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ORDINANCE NO. 42/�
AN ORDINANCE of the City of Pasco, Washington, providing for the
issuance and sale of water revenue bonds in the total
principal sum of $200,000.00 to provide funds for the
payment of the costs of the improvements, additions
and extensions as provided in Ordinance No. 610 of
said City, passed and adopted January 6, 1948, pro-
viding for the terms, form and date of said bonds and
creating a fund for their payment' and for the payment
of the improvements, betterments and additions pro-
vided for by said Ordinance No. 610.
WHEREAS the City of Pasco, Washington, by Ordinance
No. 610 passed and approved January 6, 1948, provided for the issu-
ance and sale of water revenue bonds in the total principal sum of
$200,000.00 to provide funds for the payment of the costs of certain
improvements, additions and betterments to the existing water system
of the City of Pasco, and therein did adopt and specify the plan
therefor, hiltl
WHEREAS it is deemed in the best interests of the City
of
Pasco that
these bonds now
be
issued, now
therefore,
BE
IT ORDAINED
BY THE COUNCIL
OF
THE CITY OF
PASCO:
Section 1. That there now be issued water revenue bonds
of the City of Pasco in the principal sum of $200,000.00 for the
purpose of providing funds for the improvement, betterments and
additions provided for in said Ordinance No. 610 above referred to.
Said bonds shall be in denominations of 01,000.00 each, shall bear
interest at the rate of 5,34o per annum, shall be numbered 1 to 200,
inclusive, shall be dated March lst, 1948, with interest thereon
payable semi-annually on the first day of September and March of
each year and shall mature serially in order of their number as
follows
March
1;
19.50
Nos.
1
to
8
83,000
March
1;
1951
It
9
to
16
8,000
March
1,
1952
it
17
to
24
8,000
March
1,
1953
"
25
to
32
3,000
March
1,
1954
it
33
to
41
9,000
March
1;
1955
it
42
to
50
9;000
March
1,
1956
"
51
to
59
90000
March
1,
1957
"
60
to
69
10,000
March
1,
1958
"
70
to
79
10,000
March
19
1959
"
80
to
89
10,000
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March
12
1960
Nos.
90
to
100
11,000
March
1,
1961
"
101
to
111
11;000
March
1,
19-62
"
112
to
122
11,000
March
1,
1963
"
123
to
134
12;000
March
1,
1964
"
135
to
146
12.9
March
1,
1965
"
147
to
159
]:3,000
March
12
1966
"
160
to
172
13,000
March
12
1967
"
173
to
186
14,000
March
1,
1968
"
187
to
200
14,000
The City of Pasco reserves the right to redeem all or
any part of the bonds numbered 176 to 200, inclusive, on any interest
payment date on or after one year from the date of issue, and further
reserves the right to redeem any other bonds on any interest payment
date on or after seven years from the date -of issue, redemption of
any or all bonds under the provisions of this section shall be at
par and accrued interest in inverse numerical order. Thirty days
notice of any intended redemption shall be given by publication
thereof in a newspaper of general circulation in the City of Pasco.
Interest on any bonds so called for redemption shall cease on such
redemption date. Both principal and interest of said bonds are to
be paid in lawful money of the United States of America at the office
of the Treasurer of the City of Pasco.
Section 2. Said bonds shall be in substantially the
following form:
No. $1,000.00
UNITED STATES OF AMERICA
STATE OF WASHINGTON
PASCO WATER REVENUE BOND
1948
KNOW ALL MEN BY THESE PRESENTS:
That the City of Pasco, a municipal corporation of the
State of Washington hereby acknowledges itself to owe and for value
received promises to pay to bearer on the first day of March, 19 --TD
the principal sum of $1,000.00, together with interest thereon at'
the rate of 3gf per annum, payable semi -:annually on the first day
of Septbmhen ;and March of each year as evidenced by and upon presen-
tation and surrender of the annexed interest coupons 'as they sever-
ally become due. Both principal and interest are payable in lawful
money of the United States of America at the office of the Treasurer
of the City of Pasco solely out of the special fund known *?-or "Pasco
Water Revenue Bond Fund of 1948" created by Ordinance No* of
said City. TheCity of Pasco reserves the right to redeemo
rest
any part of the bonds numbered 176 to 200, inclusive, on any 'interest
payment date on or after one year from the date of issue, and further
reserves the right to redeem any other bonds on any -interest payment
date on or after seven years from the date of issue, redemption of
any or all bonds under the provisions of this section shall be at
par and accrued interest in inverse numerical order.
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kD
This bond is one of a total issue of water revenue
bonds aggregating the principal sum of $2009000.00 issued by said
City of Pasco for the purpose of providing funds for the making of
certain additions and improvements to the existing water system of
said City and is payable solely out of the gross revenue of said
water system.
The City of Pasco hereby covenants and agrees with holder
of this bond that it will keep and'perform all of the covenants of
this bond* and of said Ordinance No. 610 and 6 / Ito be by it kept and
performed, and said City does hereby pledge and -bind itself to set
aside from the gross revenue of said water system and all additions
thereto and pay into the Pasco Water Revenue Bond Fund of 1948s
created by Ordinance No. the various amounts required by said,
Ordinance to be paid into and maintained in the said fund all with-
in the time provided by said Ordinance. The amounts so pledged are
hereby declared to be a prior lien and charge upon all the gross
revenues of the water system, including all additions and improve-
ments thereto superior to all other charges of any kind or nature
except the necessary cost of maintenance and operation of said water
system and the amounts necessary to pay the principal and interest
of water sewage revenue bonds heretofore issued by the City of Pasco
and now outstanding
The City of Pasco further binds itself to establish
from time to time and maintain such rates for water service as will
provide sufficient revenues to permit the payment of said sums into
such special fund which said City has pledged to be set aside for
the payment of principal and interest, as herein provided, to be
applied to the payment of the principal and interestw of the bonds
herein authorized, until- such bonds shall have been paid in full,
and, in addition thereto, all costs of operation and maintenance,
and all bonds, warrants and indebtedness -for which any revenues of
such system have heretofore been pledged.
It is hereby certified and declared that said bonds
are issued pursuant to and in strict compliance with the Constitution
and Laws of the State of Washington and Ordinances of the City of
Pasco, that all acts, conditions and things required to be done
prededent to and in the issuance of said bonds have happened, been
done and performed. as required by law.
IN WITNESS WHEREOF the City of Pasco.. 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 interest coupons
attached hereto to be signed with the facsimile signatures of said
officials this first day of March, 1948,
CITY OF PASCO, WASHINGTON
By
Mayor
Attes
/-&.-
City C er
f.. The interest coupons to be attached to said bonds shall
be in substantially the following form:
No.
On the day of , 19 , the City of Pasco,
Washington, will pay to bearer at the off ce o7 -the Treasurer of
said City, the sum of Dollars, in lawful
States o erica, from a
money of the United special fund of said
-3-
City known as "Pasco Water Revenue Bond Fund of 1948", said sum being
the semi-annual interest due that date on its water revenue bond
dated March 12 1948, and numbered •
CITY OF PASCO$ WASHINGTON
By
Mayor
Attest
y Clark
Section 3. These bonds shall be known as "City of
Pasco Water Revenue Bonds of 1948", shall be signed by the Mayor,
attested by the City Clerk, sealed with the corporate seal; and the
coupons annexed thereto shall be signed with the lithographed signa-
tures of said Mayor and City Clerk.
Section 4, There is hereby created a special fund to
be designated as the Pasco Water Revenue Bond Fund of 1948". All
of the proceeds received from the sale of bonds provided for and
referred to herein and in Ordinance No. 610 of the City of Pasco
shall be paid into and credited to said fund. Said funds so deposited
in said fund shall be used for the purpose of paying the cost of
making the betterments, extensions and additions herein and in said
Ordinance No. 610 referred to.
The "Pasco Water Revenue Bond Fund of 1948" is to be
drawn upon for the sole purpose of paying the interest, or principal
and interest of the bonds. From and after the date of the bonds
and so long thereafter as obligations are outstanding against such
fund, the City Treasurer shall set aside and pay into the fund,
certain amounts as hereinafter specified: (a) commencing with May
15, 1948 and each month thereafter on the 15th day of such month
there shall be deposited in this said Bond Fund one-sixth of the
interest requirement for the next semi-annual interest payment date.
Any deficiency in said !Bond .Fund for the first semi-annual period
shall be appk6piiiated from other available funds anddeposited in
the Bond Fund before September 1, 1948. (b) There shall be deposited
in said Bond Fund a further payment on the 15th day of each month
a sum equal in amount to one -twelfth of the aggregate amount of the
bond principal which will be payable during, and at the expiration
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0
of, each such year.during the life of the said bonds herein author-
ized commencing with April 15, 1948. Any deficiency in said Bond
Fund for the first semi-annual period shall be appropriated from
other available funds and deposited in the Bond Fund before September
1, 1948.
The said revenues are hereby pledged to such semi-annual
payments, which shall constitute a charge upon such revenues prior
and superior to all other charges whatsoever, except the necessary
cost of maintenance and operation, and the charges upon such revenues
heretofore created for the payment of principal and interest
of bonds heretofore authorized and payable from the earnings of the
municipal waterworks system.
The City Treasurer is hereby directed to make payment
of such
bonds and
coupons herein authorized,
as the same fall due,
from the
moneys in
said "Pasco Water Revenue
Bond of 1948", and from
no other source, and the payment of said bonds and coupons, as they
fall due, is hereby declared to be the only charge which has been
made upon said fund, or which will ever be made thereon, until all
the said bonds, and interest thereon, shall have been paid.
Section 5, The City of Pasco hereby binds itself not
to sell, lease, or in any manner dispose of the municipal waterworks
system now belonging to it, or which may hereafter belong to it, in-
cluding the additions, betterments and extensions herein provided for,
until all obligations outstanding against, or payable from, said
special fund hereby created shall have been paid in full; or, in
case it shall sell or dispose of the same before such payment, not
to make any such sale or disposition without then or theretofore pro-
viding that from the proceeds of such sale or disposition, after the
payment of all prior charges, there shall be placed in such special
fund a sum sufficient in amount to discharge, and to be used for no
other purpose than the discharge of, principal and interest of all
bonds issued hereunder and then remaining unpaid, and not, in any
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event, to sell or dispose of such municipal waterworks system, or
any substantial part thereof, for a sum less than enough to dis-
charge and pay the bonds herein authorized, and the interest thereon.
The City will at all times maintain and keep the water
-- system and additions and extensions thereof in good repair, working
order and condition and will at all times operate the system in an
efficient manner and at a reasonable cost.
The City of Pasco further binds itself to establish
from time to time and maintain such rates for water service as will
provide sufficient revenues to permit the payment of said sums into
such special fund which said City has pledged to be set aside for the
payment of principal and interest, as herein provided, to be applied
to the payment of the principal and interest of the bonds herein
authorized, until such bonds shall have been paid in full, and, in
addition thereto, all costs of operation and maintenance, and all
bonds, warrants and indebtedness for which any revenues of such
system have heretofore been pledged.
Section 6. The City Council and corporate authorities
of the City of Pasco hereby declare that in fixing the amounts to be
paid into the Water Revenue Bond Fund, established by this ordinance,
they have exercised due regard to the cost of operation and mainten-
ance of the water system as constructed and added to, and to the ex-
isting obligations against the revenues thereof, and that they have
not hereby obligated and bound the City to set aside into such special
fund a greater amount from the revenues for the water system than in
their judgment will be available over and above such cost of mainten-
ance and operation and the existing obligations against such revenues,
Section 7. The written offer of William P. Harper & Son
& Company and associates, dated February 19, 1948, including by
reference the terms and provisions of a previous written offer dated
February 17, 1948, to purchase said bonds at the price of $100.07
per each $100.00 par value of said bonds and accrued interest and
the interest rates, maturities and other terms and provisions as set
forth in said written offer is hereby accepted, ratified and confirmed
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. - c
0
and the corporate authorities of the City are hereby authorized to
execute said bonds and deliver them to the purchasers upon payment
of the purchase price thereof.
PASSED by the Council of the City of Pasco, and approved
by its Mayor this __day of , 1948.
Ordinance Introduced:
Ordinance Given its Fi
Ordinance Given its Se
Ordinance Given its Tr
Ordinance Passed by C1
and Approved by Mayor:
The foregoing Ordinance approved as to form before passage:
City Attorney,dJ4�-A cf-, — , 1948.
CITY OF PASCO, WASHINGTON
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