Ordinance 695CITY OF ZDWNDS, WASHINGTON
OR')INANCE NO.
AN ORDINANCE providing for the issuance of $140,000
par value of "Water and Sewer Revenue bonds, 1953, Series
is'B " of the City of Edmonds, for the purpose of providing
funds with which to carry out a portion of the system or
plan of additions to and betterments and extensions of the
system of sewerage of the City, which is a part of the
waterworks utility of the City, as adopted by Ordinance
No. 635; fixing the date, form, maturities, interest rate,
covenants and terms of said Series"T bonds; and providing
for the sale thereof to Foster & Marshall, Seattle,
Washington.
WHFIEAS, the City of Edmonds by Ordinance No. 635, passed the
16th day of June, 1953, specified and adopted a system or plan of additions
to and betterments and extensions of the sewerage system of the City, which
has become a part of the waterworks utility of the City, and of additions to
and betterments and extensions of the waterworks system of the City; author-
ized the issuance of not to exceed $275,000.00 par value of "Water and Sewer
Revenue Bonds, 1953," in one or more series, to provide the funds required
to pay the cost thereof; and provided for the issuance and sale of $135,000.00
par value of said bonds as Series "A" for the purpose of obtaining funds with
which to carry out a portion of the system or plan of additions to and better-
ments and extensions of the sewerage system of the City, which has become a
part of the waterworks utility of the City, and a portion of the system or
plan of additions to and betterments and extensions of the waterworks system
of the City; and
WHEREAS, the City Council n,ems it to be in the best interests of
the City that an additional portion of such system or plan of additions to
• and betterments and extensions of the sewerage system of the City, which has
become a part of the waterworks utility of the City, becarried out, and that
the remaining $140,000.00 par value of the total authorized issue of "Water
and Sewer Revenue Bonds, 1953," be issued and sold to provide the proceeds
necessary to carry out said portion of said system or plan, NOW, THEREFORE,
THE CITY COUNCIL OF THE CITY OF EOWNDS, WASHINGTON, DUES ORDAIN
AS FULLUWS:
Section I. The following portion of the system or plan of additions
to and betterments and extensions of the sewerage system of the City, which
has become a part of the waterworks utility of the City, as specified and
adopted in Crdinance No. 635, passed June 16, 1953, shall be immediately
undertaken, to -wit:
The treatment plant, including grit chambers, comninuter,
control building, chlorinator and chlorine detention tank
referred to in paragraph 4 under the heading "Sewerage
System" in Section 3 of said ordinance, shall be constructed
and installed on the following described land heretofore
acquired by the City, to -wit:
Beginning at the intersection of the South line of Dayton
Street, Edmonds, with the nest line of the Northwest quarter
(N'Wj) of the Southeast quarter (SE}) of the Southeast quarter
(S ); thence south 335 feet, more or less; thence East 245.82
feet to the West line of Second Street produced; thence North
on said line 39.86 feet; thence East 240 feet; thence North
295 feet to the South line of said Dayton Street; thence West
along the South line of said Street 485.5 feet to the place
of beginning, all located in Section 23, Township 27 North,
Range 3 East, W.A., Snohomish County, Washington.
Said treatment plant, however, instead of merely including
an Imhoff Tank shall be a complete treatment plant producing
an effluent satisfactory to meet the requirements of the
Washington State Pollution Control Commission and the State
Department of Health.
The Sewage Lift Station and pressure sewer line thereto
at the north trunk sewer outfall, referred to in paragraph 1
unaer the hearing "Sewerage System" in Section3 of said
Ordinance No. 9W. shall be installed and completed.
Section 2 For the purpose of obtaining funds with which to carry
out the foregoing portion of the system or plan of additions to and better-
ments and extensions of the sewerage system of the City, which has become
a part of the waterworks utility of the City, it is necessary to issue and
. sell the entire remaining portion of the total authorized issue of "Water and
Sewer Revenue Bonds, 1953," and, therefore, there shall be issued and sold
"Water and Sewer Revenue Bonds, 1953, Series'B;" of the City of Edmonds in
the principal suQ. of $140,000.00. The bonds shall be in aenominations of
-2-
11,000.00 each, shall be numbered from 1 to 140, inclusive, shall be dated
May 1, 1957, shall bear interest at the rate of four per cent (4%) per
annum, interest to be payable semiannually on May 1st and November 1st of
each year, interest to maturity to be evidenced by coupons to be attached
to the bonds with full obligation on the part of the City to pay interest
at the same rate from ano after the bond maturity dates until the bonds
with interest are paid in full. Both principal of and interest on the
bonds shall be payable solely out of the special fund created by Ordinance
No. 635, and the bonds shall be a valio claim of the holder thereof only as
against said fund and the fixed amount of the revenues of the waterworks
utility, including the sewerage system as a part thereof, pledged to such
fund, and shall not be a gentral obligation of the City of Edmonds., The
bonds shall mature serially, in accordance with the following schedule, to -wit:
Bond Numbers Amounts Maturities
1 to ll, inclusive $11,OOO '.ey 1, 1970
12 to 27, " $16,000 h.ay 1, 1971
28 to 44, $17,000 May 1, 1972
45 to 61, " $17,000 May 1, 1973
62 to 79, " $18,000 May 1, 1974
80 to 98, " $19,000 May 1, 1975
99 to 118, $20,000 May 1, 1976
119 to 140, $22,000 May 1, 1977
Section 3. The City of Edmonds reserves the right to redeem any
or all of the outstanding bonds of said series or. May 1, 1964, or on any
semiannual interest payment date thereafter, in inverse numerical order,
highest numbers first, at the following percentages of par if redeemed on
the following dates, plus accrued interest to date of redemption in each
case, to -wit:
On May 1 or November 1, 1964, at ............. 102j%
On May 1 or November 1, 19V , at .............102 %
• On May 1 or November 1, 1966, at .............10171%
On May 1 or November 1, 1967, at .............101 %
On May 1 or November 1, 1968, at ..............1000
On May 1, 1969, and thereafter................at par.
Notice of such call for redemption shall be published once not
less than thirty nor more than forty-five days prior to the call date in
the official newspaper of the City, and shall also be ailed to Foster 8
-3-
Marshall, 820 Secona Avenue, Seattle, Washington, within the same period.
Interest on any bonds so called for redemption shall cease on the date fixed
for such redemption.
Section 4. So long as bonds of said "Series B" are outstanding
40 against the "Water and Sewer Revenue Bond Fund, 1953," created by Ordinance
No. 635 of the City of Edmonds, the City Council of the City of Edmonds shall
set aside and pay into said fund out of the gross revenues of the waterworks
utility, including the sewerage system as a part thereof, and including any
additions thereto or extensions or betterments thereof at any time made or
constructed, a fixed amount, without regard to any fixed proportion, namely,
monthly, beginning on June 1, 1957, one -sixth of the next ensuing six months'
requirements of interest on the bonds, and monthly, beginning on June 1, 19699
one -twelfth of the next ensuing 12 months' requirements of both principal and
interest on the bonds.
Section 5. The City of Edmonds shall establish, maintain and
collect such rates and charges for water and sewerage service, as long as
any of said "Series B" bonds herein authorized to be issued are outstanding,
as will make available for the payment of the principal and interest on all
such bonds as the same shall accrue, an amount equivalent to at least 1.5
times the average annual debt service, both principal and interest, of the
said "Series B" bonds and of the outstanding "Water and Sewer Revenue Bonds,
1953, Series A," and the City of Edmonds Water Revenue Bonds, 1949," after
deducting the necessary cost of maintenance and operation and taxes from
the gross revenues of its waterworks utility, including the sewerage system
as a part thereof.
• Section 6. The bonds presently to be issued and sold shall be known
as "Water and Sewer Revenue Bonds, 1953, Series'B;" and shall be in substan-
tially the following form:
No. UNITED STATES OF AMERICA $1,000.00
STATE OF WASHINGTUN
CITY uF EDMONDS
WATER AND SEWER REVENUE BOND, 1953, SERIES "B"
4%
-4-
KNOW ALL MEN BY THESE PRESENTS that the City of Edmonds.
Snohomish County, State of Washington, for value received
hereby promises to pay to bearer on the 1st day of May,
19 , the principal sum of
ONE THOUSAND DOLLARS
together with interest thereon at the rate of four per cent
(4%) per annimi, payable semiannually on the lst days of May
and November of each year upon the presentation and surrender
of the attached interest coupons as they severally mature up
to the bond maturity aate and with full obiigition on the part
of the City to pay interest at the same rate from and after
the maturity date until this bond with interest is paid in full.
Hoth principal and interest are payable in lawful money of the
United States of America at the office of the City Treasurer of
Edmonds, Washington, solely out of the special fund created by
Ordinance No. 635, known as "Water and Sewer Revenue Bond Fund,
1953," into which fund the City of Edmonds hereby irrevocably
binds itself to pay certain fixed amount out of the gross revenues
of the waterworks utility of the City, including the sewerage
system now belonging or which may hereafter belong to the City as
a part thereof, and including any additions, betterments, eRten-
sions and replacements now or at any time hereafter made or con-
structed, without regard to any fixed proportion, namely, an
amount sufficient to pay the principal of and interest on this
issue of bonds as they respectively become due, all at the times
and in the manner set forth in Ordinance No. .
This bond is one of a total authorized issue of $275,000.00
par value of "Water and Sewer Revenue Bonds, 1953," $1409000.00
par value of which have heretofore been issued as Series "A"
under date of July 1, 1953. The bonds of this series are
designated Series "B", are in the total amount of $140,000.00
par value, are all of like date, tenor and effect, except as
to maturities, are payable from the said "Water and Sewer Revenue
Bond Fund, 1953," of the City of Edmonds and are issued by the
said City under and pursuant to the laws of the State of Washington
and Ordinances Nos. 635 and of the City of Edmonds for the
purpose of providing funds to pay the cost of making certain addi-
tions to and extensions and betterments of the sewerage system pf
the City of Edmonds, which has become and is considered a part of
the waterworks utility of the City. Reference is made to said
Ordinances Nos. 635 and of the City, as more fully describ-
ing the covenants with and rights of the holders of the bonds of
this series and issue.
The City of Edmonds reserves the right to redeem any or all
of the outstanding bonds of this series on May 1, 1964, or
on any semiannual interest payment date thereafter, in inverse
numerical order, highest numbers first, at the following per-
centages of par if redeemed on the following dates, plus accrued
interest to date of redemption in each case, to -wits
On May 1 or November 1, 1964, at .................102i%
On May 1 or November 1, 1965, at .................102 %
On May 1 or November 1, 1966, at .................101
On May 1 or November 1, 1967, at .................101 %
On May 1 or November 1, 1968, at .................1001%
On May 1, 1969, and thereafter .................... at par.
-5-
Notice of such call for redemption shall be published
once not less than thirty nor more than forty-five days
prior to the call date in the official newspaper of the City,
and shall also be mailed to Foster a Marshall, 820 Second
Avenue, Seattle, Washington, within the same period. Interest
on any bonds so called for redemption shall cease on the
date fixed for such redemption.
All bonds of the total authorized issue of $275*000.00
par value constitute a charge or lien upon the gross revenues
of the waterworks utility, including the sewerage system as
a part thereof, prior and superior to any other charges what-
ever, excluding charges for maintenance and operation, except
that the charge or lien upon said gross revenues from the
waterworks system alone for said bonds is suoordinate or
inferior tothe prior charge cr lien against the same for the
outstanding "City of Edmonds Water Revenue Bonds, 1949."
The City of Edmonds hereby bindsitself irrevocably not
to mortgage, sell, lease or in any manner dispose of the
waterworks utility, including the sewerage system as a part
thereof, now belonging to or which may hereafter belong to
it, including all additions, betterments and extensions
thereof at any time made, :.atil all of the bonds of this
series and issue with interest thereon shall have been fully
paid; and the City hereby covar.ants and agrees to aid with
the holder of each and every bond to maintain in goci condi-
tion and to operate said waterworks utility, including the
sewerage system as a part thereof, and to establish, maintain
and collect such rates and charges in connection therewith
as will produce the gross revenues necessary to meet the
obligations of the City as herein set forth.
It is hereby certified and declared that the bonds of
this series are issued pursuant to and in strict compliance
with the Constitution and the laws of the State of Washin;on
and the ordinances of the City of Edmonds and that all acts,
conditions and things required to be done precedent to and
in the issuance of this bond have happened, been oone and
performed as required by law.
IN WITNESS WHEREOF, the City of Edmonds, Washington, has
caused this bond to be signed by its Mayor and attested by
its Clerk and its corporate seal to be hereto affixed and
the interest coupons attached to be signed with the facsimile
signatures of said officials this 1st day of May, 1957.
CITY OF EDMONDS, WASHINGTON
• 6Y
w � R
ATTEST:
C 1 T Y C L E R K
The interest coupons attached to the bonds shall be in sub-
stantially the following form:
-6-
un (May)(Nuvember) 1st, 19 , 1-HEE MY OF EDMGNDS,
WASHIPKiTUN, upon presentation and surrender of this coupon,
will pay to bearer at the office of the City Treasurer the
sum of TWENTY AND WU/100 ($20.00) DOLLARS in lawful money
of the united States of FT.eric.a, from the special fun:: of
the City known as the "Water and Sewer Revenue Bond Funj,
1953," said sum being .ix months' interest then due on its
"Water and Sewer Revenue bond, 1953, Series'-;" dated May 1,
1957, and numbered
CUUPUN � ru .
S20,00
"ITY ut L7MtADS, wASHINGTUN
;Y
M A Y O R
ATTEST:
C I T Y 7 L E R K
Sectio:i 7. ThA bonds shall be printed on lithographed forms,
snall be signeu by the Mayor anu attested by the Clerk, and shall nave
the seal of the Citv of camonds affixed thereto, and the coupons shall
bear the facsimile signatures of the Mayor and the Clem .
Section B. All moneys derived from the sale of said oonjs shall
be expendea solely for the purpose of carrying out the portion of the plan
or system of additions to and betterments and extensions of the sewerage
system of the City of Edmonas, all t,, become a Bart of the wa'erwurk-
utility of the City, as set forth herein; and the City of L,ji,onys through
its Proper officers shall proceed forthwith w..n said improvement.
Section 9. Foster & Marshall of Seattle, 'Washington, heretofore
submitted an offer to purcnase the said bonds at a price f $97.00 for each
$100.M par value tr,ereof, plu,_ accrued interest from the date of issuance
to the date of d..livery of the bonds to the purchasers, the purcnasers to
• furnisn the approving legal opinion of meter, RO erts K Shefelman, municipal
bond counsel of S,:attle, h'ashington, and the printe�j bonds ready for execution
by the City officials without expense to the City. The City Council, !eeming
that no better offer couli be received for the bonds and that it was in the
best interest of the City to accept sr.id offer, on April 2, 1957, duly accefted
the same and the acceptance of said offer is hereby ratified and approved.
The bonds shall, therefore, iwuediately upon their execution be delivered
to Foster & Marshall of Seattle, Washington, upon payment therefor in
accordance with their offer as accepted.
PASSED by the City Council at a regular meeting thereof and
APPROVED by the Mayor of the City of iumonds, Washington, this 16th day
of April, 1957.
ATTEST:
42
C I T Y C L E P" K
0
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M A Y O R