HomeMy WebLinkAbout1817ORDINANCE NO. / '/ 7
AN ORDINANCE providing for extension of certain loans
to the Sewer Fund.
WHEREAS on the 21st day of March, 1968, the City Council by
Ordinance No. 1637 authorized the Sewer Fund to borrow $750,000.00 from
the Light Fund, $250,000.00 from the Current Expense Fund, and
$100,000.00 from the L.I.D. Guarantee Fund of which sum only $873,000.00
was actually borrowed; and
WHEREAS the outstanding balances on said loans as of March 31,
1974, on each of said loans is: Current Expense Fund $129,000.00,
Light Fund $320,000.00, L.T.D. Guarantee Fund $38,000.00, for a total
of $487,000.00; and
WHEREAS the additional costs in setting up a sewer revenue bond
issue to pay off said balance are not warranted and it is in the best
interest of the City to extend said loan on the present current interest
rate for a period of three (3) years; and
WHEREAS the current interest rate for obligations of this type
is five and one -half per cent per annum, now, therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORT ANGELES
as follows:
Section 1. The outstanding loans from the Current Expense Fund
in the amount of $129,000.00, Light Fund in the amount of $320,000.00,
and L.T.D. Guarantee Fund in the amount of $38,000.00, to the Sewer
Fund are extended and renewed for a period of three (3) years from the
date hereof.
Section 2. The Sewer Fund shall, within three (3) years from
the date of this Ordinance, pay back all loans with interest thereon at
the rate of five and one -half (52) per cent per annum. These repayments
are to be made from the income of the Sewer Fund and other available
funds.
PASSED by the City Council of the City of Port Angeles and
approved by its Mayor at a regular meeting of the Council held on the
19th day of March 1974.
Attest:
Mayor
k /
City Clerk
Approved as to form:
%itY Attorney
PUBLISHED: 4 4,t4 a.;?, / ?7d