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HomeMy WebLinkAboutOrd 0442 - Water and Sewer Revenue Bonds for Waterworks Utility CITY OF TUKWILA, WASHINGTON ORDINANCE NO. 442 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 estimated cost thereof as nearly as may be; providing for the issuance and sale of not to exceed $80,000.00 par value of water and sewer revenue bonds required to pay the cost thereof and the cost of completing the 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, as adopted by Ordinance No. 381, passed June 3, 1963; ratifying and confirming the action of the City officials in awarding a contract to Western Pipe Construction Company for the construction of the system or plan herein adopted; and providing for the issuance and sale of interest bearing warrants pending the sale of the water and sewer revenue bonds. 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 if certain conditions should be met and complied with at the time of the issuance of such 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 and 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 -2- amount of such water and sewer revenue bonds should be reduced by $140,000.00 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, the City Council heretofore determined that the proceeds received from the issuance and sale of said "Water and Sewer Revenue Bonds, 1963" were insufficient to complete the carrying out of the system or plan of additions to and betterments and extensions of the water- works utility of the City, as adopted by Ordinance No. 381 and by Ordinance No. 422, passed by the City Council and approved by the Mayor on the 18th day of January, 1965, issued and sold an additional $45,000.00 par value of the remaining authorized but unissued $77,000.00 par value of water and sewer revenue bonds authorized by Ordinances Nos. 381 and 382, said $45,000.00 par value of bonds having been combined with an additional authorized $40,000.00 par value of bonds issued under date of March 1, 1965, in the total amount of $85,000.00 par value and designated as "Water and Sewer Revenue Bonds, 1965" (hereinafter referred to as the "1965 Bonds and WHEREAS, it appears that the proceeds of the sale of the 1965 Bonds are still insufficient to complete the carrying out of the system or plan of additions to and betterments and extensions of the waterworks utility of the City, as adopted by Ordinance No. 381, and it is necessary to issue and sell an additional $20,000.00 par value of the remaining authorized but unissued $32,000.00 par value of water and sewer revenue bonds authorized by Ordinances Nos. 381 and 382; and WHEREAS, the public health, welfare, safety and convenience require and it is advisable that certain storm or surface water sewers be constructed and installed for the proper efficient operation of the system of -3-- sanitary sewerage disposal and treatment and that such storm or surface water sewers be deemed to be additions to and betterments and extensions of the waterworks utility of the City, the estimated cost of which is $60,000.00, and it is advisable that a single combined issue of water and sewer revenue bonds be issued in the amount of not to exceed $80,000.00 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, 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 the system or plan for making additions to and betterments and extensions of the existing waterworks utility of the City, consisting of the construction and installation of the storm or surface water sewers, more particularly described in Exhibit A attached hereto and by this reference made a part hereof. Section 2. The life of the foregoing additions, betterments and extensions is hereby declared to be at least forty years. Section 3. The estimated cost as near as may be of the afore- said system or plan of additions, extensions and betterments is hereby declared to be $60,000.00 and shall be paid from the proceeds received from the issuance and sale of not to exceed $60,000.00 par value of water and sewer revenue bonds which may be combined with and issued as a single combined issue with the $20,000.00 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 4. 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 sewerage disposal service on the entire -4- 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, 1963 Bonds and 1965 Bonds as such interest becomes due and payable, and to pay and redeem all of said bonds at maturity. Section 5. The bonds herein authorized to be issued shall be issued in one or more series at such time as the City Council should deem it advisable, shall bear such designation, shall bear such interest rate or rates, shall be in such denominations and form, shall be payable at such place or places and shall mature in accordance with such schedule beginning not earlier than one year after date of issuance and ending not later than forty years thereafter, or shall be term bonds, shall have such option of payment prior to maturity, shall guarantee such coverage and collection of rates, shall provide for such additional funds and accounts and shall contain and be subject to such provisions and covenants as shall hereafter be provided by ordinance. The bonds shall be sold at such times and in such manners as the City Council shall deem to be in the best interest of the City. Section 6. If the conditions required to be met for the issuance of parity bonds as set forth in Section 7 of Ordinance No. 334 authorizing the issuance of the 1961 bonds shall be met at the time of the issuance of the bonds herein authorized and such bonds shall be issued as parity bonds with the out- standing "Water and Sewer Revenue Bonds, 1961," "Water and Sewer Revenue Bonds, 1963" and "Water and Sewer Revenue Bonds, 1965, the bonds herein authorized shall be payable solely out of the special fund of the City created by Ordinance No. 320, as amended, and known as the "Water and Sewer Bond Fund, 1961." In the event the bonds herein authorized shall not be issued as parity bonds, the bonds shall be payable solely out of such special fund as shall be hereafter created in connection with the issuance and sale of such bonds and shall be a valid claim of the holder thereof only as against such special fund -5- in the amount of the revenues of the waterworks utility of the City pledged to such special fund and shall not be a general obligation of the City of Tukwila, Washington. Section 7. The action of the City officials in heretofore advertising for construction bids and awarding a construction contract to carry out the system or plan adopted in Section 1 hereof with Western Pipe Construction Company is hereby ratified and confirmed as the duly authorized act of the City. Section 8. The proceeds from the sale of the bonds authorized herein shall be deposited in the "Water and Sewer Cons truction Fund, 1963" of the City created by Ordinance No. 387. Pending the sale of the water and sewer revenue bonds herein authorized, the City may issue interest bearing warrants drawn upon the "Water and Sewer Construction Fund, 1963" to bear interest at the rate of 4 3/4% per annum from date of issue and to be paid out of the proceeds of the sale of said water and sewer revenue bonds within a period of not to exceed six months from the date of issuance of such warrants and such warrants shall be sold to McLean Company, Inc. of Tacoma, Washington,in accordance with its offer of October 25, 1965, duly accepted by the City on November 1, 1965, and such acceptance is hereby ratified and confirmed. PASSED by the City Council of the City of Tukwila, Washington, at a regular meeting thereof, and APPROVED by the Mayor this 15th day of November, 1965. CITY OF TUKWILA, WASHINGTON By /64 7 ATTES City Clerk FC0M APO ED: vvll ..�1✓ City Attorn -6- CITY OF TUKWILA, DRAINAGE PROJECT NO. 1 EXHIBIT "A" Pipe On From To Size South 140th St. Duwamish River Maule Avenue 18" Maule Avenue South 140th St. NEly extension of a 18" line 10' NWly paral- lel to the SEly line of Lot 10, Blk. 8, Hill- man's Seattle Garden Tracts, as recorded in Vol. 11 of Plats, Page 24, Records of King County, Washington Easement on said Maule Avenue 57th Ave. South 16" Lot 10, Blk. 8, Hill- man's Seattle Garden Tracts 57th Ave. South Easement on said Lot South 141st St. 16" 10, Blk. 8, Hill- man's Seattle Garden Tracts SWly margin of State Easement on said Lot North line of Joseph 14" Highway No, 5 -M 10, Blk. 8, Hill- Foster Donation Claim man's Seattle Gar- No. 39 in Twp. 23 North, den Tracts Range 4, East W.M. Approx. along the SWly margin of State 56th place South 14" North line of the Highway No. 5 -M Joseph Foster Dona- tion Claim No. 39, in Twp. 23 North, Range 4, East W.M. Easement 5' Sally Intersection of 500' NWly along 12" and parallel with S. 139th St. and 56th Ave. South SWly margin of 56th Ave. South 56th Ave. South (also, 56th Place South)