Ordinance 512263
OaDINAYCE DO. 412
LN URDIITAITCE Providing for a "Local Improvement Guaranty I'ancl"
for the City of Edmonds, providing for the levy of taxes therefor
and for, disbursement therefrom.
tHE CITY COU11CIL OF THE CITY OF EDMUDS DO UDAIF:
SECTIOF I: There is hereby setablished for the City of
Edmords a fund for the purpose of guaranteeing to the extent of
such fund and in the marrer hereirafter provided the payment of its
local improvement bonds and warrants issued to pay for aby local
improvements ordered. Such fund shall be designated "Local Improvement
Guarantee Fund". For the purpose of mairtaining the same the City
of Edmonds shall, after the creation thereof, levy from time to time
as other taxes are levied, such sums as ma be necessary to meet
the financial reauirements thereof ; provided, that such sum so levied
in any year shall not be more than sufficient to pay the outstanding
warrants on said fund and to establish therein a balanoewhich oombi-
red levy in any one year shall not exceed five per eent,k%) of the
outstanding obligations thereby guaranteed.
SECTION 2: Wherever there shall be paid out of said guarantee
fund ant sum on aeoount of principal or interest of a local improve-
ment bond or warrant, the City of Edmonds, as trustee for the fund,
shall be subrogated to all the rights of the holder of the bond or
interest coupon or warrant so paid,shall become part, of the guarantee
fund. There shall also be paid into said guaranty,-. fund the interest
received from bank deposits of the fund, ae well as any surplus remain-
ing in any local improvement fund guaranteed hereundr fater the payme,
ent,of all outstanding bonds or warrants payable primarily out of
such local improvement fund. Warrants drawing interest at a rate to
not exceed six per cent shall be issued, as other warrants are issued
by the City of Edmords, against the aaid guaranty fund to meet any 1
liability accruing against it; and at the time of making its annual
budget and tax levy the City of Edmonds shall provide for the levying
of a sum sufficient, with other resources of the fund, to pay warrants
so issued during the prooeding fiscal year; PROVIDED-, That such
warrants shall at no time exceed five per cent of the outstanding
bond obligation guaranteed by said fund. La among the several issaes
of bonds or warrants guararteed by the Turd no preference shall exist,
butdefaulted interest coupons, bonds and warrarts shall be purchased
out ofthe fund in the order of their presentation.
SECTION 3: So much of the money of the Local Improeemert Guaranty
Funs;as is necessary may be used to purchase certificates of delinquen-
cy for general taxes on property subject to local improvement assess-
ments, underlying bonds or warrants guaranteed by the fund, or to
purchase such property at oounty tax foreclosures or from the county
after foreclosure, for the purpose o:f protecting the guaranty fur_a.
Said fund shall be subrogated to the rights of the City of Edmonds,
and the city may foreclose the lien of general tax certificates of
delinquency and purchase the property at the foreclosure sale.
Wherever the City Council of the City of Edmonds shall foreclose a
lien of general tax e=tifieates of delinquency and purchase the
property at a foreclosure sale, the court costs and costs of publicat-
ion and ex penses for clerical work and/or other expenses incidental
thereto, shall be chargeable to and payable from the "Local Improvement
Guaranty Fund." After so acquiring tital to real property the City may
lease or sell and convey the came at public or private sale for such
price and on such terms as may to determind by resolution of the council,
any provisions of law, orordinaree to the contrary notwithstanding,
and all proceeds resultiorg from such sale shall belong to and be
paid into the guaranty fund.
PASSED this 7th day of June 1938.
Attest: Geo.M.&Iyda., F.A.FOURTKAER,
Mayor.
Published thislOth day of dune 1938.
I hereby certify that the above and
foregoing is a true and correct copy
of Ordinance Lo.512 of the City of
Edmonds, Wash.
y LtlE�`k.