HomeMy WebLinkAboutOrd 0318 - Local Improvement (LIDS) Bonds and Warrants (Repealed by Ord 323)TOWN OF TUKWILA, WASHINGTON
ORDINANCE NO 318
REPEALED BY ORD 323
AN ORDINANCE providing for the guarantee
of local improvement bonds and warrants for
the Town of Tukwila, Washington; and creating
a fund for the purpose of guaranteeing, to the
extent of such fund, bonds and warrants issued
against local improvement districts therein, in
accordance with Chapter 141, Laws of 1923,
and Acts amendatory thereof (being Chapter
35.54, RCW),
BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN
OF TUKWILA, WASHINGTON, as follows:
Section 1. In accordance with Chapter 141, Laws of 1923, and
Acts amendatory thereof (being Chapter 35.54, RCW), the Town of Tukwila
hereby establishes and creates a fund for the purpose of guaranteeing, to the
extent of such fund, the payment of its bonds and warrants issued to pay for any
local improvement ordered in Local Improvement District No, heretofore
created, and in any local improvement districts in the Town of Tukwila created
subsequent to the effective date of this Ordinance. This fund shall be known
and designated as rrLocal Improvement Guaranty Fund."
Section 2 After the passage of this Ordinance, there shall be
levied, from time to time as other taxes are levied, such sums as may be
necessary to meet the financial requirements of the Local Improvement Guaranty
Fund created by this Ordinance; and whenever the Town of Tukwila shall have
paid out of said "Guaranty Fund's any sum on account of principal and interest
on a local improvement bond or warrant hereunder guaranteed, the Town of
Tukwila, as Trustee for such fund, shall be subrogated to all of the rights of
the holder of the bond, interest coupon, or warrant so paid and the proceeds
thereof, or of the underlying assessments, shall become a part of said fund,
Section 3, Whenever any interest coupon, bond or warrant
guaranteed under the provisions of the laws of the State of Washington in pur-
suance of which this Ordinance is passed shall be in default, the Town Clerk
shall be and is hereby authorized and directed, upon the presentation and
delivery of such defaulted bond, coupon or warrant, to execute, sign and
deliver to the person or persons presenting the same, in the order of their
presentation, and the Treasurer shall honor and pay, a warrant on the Local
Improvement Guaranty Fund in such amount as may be necessary to pay in full
any such coupon, bond or warrant with any interest that may be due thereon,
ALn_y defaulted coupon, bond or warrant received by the Town Clerk under the
provisions of this Ordinance shall be held for the benefit of said Local
Impr &venae nt Guaranty Fuzed,
Section 4. Warrants drawing interest at a rate not to exceed six
per, cent shall be issued, as other warrants are issued by the Town, against the
said Local. Improvement Guaranty Fund to meet any liability accruing against it;
and for the purpose of maintaining such fund the Town shall, at the time of
making its annual b -udget and taxlevy, provide for the levying of a sum sufficient,
with the Other r u!ces of the fund, to pay warrants so issued during the pre-
ceding fitcal_yeax and to establish such balance therein as the Town Council may,
from time to dial e, determine to maintain therein; PROVIDED, that the levy in
district fund guaranteed_under said state laws after the payment of all outstanding
bonds or warrants- payable primarily out of such local improvement district fund,
Section 6, Neither the owner nor the holder of any bond, interest
coupon, or warrant issued against a local improvement fund after the passage
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any one year shall not exceed five per cent of the outstanding obligations
guaranteed by the fund.
Section: 5, The Town Treasurer is hereby authorized and directed
to pair into such Local Improvement Guaranty Fund all interest received from bans
deposits of said fund, as well as any surplus remaining in any local improvement
of this Ordinance shall have any claim therefor against the Town of Tukwila,
except for payment from the special assessments made for the improvement
for which said bond or warrant was issued, and except as against the Local
Improvement Guaranty Fund created by this Ordinance, and the Town shall
not be liable to any holder or owner of such bond, interest coupon, or warrant
for any loss to the said Guaranty Fund occurring in the lawful operation thereof
by the Town,. The remedy of the holder or owner of a bond or warrant in case
of nonpayment shall be confined to the enforcement of the assessment and to
the Guaranty Fund, A copy of Section 35.45.,070, Revised Code of Washington,
the provisions of which are included in this section, shall be plainly written,
printed or engraved on each bond issued and guaranteed hereunder,
PASSED by the Town Council of the Town of Tukwila, Washington,
at a regular meeting thereof, and APPROVED by the Mayor, this, "5' day
of
ATTEST:
/''7 a ech
TOWN CLERK
1961.
MAYOR