HomeMy WebLinkAbout08-85
-
-
RESOLUTION NO. 15 -'ES5
A RESOLUTION of the City of Port Angeles
authorizing inter fund financing from
the Firemen's Pension Fund to Local
Improvement District No. 206.
WHEREAS, the City of Port Angeles has completed and
filed the final assessment roll for Local Improvement District
No. 206; and
WHEREAS, it is desirous of the City of Port Angeles to
finance said project through inter fund sources;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PORT ANGELES, as follows:
Section 1. That an interfund loan of $8,041.86 !rom
the Firemen's Pension Fund to Local Improvement District 206 is
hereby authorized.
Section 2. Said loan shall be perfected by warrant
issued by the Local Improvement District Fund and carrying an
interest rate of 9.75% per annum.
Section 3 .
Said loan shall be repaid through
collections of Local Improvement District 206 assessments in the
same manner as payment of local improvement district bonds.
Section 4. Said loan shall be guaranteed by the Local
Improvement Guarantee Fund.
PASSED by the City Council of the City of Port Angeles
at a regular meeting of said Council held on the ~\XVO day of
---b1r~L
, 1985.
rk~~ t<~
MAY 0 R
ATTEST:
TO FORM:
1j~L-
utson, City Attorney
MEMORANDUM
March 29, 1985
'.
TO: Mayor Whidden,
nt
FROM: Administrative Services D
RE: Authorizing Interfund Loan om the Firemen's Pension Fund
to Local Improvement Dist ict 206
ISSUE: Should the Council authorize an interfund loan from the
Firemen's Pension Fund to Local Improvement District 206?
BACKGROUND: When the City of Port Angeles embarked on Local
Improvement District 206, Bluewater View paving, it was
determined that due to the small size of the project, it would be
better to arrange for interfund financing than the issuance of
LID bonds. The proj ect has now been completed, the final
assessment roll adopted, and the payment period has expired. The
total assessments still outstanding for the LID are $8,041.86.
In order to complete the project, internal financing now needs to
be put in place.
ANALYSIS: Because of the extremely small size, it would be
totally impractical for the City to proceed with a bond issue for
this project, as well as being unreasonable to the property
owners. The Firemen's Pension Fund does have money available,
and purchasing warrants of a local improvement district backed by
the LID Guarantee Fund is an allowable investment under State
statutes. This is the method we anticipated using at the
inception of the project and now have the required information to
complete the transaction. The procedure will produce a very
competitive interest rate for the property owners involved.
RECOMMENDATION: We recommend that the Council authorize the
interfund financing of Local Improvement District No. 206 from
the Firemen's Pension Fund.
RDW : LF
-