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HomeMy WebLinkAbout0768 OrdinanceU CITY OF PASCO, 'WASHINGTON ORDINANCE NO . 7&' �f AN ORDINANCE specifying and adopting a system or plan of additions to and betterments and exten- sions 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; declaring the estimated cost thereof as near as may be; providing for the issuance of not to exceed $800,000.00 par value of "Water and Sewer Revenue Bonds, 1953" in one or more series to pay a portion of the cost thereof; and creating a special fund to provide for the payment of said bonds. WHEREAS, the City of Pasco by Ordinance No. 531 passed March 7, 1944, provided that the system of sewerage of the City, including all addi- tions, extensions and betterments thereto, should be operated as a part of and as belonging to the waterworks utility of the City pursuant to the pro- visions of Chapter 193, 1941 Session Laws of the State of Washington (being R,C,W. 35.670320 et,seq.); and WHEREAS,, it is the intention of the City Council to order the con- struction of a new City Hall, a substantial part of which will be used to house the office facilities of the water and sewer departments of the City, which departments should therefore be chargeable with and contribute a reason- able and proper portion of the cost of the construction of such City Hall; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO DOES ORDAIN AS FOLLOWS: Section I. The existing waterworks plant and system and the sewer- age system of the City of Pasco are in such condition that the public health, welfare, safety and convenience require the making of the additions thereto and the betterments and extensions thereof hereinafter provided for. Section 2. The gross revenues to be derived from the.operation and maintenance of the waterworks utility of the City, including the sewer- age system as a part thereof, and the additions, extensions and betterments thereto herein provided for, at the rates to be charged for water and sewer- age service will, in the judgment of the City Council, be more than sufficient to meet all expenses of operation and maintenance thereof and to permit the setting aside of a special fund out of the gross revenues of the entire utility of an amount sufficient to pay the interest on the revenue bonds herein authorized to be issued as such interest becomes payable, and to pay and redeem all such bonds at maturity, and to meet the debt service require- ments of the outstanding "Special Fund Water -Sewage Revenue Bonds, Series A", dated `larch 1, 1944, the "Special Fund Water -Sewage Revenue Bonds, 1944-1946, Series B", dated January 1, 1946, and the "dater Revenue Bonds, 1948", dated March 1, 1948. Section 3. The City of Pasco hereby specifies and adopts 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 to consist of the following: SE0RAGE SYSTEM 1. There shall be constructed and installed a Primary Sewage Treatment Plant with pumping plant and sewer outfall having a maximum capa- city of 9,000,000 gallons a day, the sewer outfall to run from the plant to the Columbia River south along the section line of Section 32, Township 9 North, Range 30 East, W.M., Franklin County, Washington. The treatment plant shall be constructed on a tract of land presently owned by the City lying in said Section 32 and containing approximately 5.68 acres more -or - less. WATERWORKS SYSTEM 1. A 5,000'000 gallon capacity reinforced concrete storage reservoir shall be constructed and installed near the center of Section 9, Township 9 North, Range 29 East, Willamette Meridian, and shall be provided with reinforced concrete cover, necessary inlet and outlet piping and access road. The said reservoir shall be constructed on land to be acquired by the City. 2. Transmission and distribution pipe lines between the said 'T�21 5,000,000 gallon reservoir and the City distribution system shall be con- structed of 36 -inch, 30 -inch, 24 -inch, 2& -inch and 16 -inch diameter pipe, and shall extend from the site of the proposed reservoir near the center of Section 14, Township 9 North, Range 29 East, Willamette Meridian, in a generally southeasterly direction to the intersection of Wernett Road and County Road No. 36; thence South on County Road No. 36 (also known as Reinken Road) to Upper River Road; thence East on Upper River Road and Court Street within the City of Pasco to Lucas Avenue; thence South on Lucas Avenue to a junction at Marie Street with the existing 16 -inch diameter cast iron pipe. Pipe of 36 -inch and 30 -inch diameter is to be of corrosion protected steel construction and pipe of 24, -inch diameter is to be of cast iron, both of which are to meet standard requirements of the American "Water- works Association for pipe line construction of this type, 3. There shall be constructed and installed in the Water Treatment Plant located on B Street between 12th and 13th Avenues in the City of Pasco, rate control devices, pumping equipment, and coagulation, sedimentation and filter facilities. There shall be included in the foregoing, the acquisition and installation of all the necessary valves, fittings, couplings, connections, equipment and appurtenances, and the acquisition of any easements and rights- of-way and - land that may be required, and there shall also be included the performance of such work as may be incidental and necessary to the foregoing construction and installation, In lieu of any material heretofore specified such other suit- able material may be used as may be deemed advisable and necessary by the City Council. It is the intention of the City Council to order the construction of a new City Hall for the City, the estimated cost of which will be in excess of $125,000.00. It is a part of this system or plan of additions to and betterments and extensions of the sewerage system of the City and of the waterworks system of the City that $50,000,00 of the cost of the construction r of said new City Hall, a substantial portion of which will house the general office,accounting, billing and collection facilities of the water and sewer departments of the City, shall be paid from the proceeds received from the issuance and sale of water and sewer revenue bonds hereinafter authorized, payable solely out of the revenues of the waterworks system and sewerage system of the City. The City Council may modify the details of the foregoing system or plan where in its judgment it appears advisable; provided, such modifi— cations odifi cations do not substantially alter the purposes hereinbefore set forth. Section 4. The life of the foregoing system or plan of additions to and betterments and extensions of the sewerage system of the City and additions to and betterments and extensions of the waterworks system of the City is hereby declared to be at least thirty years. Section 5. The estimated cost, as near as may be, of the aforesaid system or plan of additions, extensions and betterments of the sewerage system is hereby declared to be $325,000.00. The estimated cost, as near as may be, of the aforesaid system or plan of additions, extensions and betterments of the waterworks system is hereby declared to be $6509000.00. The cost of acquiring, constructing and completing the foregoing additions to and better— ments and extensions of the sewerage system, which has become a part of the waterworks utility of the City, and the foregoing additions to and betterments and extensions of the waterworks system, including the contribution of $50,000.00 towards the cost of the construction of the new City Hall, shall be paid as follows: (a) $225,000.00 of the cost thereof from moneys presently available in the ""Construction Funds" of the City created pursuant to Ordinance No. 625 and from any other moneys available for such purpose; (b) The balance from the proceeds received from the issuance and sale of water and sewer revenue bonds in the amount of not to exceed $800,000.00 par value. It is the intention of the City to acquire, construct and complete such portions of the foregoing system or plan of additions, r extensions and betterments as the City Council shall from time to time deem advisable. Said bonds shall be issued in one or more series at such times as the City Council shall deem advisable. Said bonds shall be entitled "Water and Sewer Revenue Bonds, 1953" with the series designation following, shall bear interest at a rate or rates not to exceed 5% per annum, payable semiannually, and shall be numbered from 1 upwards consecu- tively within each series as issued. Said bonds shall be issued in such series, shall be in such denominations and form, shall bear such dates and interest rate or rates, shall be payable at such place or places, shall mature serially in accordance with such schedule beginning not earlier than one year after date of issuance and ending not later than thirty years there- after, shall have such option of payment prior to maturity, shall guarantee such coverage and collection of rates, shall provide for such additional funds and accounts, and.shall contain and be subject to such provisions and coven- ants as shall hereafter be provided by ordinance. Section 6. Said bonds shall be sold in such manner as the City Council of the City of Pasco shall deem for the best interest of said City. Section 7. Said bonds shall be payable solely out of a special fund herein created and shall be a valid claim of the holder thereof only as against said special fund and the amount of the revenues of said water- works utility, including the sewerage system as a part thereof, pledged to said special fund, and shall not be a general obligation of the City of Pasco. Section 8. There shall be and hereby is created and established in the office of the City Treasurer a special fund to be known as "Water and Sewer Revenue Bond Fund, 1953", which fund is to be drawn upon for the sole purpose of paying the principal of and interest upon said bonds from and after the date thereof; and so long thereafter as bonds are outstanding against such fund the City Treasurer of the City of Pasco shall set aside and pay ,into said fund out of the gross revenues of the waterworks utility, -5- including the sewerage system as a part thereof, now belonging to or which may hereafter belong to the City, including all additions, extensions and betterments thereof at any time made, a fixed amount without regard to any fixed proportion, namely, an amount sufficient to pay the principal of and interest on the said bonds herein authorized as they respectively become due, and to create such surplus and reserve, if any, that may hereafter be prescribed by ordinance. The gross revenues from said waterworks utility, including the sewerage system as a part thereof, are hereby pledged to such payment and the bonds herein authorized shall constitute a charge upon such revenues prior and superior to any other charges whatsoever, excluding charges for maintenance and operation:,.;except that the lien and charge upon said gross revenues shall be subordinate and inferior to the prior lien or charge against the same for the outstanding nSpecial Fund Water—Sewage Revenue Bonds, Series A», dated March 1, 1944, the "Special Fund Water-- Sewage Revenue Bonds, 1944r-1946, Series B11, dated January 1, 1946, and the "Water Revenue Bonds, 194811, dated March 1, 1948, and except further, that the lien and charge upon said gross revenues for the bonds herein authorized shall be on a parity with the lien and charge upon said gross revenues for any additional water and sewer revenue bonds that may be hereafter issued pursuant to the provisions of Section 13 hereof. Section 9. The City Council and corporate authorities of the City of Pasco hereby declare that in creating said special fund and in fixing the amounts to be paid into it as set forth herein they have exercised due regard to the cost of operation and maintenance of said waterworks utility, includ— ing the sewerage system as a part thereof, and the City of Pasco has not bound and obligated itself to set aside and pay into said special fund a greater amount or proportion of the revenues of the waterworks utility, including the sewerage system as a part thereof, than in the judgment of the City Council will be available over and above such costs of maintenance and operation and the debt service requirements of the outstanding "Special Fund Water -Sewage Revenue Bonds, Series A". dated March 1, 1944, the "Special Ra Fund slater -Sewage Revenue Bonds, 1944-1946, Series B", dated January 1, 1946" and the uWater Revenue Bonds, 19480, dated March 1, 1948, and further declare that no portion of the revenues of the said waterworks utility, including the sewerage system as a part thereof, has been previously pledged for any other indebtedness, except for the payment of said "Special Fund Water -Sewage Revenue Bonds, Series A", dated March 1, 1944, the "Special Fund 'later -Sewage Revenue Bonds, 1944x-1946, Series B", dated January 1, 1946, and the "later Revenue Bonds, 194811, dated March 1, 1948, Section 10. The City of Pasco hereby binds itself 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 exten- sions thereof at any time made, until all of the bonds herein authorized and hereafter issued, with interest thereon, shall have been fully paid; and the said City hereby covenants and agrees to maintain in good condition and to operate said waterworks utility, including the sewerage system as a part thereof, and to establish, maintain and collect such rates as will produce gross revenues from the said waterworks utility, including the sewerage system as a part thereof, sufficient to permit payment into said special fund of the amounts required for the payment of the principal of and interest on the bonds herein authorized as they become due and the amounts that may be required to be paid into any reserve account that may be provided for in connection with the sale of said bonds, and in addition thereto to pay all costs of mainten- ance and operation and taxes and to meet the debt service requirements of the outstanding "Special Fund Water -Sewage Revenue Bonds, Series A", dated March 1, 1944, the "Special Fund 'Water -Sewage Revenue Bonds, 19.44-1946, Series B", dated January 1, 1946, and the "Water Revenue Bonds, 19.4.8", dated March 1, 1948, and otherwise to meet the obligations of the said City as herein set forth and as may be set forth in any ordinance hereafter enacted pertaining to the issuance of said bonds. Section 11. The City of Pasco will, while any of the bonds herein authorized remain outstanding, keep proper books of accounts and records —7— separate and apart from other accounts and records in which complete and correct entries will be made of all transactions relating to the said water- works utility, including the sewerage system as a part thereof, and it will furnish the original purchaser of said bonds or any subsequent holder or holders thereof, at the written request of such holder or holders, complete operating and income statements of said waterworks utility, including the sewerage system as a part thereof, in reasonable detail covering any fiscal year, not more than thirty days after the close of such fiscal year, and it will grant any holder or holders of at least twenty-five per cent of the out- standing bonds herein authorized the right at all reasonable times to inspect said systems and all records, accounts and data of the City relating thereto. Section 12. The proceeds of the sale of the foregoing bonds shall be used for the sole purpose of making the additions to and betterments and extensions of the sewerage system, and the additions to and betterments and extensions of the waterworks sy®tem of the City as aforesaid, including as a part thereof the payment of $50,000.00 toward the cost of the construction of the new City Hall, and of paying the costs and expenses connected there- with, and the City of Pasco through its proper officers and agents shall proceed with the making of said improvements and the calling of bids therefor in the manner provided by law. Section 13, The City of Pasco may issue additional water and sewer revenue bonds which shall constitute a charge and lien upon the revenues of the waterworks utility, including the sewerage system as a part thereof, and including all additions, betterments and extensions thereof at any time made, on a parity with the bonds of this issue; PROVIDED, the following conditions shall be met and complied with at the time of the issuance of such additional bonds: (a) That all payments required to be made into the bond.,redemp- tion funds for the outstanding "Special Fund slater -Sewage Revenue Bonds, Series An, dated March 1, 1944, the *Special Fund Water -Sewage Revenue Bonds, 194/-1946, Series B", dated January 1, 1946, and the "Water Revenue Bonds, 10 19480, dated IVkrch 1, 1948, shall have been made; and (b) That all payments required by this ordinance or any ordinance hereafter enacted pertaining to the bonds of this issue shall have been made into the «'dater and Sewer Revenue Bond Fund, 1953"; and (c) That the ordinance providing for the issuance of such additional bonds shall furthr provide for the creation of a reserve fund or account for such additional bonds into which fund shall be accumulated an amount equal to the average annual debt service requirements of the addi- tional bonds proposed to be issued, which amount shall be accumulated no later than five years after the date of issuance of such additional bonds, (d) That the revenues of the said waterworks utility, includ- ing the sewerage system as a part thereof, including the additional revenues reasonably anticipated to be received as a result of the making of the improvements in connection with which the additional revenue bonds are pro- posed to be issued, shall be deemed sufficient, after. -the payment of opera- tion and maintenance costs and taxes, to equal at least 1,4 times the average annual principal and interest requirements of all outstanding 'Water Revenue Bonds or Water and Sewer Revenue Bonds, including the bonds of this issue and of the additional revenue bonds proposed to be so issued. Such determination of the sufficiency of the revenues shall be made and certified to by a professional engineer experienced in municipal utilities and licensed to practice in the State of Washington; PROVIDED, HOWEVER, that this certi- ficate shall not be required in the event that the additional bonds proposed to be so issued are issued for the purpose of refunding eutstanding Water Revenue Bonds or Uater and Sewer Revenue Bonds and the average annual debt service requirements of such proposed additional revenue bonds are not in- creased over the requirement for the bonds being so refunded. PASSED by the City//Council and APPROV by the Mayor of the City of Pasco, Washington, this of ,&eptember, 19530 * Mayor