Resolution 755RESOLUTION NO. 755
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF EDMONDS., WASHINGTON, APPROVING AND
AUTHORIZING THE EXECUTION AND DELIVERY OF A
REAL ESTATE PURCHASE CONTRACT AGREEMENT TO
ACQUIRE PROPERTY FOR OPEN SPACE.
- WHEREAS, the City has entered into an Option to Purchase
Real Estate Agreement authorized by the Council on July 7, 1992,
and a Supplemental Agreement authorized by the Council on
October 6, 1992, for the purchase of certain real property (the
"Property ") to be acquired for open space purposes of the City; and
WHEREAS, the City now wishes to close such purchase by
entering into a Real Estate Purchase Contract Agreement (the
"Contract ") in the form prepared by the City attorney, attached as
Exhibit A and made a part hereof, more particularly describing the
Property and the terms and conditions of the purchase, NOW,
THEREFORE,
THE CITY COUNCIL OF THE CITY OF EDMONDS, WASHINGTON,
HEREBY RESOLVES AS FOLLOWS:
Section 1. The City Council deems it to be in the best
interest of the City to purchase the Property on the terms and
conditions set forth in the Contract which is Exhibit A hereto, and
the Mayor and City Clerk are authorized and directed to execute and
deliver the Contract, subject to such changes as may be recommended
by the City attorney and Bond Counsel to the City, together with
all other closing documents as are reasonable and necessary to
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carry out the purpose of this resolution. It is the intention of
the Council that the principal amount of the Contract should be
included, insofar as possible, in the debt capacity allowance of
the City allocated to open space and park facilities.
Section 2. The full faith, credit and resources of the
City are pledged irrevocably for the payment of the principal of
and interest on the Contract. The City pledges to budget and
appropriate from annual regular property taxes and other revenues
available to the City without a vote of the electors of the City
amounts sufficient, together with other money legally available
therefor, to pay the principal of and interest on the Contract as
the same shall come due.
Section 3. The City Finance Director is appointed
registrar for the Contract and to fulfill the duties of registrar
set forth in Ordinance No. 2451 of the City. The Contract may not
be assigned or transferred except on the books of the registrar.
Section 4. The City covenants that it will take all
actions necessary to prevent amounts treated for federal income tax
purposes as interest paid under Contract from being included in
gross income for federal income tax purposes, and it will neither
take any action nor make or permit any use of the Property or funds
of the City treated as proceeds of the Contract at any time during
the term of Contract that would cause amounts treated for federal
income tax purposes as interest on the Contract to be included in
gross income for federal income tax purposes. The City certifies
that it has not been notified of any listing or proposed listing by
the Internal Revenue Service to the effect that it is any issuer of
obligations whose arbitrage certifications may not be relied upon.
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Section 5. Designation of Contract as "Qualified Tax-
Exempt Obligation." The City has determined and certifies that
(a) the Contract is not a "private activity bond" within the
meaning of Section 141 of the Code; (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, which derives its
authority to issue tax - exempt obligations from the City or which
issues tax - exempt obligations on behalf of the City) will issue
during the calendar year in which the Contract is executed and
delivered will not exceed $10,000,000; and (c) the amount of tax -
exempt obligations, including the Contract, designated by the City
as "qualified tax - exempt obligations" for the purposes of
Section 265(b) (3) of the- Code during the calendar year in which the
Contract is executed and delivered does not exceed $10,000,000.
The City designates the Contract as a "qualified tax - exempt
obligation" for the purposes of Section 265(b)(3) of the Code.
Section 6. This resolution shall take effect immediately
upon passage.
RESOLVED this 8th day of December, 1992.
APPROVED:
Mayor, aura M. Hall
ATTEST /AUTHENTICATED:
C'ty Clerk, onda J. March
FILED WITH THE CLERK: December 8, 1992
PASSED BY THE CITY COUNCIL: December 8, 1992
RESOLUTION NO. 755
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