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Ordinance 2587CITY OF EDMONDS, WASHINGTON ORDINANCE NO. 2587 AN ORDINANCE relating to Local Improvement District No. 212; fixing the amount, form, date, interest rate, maturity and denominations of the Local Improvement District No. 212 Bonds; providing for the sale of such bonds; and fixing the interest rate on Local Improvement District No. 212 assessment installments. THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON, DO ORDAIN as follows: Section 1. The total amount of the assessment roll in Local Improvement District No. 212 in the City of Edmonds, Washington (the "City"), created under Ordinance No. 2384, passed July 19, 1983, was $87,783.36. The 30-day period for making cash payments of assessments without interest in the District expired on October 14, 1986, and the total amount of assessments paid in cash was $21,668.76, leaving a balance of assessments unpaid on the assessment roll in the sum of $66,114.60. Local Improvement District No. 212 Bonds (the "Bonds") therefore shall be issued in the total principal amount of $66,114.60. The Bonds shall be dated November 17, 1986, shall mature on November 17, 1998, and shall be numbered from 1 to 14, inclusive, in the manner and with any additional designa- tion as the Director of Administrative Services and Finance Director of the City, who is appointed Bond Registrar for the Bonds, deems necessary for the purpose of identification. Bond No. 1 shall be in the denomination of $1,114.60 and Bonds Nos. 2 to 14, inclusive, shall be in the denomination of $5,000.00 each. Interest shall be computed on the basis of a 360-day year of twelve 30-day months. The Bonds shall bear interest at the rate of 7.00% per annum, payable annually beginning November 17, 1987. The Bonds shall be issued only in registered form as to both principal and interest on books or records maintained by the Bond Registrar (the "Bond Register"). Such Bond Register shall contain the name and mailing address of the owner of each Bond and the principal amount and number of Bonds held by each owner. --Bonds may be transferred only if endorsed in the manner provided thereon and surrendered to the Bond Registrar. The transfer of a Bond shall be by the Bond Registrar's receiving the Bond to be transferred, cancelling it and issuing a new certificate in the form of the Bonds to the transferee after registering the name and address of the transferee on the Bond Register. The new certificate shall bear the same Bond number as the transferred Bond but may have a different inventory reference number or control number. Such exchange or transfer shall be without cost to the owner or transferee. Both principal of and interest on the Bonds shall be payable solely out of the Local Improvement Fund, District No. 212 (the "Bond Fund") and from the Local Improvement Guaranty Fund of the City, and shall be payable in lawful money of the - 2 - United States of America. Interest on the Bonds shall be paid by check or draft mailed to the registered owners at the addresses appearing on the Bond Register fifteen calendar days preceding the interest payment date. The principal of the Bonds shall be payable upon presentation and surrender of the Bonds by the registered owners at the Bond Registrar in Edmonds, Washington. The City reserves the right to redeem the Bonds prior to their stated maturity on any interest payment date, in numerical order, lowest numbers first, at par plus accrued interest, whenever there shall be sufficient money in the Bond Fund to pay the Bonds so called and all earlier numbered Bonds over and above the amount required for the payment of the interest on all unpaid Bonds, by mailing, not less than 15 nor more than 30 days prior to the date fixed for redemption, notice of such redemp- tion by first class mail, postage prepaid, to the registered owner of any Bond to be redeemed at the address appearing on the Bond Register. The requirements of this section shall be deemed to be complied with when notice is mailed as herein provided whether or not it is actually received by the owner of any Bond. The interest on the Bonds so called for redemption shall cease on the date fixed for redemption unless such Bond or Bonds so called are not redeemed upon presentation made pursuant to such call. Section 2. The Bonds shall be printed, lithographed or typed on good bond paper in a form consistent with the - 3 - provisions of this ordinance and state law, shall be signed by the Mayor and the City Clerk, both of whose signatures shall be in facsimile, and shall have a facsimile reproduction of the seal of the City printed thereon. Only such Bonds as shall bear thereon a Certificate of Authentication in the following form, manually executed by the Bond Registrar, shall be valid or obligatory for any purpose or entitled to the benefits of this ordinance: CERTIFICATE OF AUTHENTICATION This bond is one of the fully registered City of Edmonds, Washington, Local Improvement District No. 212 Bonds described in the within mentioned ordinance. By Director of Administrative Services and Finance Director of the City of Edmonds, Washington, Bond Registrar Such Certificate of Authentication shall be conclusive evidence that the Bonds so authenticated have been duly executed, authen- ticated and delivered hereunder and are entitled to the benefits of this ordinance. In case either or both of the officers who shall have executed the Bonds shall cease to be such officer or officers of the City before the Bonds so signed shall have been authenti- cated or delivered by the Bond Registrar, or issued by the City, such Bonds nevertheless may be authenticated, delivered and issued and upon such authentication, delivery and issuance, shall be as binding upon the City as though those who signed the - 4 - same had continued to be such officers of the City. Any Bond also may be signed on behalf of the City by such persons as at the actual date of execution of such Bond shall be proper officers of the City although at the original date of such Bond any such person shall not have been such officer of the City. Section 3. The Bond Registrar shall keep, or cause to be kept, at its principal corporate trust office, sufficient books for the registration and transfer of the Bonds, which shall at all times be open to inspection by the City. The Bond Registrar is authorized, on behalf of the City, to authenticate and deliver Bonds transferred or exchanged in accordance with the provisions of such Bonds and this ordinance and to carry out all of the Bond Registrar's powers and duties under this ordinance and Ordinance No. 2451 of the City. The Bond Registrar shall be responsible for its representa- tions contained in the Registrar's Certificate of Authentication on the Bonds. Section 4. The Bonds shall be negotiable instruments to the extent provided by RCW 62A.8-102 and 62A.8-105. Section 5. The City covenants that it will neither make nor permit any use of proceeds of the Bonds or other funds of the City at any time during the term of the Bonds which will cause the Bonds to be arbitrage bonds within the meaning of Section 148 of the United States Internal Revenue Code of 1986 and applicable regulations promulgated thereunder. Further, the City covenants that, if all proceeds of the Bonds have not been - 5 - spent within six months from the date of issuance of the Bonds, it will calculate, or cause to be calculated, and rebate to the United States all earnings from the investment of Bond proceeds that are in excess of the amount that would have been earned had the yield on such investments been equal to the yield on the Bonds, plus all income derived from such excess earnings, to the extent and in the manner required by Section 148 of such Code and such applicable regulations. In the event the City shall fail to meet the rebate requirements applicable to the Bonds under Section 148 of such Code, the City covenants that, to the extent permitted by that Section, it shall pay the penalty provided in Subsection 148(f)(7)(C) if required to prevent a loss of the tax exemption for interest on the Bonds. The City has not been notified of any listing or proposed listing by the Internal Revenue Service to the effect that the City is a bond issuer whose arbitrage certifications may not be relied upon. Section 6. The City finds and declares that it is a duly organized and existing governmental unit of the State of Washington and has general taxing power; that no Bond which is part of this issue of Bonds is a "private activity bond" within the meaning of Section 141 of the Internal Revenue Code of 1986; that at least 95 percent of the net proceeds of the Bonds will be used for local governmental activities of the City (or of a governmental unit the jurisdiction of which is entirely within the jurisdiction of the City); and that the aggregate face - 6 - amount of all tax-exempt obligations (other than private activity bonds) issued by the City and all entities subordinate to the City (including any entity which the City controls or which derives its authority to issue tax-exempt obligations from the City) during the current calendar year is not reasonably expected to exceed $5,000,000. The City therefore certifies that it is an issuer which qualifies for the small governmental issuer arbitrage rebate exemption under Section 148(f)(4)(C) of the Internal Revenue Code of 1986. Section 7. The City has determined and certifies that (a) the Bonds are not "private activity bonds" within the meaning of Section 141 of the Internal Revenue Code of 1986; (b) the reasonably anticipated amount of tax-exempt obligations (other than private activity bonds) which the City and any entity subordinate to the City (including any entity which the City controls or which derives its authority to issue tax-exempt obligations from the City) will issue during the calendar year in which the Bonds are issued will not exceed $10,000,000; and (c) the amount of tax-exempt obligations, including the Bonds, designated as "qualified tax-exempt obligations" for the purposes of Section 265(b)(3) of the Internal Revenue Code of 1986 or any predecessor provision of federal law by the City during the calendar year in which the Bonds are issued does not exceed $5,000,000. The City designates the Bonds as "qualified tax-exempt obligations" for the purposes of Section 265(b)(3) of the Internal Revenue Code of 1986. - 7 - Section 8. The Bonds shall be sold by the City under the terms and conditions set forth herein at a price of par plus accrued interest from the date of the Bonds to the date of their delivery to the purchasers, the City to furnish the printed Bonds and the approving legal opinion of Roberts & Shefelman, municipal bond counsel of Seattle, Washington, at the City's expense. Bond counsel's opinion shall be given on a date agreed upon between the City and bond counsel, and bond counsel is not retained to give an opinion on and bond counsel's opinion shall not apply or relate to events occurring after that date. Bond counsel is not retained for the purpose of reviewing and shall not be required to review or express any opinion concerning the completeness or accuracy of any official statement, offering circular or other sales material issued or used in connection with the Bonds, and bond counsel's opinion shall so state. The proper City officials are authorized and directed to do everything necessary for the prompt sale and delivery of the Bonds to the purchasers of the Bonds and for the proper applica- tion and use of the proceeds of the sale thereof. Section 9. The interest rate on the installments and delinquent payments of the special assessments in Local Improvement District No. 212 are revised and fixed at the rate of 7.50% per annum. Section 10. This ordinance, being an exercise of a power specifically delegated to the City legislative body, is not subject to referendum and shall take effect five days after its passage and publication. �C- MAYOR,XLKJRRY S. NAUGHTEN ATTEST/AUTHENTICATED: CI Y CLERK, JACQUELINE PARRETT APPROVED AS TO FORM: OFFICE OF THE_CITY ATTORNEY: BY FILED WITH THE CYTY CLERK: October 31, 1986 PASSED BY THE CITY COUNCIL: November 3, 1986 PUBLISHED: November 8, 1986 EFFECTIVE DATE: November 13, 1986 ORDINANCE NO. 2587 0614e - 9 - STATE OF WASHINGTON, COUNTY OF SNOHOIAISH, V ORDINANCE �JO. 2587 V AN ORDINANCE relating to Local Improvement District No. 212. fixing the amount, form, date, Interest rate, maturity and - denominations of the Local Improvement District No. 212 Bonds; ,providing for the sale of such bonds; and fixing the interest rate of Local Improvement District No. 212 assess. mint installments. THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHING. I as th of the The Bonds shall be issued only in registered form as to both :principal and Interest on books or records maintained by the Bond Registrar (the "Bond Register"). Such Bond Register shall contain the name and moiling address of the owner of each Bond and the principal amount and number of Bonds held by each owner. Bonds may be transferred only if endorsed In the manner Provided .thereon and surrendered to the Bond Registrar. The transfer. of a Bond sholLbe by the Bond Registrar's receivingg the Bond to be, transferred, cgnceliing it and issuing a new certificote in the form of the Bonds to the transferee offer registering the name and address of the transferee on the Bond Register. The new certificate shall. bear the some Bond number as the irons-. tarred Bond .but may hove o different Inventory reference number or, control number. Such exchange or transfer shall be without cost to the owner or transferee. Both principal of and interest on the Bonds shall be payable solely out of the Local Improvement Fund, District No. 212 (the Bond Fund") and from the Local Improvement Guaranty Fund of the City and shall be payable in lawful money of the United States of America: Interest on the Bonds shall be Paid by check or or 710., LEGAL NOTICE - - uthenticated have been duly exill .d hereunder and are entitled to the b both of the officers who shall have ase'to be such officer or offlccers of so sloned shall. have been nuthentl Any any such person or cause to be Re d books for the i If at all times be trar is authorize : ­ vorn on oath deposes and says Registrarrshall be rasponsible'for its representations the Registrars certificate of Authentication on the J' HERALD, a daily newspaper The Bonds shall be negotiable instruments to the , led by RCW 62A.8.102 and 62A.8-105;` Everett County of Snohomish The City covenants that .it will neither make nor i , ouny ise of proceeds of the Bonds or other funds of the City during the term of the Bonds which will cause the newspaper is a newspaper of arbitrage bonds•within'the meaning of Section 148 of tales Internal Revenue Code of 1986 and'applicable , iromulgated thereunder. Further, the.City covenants rid State; that said newspaper oceeds of the Bonds have not been.spent within six the date of Issuance of the Bonds, It will calculate, or calculated, and rebate to the United States all paper by order Of the Superior nthe Investment of Bondproceeds that are in excess ,t that would have been earned had the yield onsuch the notice ........................................ been equal to the yield on the Bonds, plus all Income , requirements applicable to the Bonds under Section 148 of such Code, the City covenants that, to the extent peemitted'byy, that............................................................... Section It shall pay the penalty provided in Subsection 148(f)(7)(C) If required to prevent a loss of the tax exemption for Interest on the Bonds. The City has not been notified of any listing or proposed listing by -the Internal Revenue Service to the effect that the City 1s a -•••••••••••••••••--•------•••-•-••....................•-•----- bond Issuer whose arbitrage certifications may not be relied upon. Section 6, The City finds and declares that it Is o duly organized cn Is port of Tnls Issue Rhin the meaning of ............................................................... ' 1986; that at least 95 . attached was published in said will be used for local r smdion t°the city .ement form, in the regular and )x-exempt obligations by the City and all any entity .Tawhich the )llowing days and times, namely: to Issue x-exemot , small govern. under. Section ................................................................ es that (a) the he meaning of -- - -..__, ....._....._ ........ ................��...............-................................................. to the Clty-(Including any entity which the City controls or which derives Its authority to issue tax-exempt obligations from the City) will Issue during the calendar year In which the Bonds are •rly distributed to its subscribers Issued will not exceed $10,000,000; and (c) the amount of tax- exempt obligations Including the Bonds, designated as "qualified tax-exempt obligations" for the purposes of Section 265(b)(3) of the Internal Revenue Code of.1986 or any predecessor provisions of federal law by the City during the calendar year in which the Bonds are issued does not exceed $5,000,000. The City designates„ the Bonds as "qualified tax-exempt obligations" for the purposes ... Section 8. The Bonds shall be sold by the City under the terms Principal Clerk an c—onnffions set forth herein at a price of par plus accrued Interest from the date of the Bonds to the date of. their delivery to - the 10 th purchasers the City to furnish the pprinted Bonds and the approving legof opinion of Roberts & Shefelmon, municipal bond counsel . of Seattle Washington, at the City's expense.. Bond 1 t0 before me this ............................ counsel's opinion sAoii ber given on a date. agreed upon between the City and bond counsel, and bond counsel is not retained to 8 6 give an opinion on and bond counsel's opinion shallnotapply or relate to events occurring offer that date. Bond counsel is not ores a bond Register fifteen calendar days preceding the interest retained for the purpose of reviewing and shall not be required to. 19•• feview or express any opinion concerning the completeness or ""'-'-"""""•......... ................. ...... on Payment dote. The principal of the BonBonds b she g payable o upon accuracy of any official statement, offering circular or other sales j presentation and surrender of the Bonds in the registered owners material issued or used in connection with the. Bonds,,and bond at the Bond Registrar In Edmonds, Washington. counsel's opinion shall so state. They City reserves the right to redeem the bonds prior to their The proper City officals are authorized and directed to dolc..� ' stated maturity f any interest payment dale, In numerical order, everything necessary for the, prompt. sale and delivery. of the'--- ...' "'"'�""'J�•'- towel( numbers first, at par plus accrued Interest, whenever Bonds to the purchasers of the Bonds and for the proper applfca. in and for the State Of Washington 'there lleiall be sufficient money In the Bond Fund to pay the Bonds , so called and all earlier numbered Bonds over and above the tion and use �of the. proceeds of the sale thereof. , amount required for the payment of the Interest on all unpaid ' Section 9. The Interest rate on the Installments and delinquent !rett, Snohomish County. Bonds, by mailing,. not less than 15 nor more than 30 days prior to PaymeUs of the special assessments In Local Improvement the date fixed for redemption,. notice of such redemption by first District No. 212 are revised and fixed at the rate of 7.50 % per class moll, postage prepaid, to the registered owner of any Bond annum. - to be redeemed' at, the address appearing on the Bond Register. Section 10. This ordinance, being an exercise of a power specif- The requirements of this section shall be deemed to be compiled IcaFy—Idee7egated to the City legislative body is not sublect to with when notice is mailed as herein provided whether or not It Is referendum and shall take effect five days offer Its passage and actually received. by the owner of any Bond. The interest on the publication. Bonds so called for redemption shoal cease on the date fixed for LARRY S. NAUGHTEN redemption unless such Bond or Bonds so called are not Mayor redeemed upon presentation made pursuant to such call. ATTEST/AUTHENTICATED: Section 2. The Bonds shall be printed, lithographed or typed on JACQUELINE G. PARRETT, City Clerk goo on power -in a form consistent with the provisions of this APPROVED AS TO FORM: ordinance and state law, shall be signed by the Mayor and the OFFICE OF THE CITY ATTORNEY: City Clerk, both of whose signatures shall be in facsimile, and BY W. SCOTT SNYDER shall have _a facsimile reproduction of ihe.seal of the City printed FILED WITH THE CITY CLERK: October 31, 1986. thereon.. PASSED BY THE CITY COUNCIL: November 3, 1986. Only such Bonds as shall bear thereon a Certificate of Authenti- EFFECTIVE DATE: November 13, 1986. - cation in the following. form, manually executed by the Bond ORDINANCE NO. 2587 - Registrar, shall be valid or obligatory for any purpose or entitled Published: November 8, 1986. to the benefits of this ordinance: CERTIFICATE OF AUTHENTICATION This bond is one of the fully registered City of Edmonds, Washington, Local Improvement District No. 212 Bonds described in the within mentioned ordinance. B _ Director of Administrative Servlces' and Finance Director of the City of Edmonds, Washington; Bond Registrar Such, Cerfiticate of Authentication shall be conclusive evidence B-2-1 the Australian the South Pole float. 10 miles .nglish . Channel. . or Continental Id fly a light ed by a. VW i the ocean and' >mposer would irto for . Yellow lnd Orchestra," d be named so vould be ''VW". iney would ` im Beetle named seriesof box my establishing is the world's close to five !s were sold, n .half of them the road - a if the esteem have for them der that the Ietle will be rs to come. To the Beetle will if has been nember of the 't happens to ge." hosen to the benefits of this or, CERTIFICF this bond is one of Washington, Local in described in the within Sales of the Beetle AUT High-L Reduce About a yea drivers .began red eye starir from many of every time the brake pedal. properly. knowr brake lights" o� required by fec 1986 model ci JTHENTICATION an . registered City of E nt District No. 211 d ordinance. ........... S& Affidavit of Publication The undersigned, being first duly sworn on oath deposes and says that she is Principal Clerk of THE HERALD, a daily newspaper printed and published in the City of Everett, County of Snohomish, and State of Washington; that said newspaper is a newspaper of general circulation in said County and State; that said newspaper has been approved as a legal newspaper by order of the Superior Court of Snohomish County and that the notice ........................................ Ordinance No. 2587 a printed copy of which is hereunto attached, was published in said newspaper proper and not in supplement form, in the regular and entire edition of said paper on the following days and times, namely: Nov. 8, 1986 ..................................................................................................................................... ...................................................................................................................................... and that said newspaper was regularly distributed to its subscribers during all•-6f id period. 'Z:1.:......�.........:..1 ....:..................... Principal Clerk 10 t:h Subscribed and sworn to before me this ............................ Nov. 86 dayof—., 11 ..........................................................1 19........ Notayy Public in and for the State of Washington, resi • ing at Everett, Snohomish County. l Such. Certificate of Auth B-2-1