the cost and expense of carrying out said
system or plan should be paid by assessments to be levied in the amount of
not to exceed $412,000.00 against the property specially benefited by such
improvement and included in Local Improvement District No. 5 and the
remaining cost to be paid from the proceeds to be received from the issuance
and sale of "Water Sewer Revenue Bonds, 1963" (hereinafter referred to
as the "1963 Bonds in the amount of not to exceed $407,000.00, provided,
however, that in the event that Val Vue Sewer District, King County, Washington,
should construct the "Val Vue Trunk Sewers" as defined in Ordinance No. 381 the
amount of such water and sewer revenue bonds should be reduced by $140,000.00
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to not to exceed $267,000.00; and
WHEREAS, the City thereafter contracted with Val Vue Sewer
District to construct said "Val Vue Trunk Sewers and, pursuant to Ordinance No.
387, passed by the City Council and approved by the Mayor on October 7,
1963, issued and sold $190,000.00 par value of the not to exceed $267,000.00
par value of said 1963 Bonds; and
WHEREAS, to complete the carrying out of said system or plan
of additions to and betterments and extensions of the waterworks utility of the
City, as adopted by Ordinance No. 381, it is necessary to issue and sell
$45,000.00 par value of the remaining authorized but unissued $77,000.00
par value of water and sewer revenue bonds authorized by OrdinancesNos
381 and 382; and
WHEREAS, the public health, welfare, safety and convenience
require, and it is advisable, that certain additions to and betterments and
extensions of the waterworks utility of the City, not covered by Ordinance
No. 381, hereinafter provided for, be made, the estimated cost of which is
$40,000.00, and that a single combined issue of water and sewer revenue
bonds be issued in the amount of $85,000.00 to carry out the additions to
and betterments and extensions of the waterworks utility of the City
hereinafter provided for and to complete the system or plan of additions to
and betterments and extensions of the waterworks utility of the City adopted
in Ordinance No. 381 and ordered to be carried out by Ordinance No. 382;
and
WHEREAS, the City Council hereby finds and declares that
all payments required to be made into the "Water and Sewer Revenue Bond
Fund, 1961," both the "Principal and Interest Account" and the "Reserve
Account," for the 1961 Bonds and the 1963 Bonds have been made and have
been maintained intact therein; that Howard Harstad Associates, professional
engineers experienced in municipal utilities and licen3ed to practice in the
State of Washington, has certified that the proposed water and sewer revenue
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bonds are to be issued to finance sewer construction as a part of the waterworks
utility of the City and that the revenues of the waterworks utility of the City,
including any water and sanitary sewage disposal service surcharge payable
under any Agreement between the City and any third party, for any twelve
months out of the immediately preceding fifteen months' period adjusted to
reflect a year's net income from each customer of the waterworks utility
of the City connected to such utility at the end of that twelve -month period
who has not been a customer for the entire twelve -month period, plus the
additional revenue, from whatever source and of whatever nature, anticipated
to be received from the proposed improvement in connection with which
such additional water and sewer revenue bondsare to be issued, in the engineer's
opinion, shall be sufficient, after the payment of normal operation and mainten-
ance costs and State and Federal taxes ,to equal at least 1.35 times the average
annual principal and interest requirements of all 1961 Bonds and 1963 Bonds
and the additional bonds proposed to be issued; and that provision is hereinafter
made for the accumulation in the "Reserve Account" in the "Water and Sewer
Revenue Bond Fund, 1961," of the additional required reserve amount; NOW,
THEREFORE,
THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON,
DO ORDAIN, as follows:
Section 1. The City of Tukwila, Washington, hereby specifies
and adopts a system or plan for making additions to and betterments and extensions
utility
of the existing waterworks/of the City to consist of the following:
There shall be constructed and installed the following
sanitary sewer lines at the following locations:
On From To Size
56th Avenue S. South 139th Street 380 ft. north of S. 139th
Street 8"
Easement between South 141st Street 560 ft. south of S. 141st
56th Ave. S. and 57th Street 8"
Ave:.: South
Easement between South 144th Street 800 ft. south of S. 144th
57th Ave. S. and Street 8"
58th Ave S.
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On From To Size
62nd Ave. S. S. 151st Street 600 ft. north of 8"
S. 151st Street
S. 142nd St. 57th Ave. S. 58th Ave. S. 8"
S. 144th St. 59th Ave. S. 59th Place S. 8"
S. 144th St. 53rd Ave. S. 56th Ave. S. 8"
S. 144th St. 58th Ave. S. 250 ft. west of 58th 8"
Ave. S.
S. 151st St. 62nd Ave. S. 65th Ave. S. 8"
Easement 300 ft. 56th Ave. S. Interurban Ave. S. 8"
north of S. 139th
St.
The life of the foregoing additions, betterments and extensions
is hereby declared to be at least 37 years.
Section 2. The estimated cost, as near as may be of the
aforesaid system or plan of additions extensions and betterments is hereby
declared to be $40,000.00 and shall be paid from the proceeds received from
the issuance and sale of $40,000.00 par value of water and sewer revenue
bonds, which may be combined with and issued as a single combined issue
with the $45,000.00 par value of water and sewer revenue bonds required
to be issued to complete the system or plan of additions to and betterments and
extensions of the waterworks utility of the City adopted by Ordinance No. 381
and ordered to be carried out by Ordinance No. 382.
Section 3. The gross revenues and benefits to be derived
from the operation and maintenance of the waterworks utility of the City at
the rates to be charged for water service and sanitary sewage disposal
service on the entire utility will, in the judgment of the City Council, be
more than sufficient to meet all expenses of operation and maintenance
thereof and to permit the setting aside into a special fund out of the gross
revenues of the waterworks utility of sufficient amounts to pay interest on
the water and sewer revenue bonds herein authorized to be issued and on all
outstanding 1961 Bonds and 1963 Bonds as such interest becomes due and
payable and to pay and redeem all of said bonds at maturity.
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Section 4. For the purpose of obtaining the funds with which
to carry out the system or plan for making additions to and betterments and
extensions of the waterworks utility of the City as adopted in Section 1 hereof
and hereby ordered to be carried out and with which to complete the system
or plan of additions to and betterments and extensions of the waterworks
utility of the City adopted by Ordinance No. 381 and ordered to be carried
out by Ordinance No. 382, there shall be issued and sold $85,000.00 par
value of "Water Sewer Revenue Bonds, 1965 "(hereinafter called the'Bonds
The Bonds shall be dated March 1, 1965, shall be in the denominations of
$1,000.00 each, shall be numbered from 1 to 85, inclusive shall bear
interest at the rate of 4 1/2% per annum, payable semiannually on March
and September of each year, interest to maturity to be evidenced by coupons
to be attached to the Bonds with full obligation on the part of the City to
pay interest at the same rate from and after the bond maturity dates until
the Bonds with interest are paid in full. Both the principal of and interest
on the Bonds will be payable solely out of the "Water and Sewer Revenue
Bond Fund, 1961," of the City (hereinafter called the "Bond Fund created
and established by Ordinance No. 320, as amended. Both principal of and
interest on the Bonds shall be payable in lawful money of the United State
of America at the office of the Treasurer of the City.
The Bonds shall mature in accordance with the following
schedule, to -wit:
Bond Numbers
(Inclusive) Amounts Maturities
1 to 20 $20,000 September 1, 1998
21 to 40 $20,000 September 1, 1999
41 to 62 $22,000 September 1, 2000
63 to 85 $23,000 September 1, 2001
Section 4. The City of Tukwila reserves the right to redeem
the Bonds as a whole, or in part in inverse numerical order, on September 1,
1973, or on any semiannual interest date thereafter at the following percentages
of par if redeemed on the following dates plus accrued interest to date of
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redemption in each case to -wit:
On September 1, 1973, or March 1, 1974, at 103%
On September 1, 1974, or March 1, 1975, at 102 3/4%
On September 1, 1975, or March 1, 1976, at 102 1/2%
On September 1, 1976, or March 1, 1977, at 102 1/4%
On September 1, 1977, or March 1, 1978, at 102%
On September 1, 1978, or March 1, 1979, at 101 3/4%
On September 1, 1979, or March 1, 1980, at 101 1/2%
On September 1, 1980, or March 1, 1981, at 101 1/4%
On September 1, 1981, or March 1, 1982, at 101%
On September 1, 1982, or March 1, 1983, at 100 3/4%
On September 1, 1983, or March 1, 1984, at 100 1/2%
On September 1, 1984, or March 1, 1985, at 100 1/4%
On September 1, 1985, and thereafter at par.
Notice of any call for redemption of any of the Bonds prior to
their stated maturity dates shall be published at least once in the official
newspaper of the City, or, if none, in the Daily journal of Commer ce, published
in Seattle, Washington, not less than thirty nor more than forty -five days
prior to the call date. Notice of such redemption shall also be mailed to
McLean Company, Inc. at its principal office in Tacoma, Washington,
or its successor, not less than thirty nor more than forty -five days prior
to the date fixed for such Bonds to be redeemed. Interest on any Bonds so
called for redemption shall cease on the date fixed for such redemption upon
payment of the redemption price into the Bond Fund.
Section 5. So long as any Bonds are outstanding against
the Bond Fund, the Treasurer of the City shall set aside and pay into the
Bond Fund out of the gross revenues of the waterworks utility of the City, in
addition to the amounts required to be paid into the Bond Fund for the out-
standing 1961 Bonds and the outstanding 1963 Bonds, a fixed amount without
regard to any fixed proportion, on or before the 20th day of each month,
namely:
(a) Into the "Principal and Interest Account,"
beginning with the month of March, 1965, 1 /6th of
the next ensuing six months' requirement for interest
on the Bonds, and beginning with the month of
September, 1997, 1 /12th of the next ensuing twelve months'
requirement for principal on the Bonds and continuing
thereafter until the Bonds, both principal and interest,
are paid in full; and
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(b) Into the "Reserve Account," beginning
with the month of March, 1965, and each month
thereafter, not less than the sum of $66.67, until
a total additional reserve for the Bonds shall be
accumulated therein in the amount of $4,000.00,
which additional reserve shall be accumulated
by March 1, 1970.
The Reserve Account may be accumulated from any other
moneys which the City may have available for such purpose in addition
to using such revenues therefor. The Reserve Account shall be maintained
in such total required reserve amount, except for withdrawals therefrom
as authorized herein, at all times so long as any of the 1961 Bonds, the
1963 Bonds and the Bonds are outstanding. When the total amount in the
Bond Fund shall equal the total amount of principal and interest for all out-
standing 1961 Bonds, 1963 Bonds and the outstanding Bonds to the last
maturity thereof no further payment need be made into the Bond Fund.
In the event that there should be a deficiency in the Principal
and Interest Account in the Bond Fund to meet maturing installments of either
principal or interest, as the case may be such deficiency shall be made up
from the Reserve Account by the withdrawal of cash therefrom for that
purpose. Any deficiency created in the Reserve Account by reason of any
such withdrawal shall then be made up from the moneys from the revenues
of the waterworks utility of the City first available after making necessary
provision for the required payments into the Principal and Interest Account.
The moneys in the Reserve Account shall otherwise be held intact and may
be applied against the last outstanding bonds payable out of the Bond Fund.
All moneys in the Reserve Account above provided for may be
kept on deposit in the official bank depository of the City, or may be invested
in United States Government obligations redeemable at a fixed price and maturing
not later than August 1, 2001. Interest earned on any such investments or
on such bank deposit shall be deposited in and become a part of the Reserve
Account until the total required reserve amount shall have been accumulated
therein, after which such interest shall be deposited in the Principal and Interest
Account.
The gross revenues from the waterworks utility of the City are
hereby pledged to the payment of the Bonds, and the Bonds shall constitute a
lien and charge upon such revenues prior and superior to any other charges
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whatsoever, excluding charges for maintenance and operation, except that the
lien and charge upon those revenues for the Bonds shall be on a parity with
the charge or lien upon such gross revenues for the 1961 Bonds, the 1963
Bonds and any additional water and sewer revenue bonds which may be
hereafter issued on a parity with the 1961 Bonds, the 1963 Bonds and the
Bonds in accordance with the provisions of Section 7 of Ordinance No. 334.
Section 6. The City hereby covenants and agrees with the
owner and holder of each Bond at any time outstanding, as follows:
(a) That it will establish, maintain and
collect such rates and charges for water and
sanitary sewage disposal service so long as
any Bonds are outstanding as will, together with
interest accruing from investment of moneys in
the Reserve Account and any water and sanitary
sewage disposal service surcharge payable under
any Agreement between the City and any third
party, make available for the payment of the
principal of and interest on such Bonds an amount
equal to at least 1.35 times the average annual
debt service requirements both principal and
interest, of the 1961 Bonds the 1963 Bonds
and the Bonds, after deducting costs of mainten-
ance and operation from the gross revenues of
the waterworks utility of the City, but before
depreciation.
(b) That it will at all times maintain and keep
the waterworks utility of the City in good repair,
working order and condition, and also will at all
times operate that utility and the business in
connection therewith in an efficient manner and at
a reasonable cost.
(c) That it will not sell, lease, mortgage,
or in any manner encumber or dispose of all the
property of the waterworks utility of the City unless
provision is made for the payment into the Bond
Fund of a sum sufficient to pay the principal of
and interest on all 1961 Bonds 1963 Bonds and
all Bonds at any such time outstanding and that
it will not sell, lease, mortgage, or in any manner
encumber or dispose of any part of the property
of said waterworks utility of the City that is used,
useful and material to the operation thereof, unless
provision is made for replacement thereof, or for
payment into the Bond Fund of the total amount of
revenue received which shall not be less than an
amount which shall bear the same ratio to the amount
of the outstanding 1961 Bonds, the 1963 Bonds
and then outstanding Bonds as the revenue avail-
able for debt service for such outstanding 1961
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Bonds, 1963 Bonds and outstanding Bonds for
the twelve months preceding such sale, lease,
encumbrance or disposal from the portion
of the utility sold, leased, encumbered or dis-
posed of bears to the revenue available for
debt service for such 1961 outstanding Bonds,
1963 outstanding Bonds and outstanding Bonds
from the entire waterworks utility for the same
period. Any such money so paid into the Bond
Fund shall be used to retire such outstanding 1961
Bonds d tt&'tanding 1963 Bonds and outstanding
Bonds at theearliest possible date.
(d) That it will, while any of the Bonds remain
outstanding, keep proper and separate accounts
and records in which complete and separate entries
shall be made of all transactions relating to its
waterworks utility, and it will furnish the original
purchaser or purchasers of the Bonds or any sub-
sequent holder or holders thereof, at the written
request of such holder or holders, complete
operating and income statement of the waterworks
utility in reasonable detail covering any calendar
year not more than ninety days after the close of
such calendar year and it will grant any holder
or holders of at least 25% of the outstanding Bonds
the right at all reasonable times to inspect the
entire waterworks utility of the City and all
records, accounts and data of the City relating
thereto. Upon request of any holder of any of
the Bonds, it will also furnish to such holder a
copy of the most recently completed audit of the
City's accounts by the State Auditor of Washington,
or such other audit as is authorized by law in
lieu thereof.
(e) That it will not furnish water or sanitary
sewage disposal service to any customer whatso-
ever free of charge and will promptly take legal
action to enforce collection of all delinquent
accounts.
(f) That it will carry the type of insurance on
its waterworks utility property in the amounts
normally carried by private water and sewer
companies engaged in the operation of water and
sewerage systems, and the cost of such insurance
shall be considered part of the operating and
maintaining of said utility. If, as, and when,
the United States of America or some agency thereof
shall provide for war risk insurance, the City
further agrees to take out and maintain such
insurance on all or such portion of the system
on which such war risk insurance may be written
in an amount or amounts to cover adequately the
value thereof.
(g) That it will pay all costs of maintenance
and operation of the waterworks utility of the City
and the debt service requirements of the 1961 Bonds,
1963 Bonds and the Bonds and otherwise meet the
obligations of the City as herein set forth.
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Section 7. The Bonds shall be in substantially the following
form:
No. $1,000.00
UNITED STATES OF AMERICA
STATE OF WASHINGTON
CITY OF TUKWILA
WATER AND SEWER REVENUE BOND, 1965
4 1/2%
KNOW ALL MEN BY THESE PRESENTS: That the
City of Tukwila, Washington, for value received
hereby promises to pay to the bearer on the FIRST
DAY OF SEPTEMBER, the principal sum of
ONE THOUSAND DOLLARS
together with interest thereon at the rate of
FOUR AND ONE -HALF PERCENT (4 1/2 per annum,
payable semiannually on the 1st days of March
and September of each year, upon the presentation
and surrender of the attached interest coupons as
they severally mature up to the bond maturity date
and with full obligation on the part of the City to
pay interest at the same rate, from and after the
bond maturity date until this bond with interest
is paid in full, or funds are available in the
Tukwila "Water and Sewer Revenue Bond Fund,
1961" (hereinafter called the "Bond Fund for
payment in full. Both principal of and interest
on this bond are payable in lawful money of the
United States of America at the office of the
Treasurer of the City of Tukwila, Washington,
solely out of the special fund created by
Ordinance No. 320, as amended, and referred
to herein as the Bond Fund, into which fund the
City of Tukwila hereby irrevocably binds itself
to pay certain fixed amounts out of the gross re-
venues of the waterworks utility, including the
sewerage system as a part thereof now belonging
to or which may hereafter belong to the City,
including all additions extensions and betterments
now or at any time made or constructed without
regard to any fixed proportion, namely, an amount
sufficient to pay the principal of and interest
on the outstanding "Water and Sewer Revenue
Bonds 1961," the outstanding "Water and Sewer
Revenue Bonds 1963," and on bonds of this
issue as they respectively become due and to
accumulate a reserve all at the times and in
the manner set forth in Ordinances Nos. 387 and
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The gross revenues from the combined water and
sewerage systems comprising the waterworks
utility of the City, are hereby pledged to such
payment, and the bonds of this issue constitute
al lien and charge upon such revenues prior and
superior to any other charges whatsoever, excluding
charges for maintenance and operation, except
that the lien and charge upon said revenues for this
issue of bonds shall be on a parity with the charge
or lien upon such gross revenues for the outstanding
"Water and Sewer Revenue Bonds, 1961," issued
pursuant to Ordinances Nos. 320, as amended,
and 334, the outstanding "Water and Sewer Revenue
Bonds, 1963," issued pursuant to Ordinances Nos.
381 and 387, and any additional water and sewer
revenue bonds which may be hereafter issued on
a parity of lien with the "Water and Sewer Revenue
Bonds, 1961," the "Water and Sewer Revenue
Bonds, 1963," and the bonds of this issue in
accordance with the provisions of Section 7 of
Ordinance No. 334.
This bond is one of a total issue of $85,000.00
par value of bonds, all of like date, tenor and
effect, except for maturities, all payable from
the Bond Fund and all issued by the City under
and pursuant to the laws of the State of Washington
and Ordinances Nos. 381 and of the City,
for the purpose of providing funds to pay the
cost of completing the system or plan for making
additions to and betterments and extensions of
the waterworks utility of the City, including the
system of sewerage as a part thereof, as adopted
by Ordinance No. 381 and ordered to be carried
out by Ordinance No. 382, and to pay the cost
of carrying out a system or plan for making
additions to and betterments and extensions of
the waterworks utility of the City, including the
system of sewerage as a part thereof,adopted
and ordered to be carried out by Ordinance
No.
The City has reserved the right to redeem the
bonds of this issue as a whole, or in part in inverse
numerical order, on September 1, 1973, or on any
semiannual interest date thereafter at the following
percentages of par if redeemed on the following
dates plus accrued interest to date of redemption
in each case, to -wit:
On September 1, 1973, or March 1, 1974, at 103%
On September 1, 1974, or March 1, 1975, at 102 3/4%
On September 1, 1975, or March 1, 1976, at 102 1/2%
On September 1, 1976, or March 1, 1977, at 102 1/4%
On September 1, 1977, or March 1, 1978, at 102%
On September 1, 1978, or March 1, 1979, at 101 3/4%
On September 1, 1979, or March 1, 1980, at 101 1/2%
On September 1, 1980, or March 1, 1981, at 101 1/4%
On September 1, 1981, or March 1, 1982, at 101%
On September 1, 1982, or March 1, 1983, at 100 3/4%
On September 1, 1983, or March 1, 1984, at 100 1/2%
On September 1, 1984, or March 1, 1985, at 100 1/4%
On September 1, 1985, and thereafter at par.
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Notice of any call for redemption any of the
bonds of this issue prior to their stated maturity
dates shall be published at least once in the official
newspaper of the City, or, if none, in the Daily
Journal of Commerce, published in Seattle, Wash-
ington, not less than thirty nor more than forty
five days prior to the call date. Notice of such
redemption shall also be mailed to McLean
Company, Inc. at its principal office in Tacoma,
Washington, or its successor, not less than thirty
nor more than forty -five days prior to the date fixed
for such bonds to be redeemed. Interest on any bonds
so called for redemption shall cease on the date
fixed for such redemption upon payment of the
redemption price into the Bond Fund.
The City of Tukwila hereby covenants and
agrees with the holders of each and every one of
the bonds of this issue to fully carry out all
covenants and meet all obligations of the City,
as set forth in Ordinances Nos. 381, 387 and
to which Ordinances reference is hereby
made as more fully describing the covenants with
and rights of holders of bonds of this issue.
It is hereby certified and declared that the bonds
of this issue are issued pursuant to and in strict
compliance with the Constitution and laws of the
State of Washington and the ordinances of the City
of Tukwila, and that all acts conditions and things
required to be done precedent to and in the issuance
of this bond have happened, have been done and
have been performed as required by law.
IN WITNESS WHEREOF, the City of Tukwila
Washington, has caused this bond to be signed
by its Mayor and attested by its Clerk and its
corporate seal to be hereto affixed, and the
interest coupons attached to be signed with the
facsimile signatures of those officials as of
March 1, 1965.
CITY OF TUKWILA, WASHINGTON
By
ATTEST: Mayor
City Clerk
The interest coupons attached to the Bonds shall be in sub-
stantially the following form:
On the FIRST DAY OF (MARCH)(SEPTEMBER),
the CITY OF TUKWILA, WASHINGTON,
upon presentation and surrender of this coupon
will pay to bearer at the office of the City
Treasurer the sum of TWENTY -TWO AND FIFTY
ONE- HUNDREDTHS DOLLARS ($22.50) in lawful
money of the United States of America from the
special fund of the City, known as the "Water
and Sewer Revenue Bond Fund, 1961," that sum
being six months' interest then due on its
"Water and Sewer Revenue Bond, 1965,
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dated March 1, 1965, and numbered
CITY OF TUKWILA, WASHINGTON
By
Mayor
ATTEST:
City Clerk
The Bonds shall be printed on lithographed forms shall be
signed by the Mayor and attested by the Clerk, and shall have the seal of
the City affixed thereto, and the interest coupons shall bear the facsimile
signatures of the Mayor and Clerk.
Section 8. The City reserves the right to issue additional
or refunding water and sewer revenue bonds, which shall constitute a charge
or lien upon the gross revenues of the waterworks utility of the City, on a
parity of lien with the 1961 Bonds, the 1963 Bonds and the Bonds, if the
conditions set forth in Section 7 of Ordinance No. 334 shall be met and
complied with at the time of issuance of such additional or refunding water and
sewer revenue bonds, which section is incorporated in this ordinance and by
this reference made a part hereof.
Section 9. McLean Company, Inc. of Tacoma, Washington,
has offered to purchase the Bonds at a price of $97.00 per each $100.00 of par
value thereof plus accrued interest from the date of issuance to the date of
delivery of the Bonds the City to furnish the printed Bonds and the unqualified
approving legal opinion of Messrs. Roberts, Shefelman, Lawrence, Gay
Moch, municipal bond counsel of Seattle, Washington, at the City's expense.
The City Council being of the opinion that no better price could be obtained
for the Bonds and that it is in the best interests of the City to accept the
same, hereby accepts the same. The Bonds shall, therefore immediately
upon their execution be delivered to the purchaser upon payment for the Bonds
in accordance with the offer. The accrued interest received shall be deposited
in the Bond Fund and the principal amount received from the payment
for the Bonds shall be deposited in the "Water and Sewer Construction
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Fund, 1963," created by Ordinance No. 387 of the City. The action of the
City officials in heretofore entering into contracts to carry out the improvements
adopted in Section 1 hereof is hereby ratified and confirmed. Pending the
sale and delivery of the Bonds the City shall issue interest bearing warrants
drawn upon the "Water and Sewer Construction Fund, 1963," to be paid out
of the proceeds of the sale of such Bonds such warrants to bear interest
at the rate of 4 1/2% per annum from date of registration until called for payment.
PASSED by the City Council of the City of Tukwila, Washington,
at a regular meeting thereof and APPROVED by the Mayor this 18th day of
January, 1965.
CITY OF TUKWILA, WASHINGTON�
By
Mator Pko 7 C �1
ATTEST:) .2
City Clerk
FORM AP R9VED:
A
City City Attorney U
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