HomeMy WebLinkAbout1165 OrdinanceCITY OF PASCO, WASHINGTON
ORDINANCE NO. 1165
AN ORDINANCE providing for the issuance
of $1, 100, 000.00 par value of "Water and Sewer
Revenue Bonds, 1964," to obtain the funds with
which to pay the cost of carrying out the system
or plan for making additions to and betterments
and extensions of the waterworks utility of the
City of Pasco, including the sanitary sewerage
system and the system of storm or surface water
sewers as a part thereof, as specified and
adopted in Ordinance No. 1145; fixing the date,
form, maturities, maximum interest rate, terms
and covenants of such bonds; and providing for
the calling for bids for the purchase thereof at
public sale.
WHEREAS, the City of Pasco, Washington, by Ordinance
No. 531, passed March 7, 1944, provided that the system of sewerage of
the City, including all additions, extensions and betterments thereto,
should be operated as a part of and as belonging to the waterworks
utility of the City pursuant to the provisions of Chapter 193 of the 1941
Session Laws of the State of Washington (RCW 35.67.320, et seg. ) and
the words "waterworks utility of the City shall hereinafter mean the com-
bined sanitary sewerage system and the water system of the City and the
storm or surface water sewers authorized by Ordinance No. 1145, passed
by the City Council and approved by the Mayor on July 21, 1964, to be
constructed and installed as a part of such combined systems, together
with all additions thereto and betterments and extensions thereof here-
after made; and
WHEREAS, the City of Pasco, pursuant to Ordinance No.
768, as amended by Ordinance No. 774, has heretofore issued, under
date of January 1, 1954, $800,000.00 par value of "Water and Sewer Revenue
Bonds, 1954;" and
WHEREAS, by Section 13 of said Ordinance No. 768, as
amended by Ordinance No. 774, the City of Pasco reserved the right to
issue additional water and sewer revenue bonds which shall constitute
on
a charge or lien upon the revenues of the waterworks utility of the City
on a parity with said "Water and Sewer Revenue Bonds, 1954," providing
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 redemption funds for the
outstanding 'Special Fund Water -Sewage
Revenue Bonds, Series A,' dated March 1,
1944, the 'Special Fund Water! -Sewage Revenue
Bonds, 1944-1946, Series B,' dated January 1,
1946, and the 'Water Revenue Bonds, 1948,'
dated March 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 'Water and Sewer
Revenue Bond Fund, 1954'; and
"(c) That the ordinance providing for the
issuance of such additional bonds shall
further provide for the creation of a reserve
fund or account for such additional bonds
into which funds shall be accumulated an
amount equal to the average annual debt
service requirements of the additional 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 water-
works utility, including 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 proposed 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 addi-
tional revenue bonds proposed to be so issued.
Such determination of the sufficiency of the
revenues shall be made and certified to by either
a certified public accountant or professional
engineer experienced in municipal utilities and
licensed to practice in the State of Washington;
PROVIDED, HOWEVER, that this certificate shall
not be required in the event that the additional
bonds proposed to be so issued are issued for
the purpose of refunding outstanding Water
Revenue Bonds or Water and Sewer Revenue Bonds
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and the average annual debt service require-
ments of such proposed additional revenue
bonds are not increased over the requirement
for the bonds being so refunded;" and
WHEREAS, the City of Pasco, pursuant to Ordinance No.
1070, passed December 4, 1962, heretofore issued, under date of
January 1, 1963, $600,000.00 par value of "Water and Sewer Revenue
Refunding Bonds, 19 63 , " for the purpose of providing the funds with which
to refund, pay, retire and cancel, on January 1, 1963, $600,000.00 par
value of the then outstanding "Water and Sewer Revenue Bonds, 1957, "
dated December 1, 1957, which "Water and Sewer Revenue Refunding
Bonds, 1963," were issued on a parity of lien with the outstanding "Water
and Sewer Revenue Bonds, 1954, " pursuant to the provisions of Section 13
of Ordinance No. 768, as amended by Ordinance No. 774; and
WHEREAS, the City of Pasco, Washington, by Ordinance
No. 1145, passed July 21, 1964, specified and adopted a system or plan
for making additions to and betterments and extensions of the waterworks
utility of the City, and provided for the issuance and sale of not to
exceed $1,150,000.00 par value of water and sewer revenue bonds in one
or more series to obtain the funds with which to pay the cost of such
system or plan, and authorized and directed the city officials to proceed
with the improvement; and
WHEREAS, the City Council deems that the proceeds from
the sale of $1,100 , 000.00 par value of said authorized not to exceed
$1,150,000.00 par value of water and sewer revenue bonds are necessary
to carry out said system or plan, and that it is in the best interests of
the City that bonds in such amount should be issued and sold on a parity
of lien with the outstanding "Water and Sewer Revenue Bonds, 1954, " and
Water and Sewer Revenue Refunding Bonds, 1963, " in accordance with
the provisions of Section 13 ; ; Ordinance No. 768, as amended by Ordin-
ance No. 774; and
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WHEREAS, the City Council hereby finds and declares that
all payments required to be made into the bond redemption funds for the
outstanding "Special Fund- Water -Sewage Revenue Bonds, 1944-1946,
Series B, " dated January 1, 1946, and the "Water Revenue Bonds, 1948, "
dated March 1, 1948, have been made, all of the "Special Fund Water -
Sewage Revenue Bonds, Series A," dated March 1, 1944, having been
retired; that all payments required by Ordinance No. 768, as amended by
Ordinance No. 774, pertaining to the outstanding "Water and Sewer
Revenue Refunding Bonds,. 1963, " have been made into the "Water and
Sewer Revenue Bond Fund, 1963;" that provision is hereafter made for
the creation of a reserve account for the proposed additional bonds into
which the required reserve amount shall be accumulated; and, that
Cornell, Howland, Hayes & Merryfield , a professional engineer experienced in
municipal utilities and licensed to practice in the State of Washington,
will issue his certificate, after the interest rates on the proposed addi-
tional bonds are determined, to the effect that the revenues of the water-
works utffi.t_*y of the City are sufficient to meet said 1.4 coverage require-
ment, which certificate to such effect shall be on file with the City Clerk
prior to the delivery of the proposed additional bonds, NOW, THEREFORE,
THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON,
DO ORDAIN as follows:
Section 1. For the purpose of providing the funds neces-
sary to carry out the system or plan for making additions to and better-
ments and extensions of the waterworks utility of the City as specified
and adopted by Ordinance No. 1145 and hereby ordered to be carried out,
there shall be issued and .sold $1,100, 000.00 par value of water and sewer
revenue bonds to be known and designated as "Water and Sewer Revenue
Bonds, 1964" (hereinafter called the "Bonds"). The Bonds shall be dated
December 1, 1964, shall be in denominations of $5,000.00 each, shall be
numbered from 1 to 220, inclusive, and shall bear interest at a rate or
rates not to exceed 6% per annum, payable July 1, 1965, and semiannually
thereafter on the 1st days of January and July 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 or
rates from and after the bond maturity dates until the Bonds, with interest,
are paid in full. Both principal of and interest on the bonds shall be pay-
able in lawful money of the United States of America at the office of the
Treasurer of Pasco, Washington, solely out of the "Water and Sewer
Revenue Bond Fund, 1964, " (hereinafter called the "Bond Fund") created
and established by Ordinance No. 1145, and the Bonds shall be a valid
claim of the holder thereof only as against the Fond Fund, and the fixed
amount of the revenues of the waterworks utility pledged to such fund
and shall not be a general obligation of the City of Pasco.
The Bonds shall mature in accordance with the following
schedule, to wit:
Bond Numbers
(Inclusive)
Amounts
Maturities
1
to
.5
$25,000
July 1,
1966
6
to
o10
$25,000
July 1,
1967.
11
to
15
$25,000
July 1,
1968
16
to
20
$25,000
July 1,
1960
21
to
25
$25,000
July 1,
197.0
26
to
30
$25,000
July 1,
1971
31
to
35
$25,000
July 1,
1972
36
to
40
$25,000
July 1,
1973
41
to
46
$30,000
July 1,
1974
47
to
52
$30,000
July 1,
1975
53
to
58
$30,000
July 1;
.1976
59
to
64
$30,000
July 1;"1977
65
to
70
$30,000
July 11
1978
71
to
76
$30,000
July 1,
1979
77
to
83
$35,000
July 1,
1980-
84
to
90
$35,000
July 1,
1981
91
to
97
$35,000
July 1,
1982
98
to
104
$35,000
July 1,
1983
105
to
111
$35,000
July 1,
1984
112
to
119
$40,000
July 1,
1985
120
to
127
$40,000
July 1,
1986
128
to
138
$55.,000
July 1,
1987
139
to
165
$135,000
July 1,
1988
166
to
"193
$140,000
July 1,
1989
194
to
220
$135,000
July 1,
1990
Section 2. The City of Pasco reserves the right to redeem
the Bonds as a whole or in part, in inverse numerical order, solely out of
the available net revenues of the waterworks utility of the City, on July 1,
1970, or on any subsequent semiannual interest payment date, at par plus
accrued interest to date of redemption, and further reserves the right to
redeem the .Bonds as a whole, solely for refunding purposes, on July 1,
1970, or on any subsequent semiannual interest payment date, at 105% of
the par. value thereof, reducing 1% per annum for each full year that the
redemption is subsequent to July 1, 1970, to par on or after July 1, 1975,
plus accrued interest to date of redemption in each case.
Notice of any call for redemption of any of the Bonds prior
to their stated maturity dates shall be published at least once in the offi-
cial newspaper of the City not less than thirty nor more than forty-five days
prior to the call date. Notice of said intended redemption shall also be
mailed to the principal underwriter who purchases the Bonds, at its princi-
pal place of business, or its successor, not less than thirty nor more than
forty-five days prior to the call date. Interest on any Bonds so called for
redemption shall cease on the date fixed for such redemption upon payment
of the redemption price into the Bond Fund.
Section 3. The Bond Fund is hereby divided into a "Principal
and Interest Account" and a "Reserve Account. " So long thereafter as Bonds
are outstanding against such fund, the Treasurer of the City of Pasco shall set
aside and pay into such fund out of the gross revenues of the waterworks
utility of the City, a fixed amount without regard to any fixed proportion, on
or before the 20th day of each month, as follows:
(a) Into the "Principal and Interest Account, "
commencing with the month of January, 1965,
and continuing as long as any of the Bonds is
outstanding and unpaid an amount which, to-
gether with the accrued interest received from the sale
of the Bonds, if any, to be deposited therein, will
equal l/ .6th of the interest to become due and payable
on the next interest payment date, and beginning
Qm
with the month of July, 1965, and continuing
as long as any of the Bonds is outstanding
and unpaid an amount which will equal
1/12th of the principal to become due and
payable on the next principal payment date on all
of the Bonds then outstanding.
(b) Into the "Reserve Account" an amount
equal to the average annual debt service require-
ments of the Bonds, which amount shall be
accumulated in substantially equal monthly
payments and should be totally accumulated
by no later than December 1, 1969.
The "Reserve Account" may be accumulated from any other
moneys which the City of Pasco may have available for such purpose, in
addition to using such revenues therefor.
The City further agrees that when said required amounts
have been paid into the "Reserve Account, " it will, at all times, except
for withdrawals therefrom as authorized herein, maintain those amounts
therein until there is a sufficient amount in the Bond Fund, including the
"Reserve Account" therein, to pay the principal of and interest on all
outstanding Bonds to the final maturity thereof, at which time the money in
the Bond Fund, including the "Reserve Account" therein, may be used to
pay such principal and interest.
In the event that there shall be a deficiency in the Bond
Fund to meet maturing installments of either principal or interest, as the
case may be, on the Bonds, such deficiency shall be made up from the.
"Reserve Account" by the withdrawal of cash therefrom for the purpose. Any
deficiency created in the "Reserve Account" by reason of any such withdrawal
shall then be made up from the moneys from the revenues of the waterworks
utility of the City first available after making necessary provision for the
required payments into the Bond Fund.
All money in the "Reserve Account, " above provided for, may
be kept on deposit in the official bank depository of the City of Pasco, or
may be invested in United States Government obligations redeemable at a
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fixed price and maturing not later than twelve years from date of purchase,
and in no event later than June 1, 1990, and/or in shares of savings and
loan institutions to the extent that such shares are guaranteed by the
Federal Savings and Loan Insurance Corporation. Interest on any such
investment or on such bank account shall be deposited in and become a
part of the "Reserve Account" until the total required reserve amount shall
have been accumulated therein, after which such interest shall be deposited
in the "Principal and Interest Account. "
Surplus moneys in the "Water and Sewer Revenue Fund, "
after making necessary provisions for the payment of the expenses of main-
tenance and operation of the utility and the required deposits to the Bond
Fund, may be used to make emergency repairs and/or extensions of and
improvements to the utility when certified by the City Engineer to be
necessary and economically feasible, and/or for the redemption or purchase
in the open market of outstanding Bonds.
If the City shall fail to set aside and pay into the Bond
Fund the amounts which it has obligated itself by this Section to set aside
and pay therein, the holder of any Bond may bring suit against the City to
compel it to-do so.
Section 4. The City further hereby covenants and agrees
with the owner and holder of each of the Bonds as follows:
(a) That it will not sell, lease, mortgage,
or in any manner encumber or dispose of all
the properties of the waterworks utility of the
City, unless provision is made for payment
into the Bond Fund of a sum sufficient to pay
the principal of and interest on all the outstanding
Bonds in accordance with the terms thereof; and
further hereby binds itself irrevocably not to
mortgage, sell, lease, or in any manner dispose
of any part of the waterworks utility of the City
that is used, useful and material to the operation
of said waterworks utility unless provision is made
for replacement thereof or for payment into the
Bond Fund of an amount which shall bear the same
ratio to the amount of outstanding Bonds as the
revenue available for debt service for said Bonds
for the twelve months preceding such sale, lease,
encumbrance or disposal from the portion of the
utility so leased, encumbered or disposed of
bears to the revenue available for debt service
for said Bonds from the entire utility for the same
period. Any such money so paid into the Bond
Fund shall be used to retire outstanding Bonds
at the earliest possible date.
(b) That it will maintain in good condition
and operate said waterworks utility and will
establish, maintain and collect such rates as
will produce gross revenues from the said
waterworks utility, sufficient to permit payment
into the Bond Fund of the amounts required for
the payment of the principal of and interest on
the Bonds as they become due and the amounts
that are required to be paid into the "Reserve
Account" therein and, in addition thereto, that
it will pay all costs of maintenance and opera-
tion, and taxes, and meet the debt service
requirements of the outstanding "Special Fund
Water -Sewage Revenue Bonds, 1944-1946, Series
B," dated January 1, 1946; "Water Revenue Bonds,
1948, " dated March 1, 1948; "Water and Sewer
Revenue Bonds, 1954, " dated January 1, 1954; and
"Water and Sewer Revenue Refunding Bonds, 1963,"
dated January 1, 1963; and otherwise meet the obli-
gations of the City as herein set forth.
(c) That it will, while any of the Bonds
remain outstanding, keep proper books of
accounts and records separate and apart from
other accounts and records, in which complete
and correct entries will be made of all trans-
actions relating to the waterworks utility of the
City, and it will furnish the original purchaser
of said Bonds, or any subsequent holder or
holders thereof, complete operating and in-
come statements of said waterworks utility,
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
(25%) of the outstanding Bonds the right at
all reasonable times to inspect said utility
and all of the records, accounts and data of
the City relating thereto. Such operating and
income statements shall include the following
items:
(1) Balance sheet, including balances in
all funds created by this Ordinance;
(2) Statement of Cash Receipts and Dis-
bursements;
(3) Income and Expenses;
(4) Insurance data;
(5) Number of metered customers; number of
unmetered customers; number of properties connected
to the utility in last fiscal year; number of fire
hydrants; number of applications for water and
sewerage service on hand;
(6) Gallons of water through master meter
and gallons of water billed; estimate of gallons of
water used for flushing of mains and fires and
gallons of water unaccounted for;
(7) A recapitulation of funds or accounts
created by this Ordinance into which are put
moneys derived from the operation of the utility
or moneys derived from the sale of investments
herein authorized, such analysis or recapitulation
to show balance at beginning of period, deposits
and withdrawals made during period and balance
at end of period; also monthly deposit requirements
for funds during next succeeding fiscal period;
(8) Total annual water and sewer billings and
average monthly billing per customer;
(9) Rate schedule;
Upon request of any holder of any of said Bonds,
it will also furnish to such holder a copy of the
most recently completed audit of the City's
accounts by the State Auditor of Washington.
(d) That it will establish, maintain and
collect such rates and charges for water and for
sanitary sewage service as long as any of the
Bonds is outstanding as will make available for
the payment of the principal of and interest on
all such Bonds, as the same shall become due, an
amount equivalent to at least 1.4 times the average
annual debt service requirement, both principal and
interest, for the then outstanding Bonds and of the
outstanding "Special Fund Water -Sewage Revenue
Bonds, 1944-1946, Series B," dated January 1,
1946; "Water Revenue Bonds, 1948," dated March
1, 1948; "Water and Sewer Revenue Bonds, 1954,"
dated January 1, 1954, "Water and Sewer Revenue
Refunding Bonds, 1963_," dated January 1,.1963;
and of any bonds hereafter issued on a parity wi th
the outstanding "Water and Sewer Revenue Bonds,
1954, " "Water and Sewer Revenue Refunding Bonds,
1963, " and the Bonds in accordance with the pro-
visions of Section 13 of Ordinance No. 768, as amended
by Ordinance No. 774, after deducting the necessary
costs of maintenance and operation and taxes from the
gross revenues of the waterworks utility of the City.
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form:
(e) That it will not furnish water or
sewerage service to any customer whatsoever
free of charge and it shall, not later than
sixty (60) days after the end of each calendar
year, take such legal action as may be feasi-
ble to enforce collection of all collectible
delinquent accounts and, in addition thereto,
shall promptly avail itself of its utility lien
rights, as set forth in RCW 31.21.290 and
35.67.200, et se . , and all acts amendatory
thereof.
(f) That it will carry the types of insurance
on its waterworks utility properties in the amounts
normally carried by private water and sewer com-
panies engaged in the operation of water or
sewerage systems, and the cost of such insurance.
shall be considered a part of operating and maintain-
ing said utility. If, as, and when, the United
States of America, or some agency thereof, shall
provide for war risk insurance, the City further
agrees to take out and maintain such insurance
on all or such portions of said utility on which such
war risk insurance may be written in an amount or
amounts to cover adequately the value thereof.
(g) That so long as any Bonds are outstanding
it will not impose any tax or excise on the purchas-
ers of water or any excise or tax measured by the
amount of water so used, or sewerage services fur-
nished or the amounts of the bills payable for water
so used or sewerage services furnished.
(h) That it will maintain its corporate identity
and existence so long as any Bonds remain out-
standing.
(i) That it will not grant any competing
utility service franchise and will use all legal
means to prevent competition with its said utility.
Section 5. The Bonds shall be in substantially the following
No.
$5,000.00
UNITED STATES OF AMERICA
CITY OF PASCO, WASHINGTON
WATER AND SEWER REVENUE BOND, 1964
KNOW ALL MEN BY THESE PRESENTS: That
the City of Pasco, Franklin County, Washington,
for value received, hereby promises to pay to the
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bearer on the FIRST DAY OF JULY, 19 , the
principal sum of
FIVE THOUSAND DOLLARS
together with interest thereon at the rate of
PER CENT ( %)
per annum, payable on July 1, 1965, and semiannually
thereafter on January 1 and July 1 of each year upon
the presentation and surrender of the attached interest
coupons as they severally mature up to the bond
maturity date and with full obligation on the part
of the City to pay interest at the same rate, from
and after the bond maturity date, until this bond
with interest is paid in full, or until this bond,
if callable, shall have been duly called for
redemption and the redemption price, including
interest to such call date, deposited in the
"Water and Sewer Revenue Bond Fund, 1964,"
of the City. Both principal of and interest on
this bond are payable in lawful money of the
United States of America at the office of the
City Treasurer of Pasco, Washington, solely
out of the special fund created by Ordinance No.
1145 and known as the "Water and Sewer Revenue
Bond Fund, 1964, " (hereinafter called the "Bond
Fund") , into which fund the City of Pasco hereby
irrevocably binds itself to pay certain fixed
amounts out of the gross revenues of the water-
works utility, including the sewerage system as
a part thereof, now belonging to or which may
hereafter belong to the City, including all addi-
tions, replacements, extensions and betterments
now or at any time hereafter made or constructed,
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, and to create a reserve, all at the
times and in the manner set forth in Ordinance No.
The bonds of this issue are not a general
obligation of the City.
This bond is one of a total issue of $1,100,000.00
par value of bonds, all of like date, tenor and effect,
except as to maturities and interest rates, all payable
from the said Bond Fund, and all issued by the City
under and pursuant to the laws of the State of Wash-
ington and Ordinances Nos. 1145 and ®f the
City for the purpose of providing the funds with which to
pay;the cost of carrying out the system or plan for
making additions to and betterments and extensions
of the waterworks utility of the City of Pasco, including
the sanitary sewerage system and the system of storm
or surface water sewers as a part thereof, as specified
and adopted by Ordinance No. 1145. Reference is made
to Ordinance No. as more fully describing
the covenants with and rights of holders of bonds of
this issue.
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The City of Pasco has reserved the right to
redeem the bonds as a whole or in part, in inverse
numerical order, solely out of the available net
revenues of the waterworks utility of the City, on
July 1, 1970, or on any subsequent semiannual
interest payment date, at par plus accrued interest
to date of redemption, and further reserved the
right to redeem the bonds as a whole, solely for
refunding purposes, on July 1, 1970, or on any sub-
sequent semiannual interest payment date, at 105%
of the par value thereof, reducing 1% per annum for
each full year that the redemption is subsequent to
July 1, 1970, to par on or after July 1, 1975, plus
accrued interest to date of redemption in each case.
Notice of any call for redemption of the bonds of
this issue prior to their stated maturity dates shall
be published once in the official newspaper of the
City not less than thirty nor more than forty-five
days prior to the date of redemption. Notice of such
call for redemption shall also be mailed to [the
principal underwriter who purchases the bondsj or
its successors, within the same period. Interest
on any bonds so called for redemption shall cease on
the date fixed for such redemption ;upon payment of
the redemption price into the Bond Fund.
The bonds of this issue constitute a lien and
charge upon the gross revenues of the waterworks
utility of the City, including the system of
sewerage as a part thereof, together with all addi-
tions thereto and betterments and extensions and
replacements thereof at any time made, prior and
superior to any other charges whatsoever, exclud-
ing charges for maintenance and operation of said
utility, except that the lien and charge upon said
I ross revenues for the bonds of this issue are
subordinate and inferior to the prior lien and
charge against the same for the outstanding
"Special Fund Water -Sewage Revenue Bonds,
1944-1946, Series B," dated January 1, 1946,
and the "Water Revenue Bonds, 1948, " dated
March 1, 1948, and except further that the lien
and charge upon said gross revenues for the
bonds of this issue are on a parity with the
lien and charge upon such gross revenues for
the outstanding "Water and Sewer Revenue Bonds,
1954, " dated January 1, 1954, and "Water and
Sewer Revenue Refunding Bonds, 1963," dated
January 1, 1963, and for any additional water
and sewer revenue bonds that may be hereafter
issued in accordance with the provisions of
Section 13 of Ordinance No. 768, as amended
by Ordinance No. 774.
The City of Pasco hereby covenants and
agrees to and with the holders of this bond that
it will keep and perform all covenants of this
bond and of Ordinance No. to be by it
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kept and performed, and it further covenants and
agrees to maintain in good condition and to
operate said waterworks utility, including the
system of sewerage 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 said City as herein set
forth and as set forth in Ordinance No.
It is hereby certified and declared that
the bonds of this issue are issued pursuant to
and in strict compliance with the Constitution
and laws of the State of Washington, and the
ordinances of the City of Pasco, and that all
acts, conditions and things required to be done
precedent to and in the issuance of this bond
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 the
interest coupons attached to be signed with the
facsimile signatures of said officials this first
day of December, 1964.
CITY OF PASCO, WASHINGTON
. I
BY
ATTEST:
Clerk
Mayor
The interest coupons attached to the Bonds shall be in substan-
tially the following form:
Coupon No.
On the FIRST DAY OF (JANUARY) (JULY) ,
19 , the CITY OF PASCO, WASHINGTON,
upon presentation and surrender of this coupon,
will pay to bearer at the office of the City
Treasurer the sum of
DOLLARS ($ ) in
lawful money of the United States of America
from the special fund of the City known as
"Water and Sewer Revenue Bond Fund, 1964, "
said sum being the semiannual interest then
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W
due on its "Water and Sewer Revenue Bond, 1964,"
dated December 1, 1964, and numbered
ATTEST:.
Clerk.
CITY OF PASCO, WASHINGTON
Mayor
(Seven months
interest on
Coupon No. 1)
The Bonds shall be printed on lithographed forms, shall be
signed by the Mayor and attested by the Clerk, and shall have the seal of
the City of Pasco affixed thereto, and the interest coupons shall bear the
facsimile signatures of the Mayor and the Clerk.
Section 6. The Clerk of the City of Pasco is hereby directed
to publish in the Daily Journal of Commerce in Seattle, Washington, on or
about November 10, 1964 and November 24, 19 64 , and in the Daily Bond
Buyer of New York, New York, on or about November 12, 1964, a Notice
of Bond Sale of the Bonds, calling for bids for the purchase thereof to be
received by the City Manager in the Council Chambers in the City Hall in
Pasco, Washington, until 2:00 o'clock P.M. (PST) on December 1, 1964,
at which time the bids will be publicly opened by the City Manager, read
aloud, and the best bid determined. Such bid will then be submitted to
the City Council at its regular meeting at 8:00 o'clock P.M. on the same
day for consideration and acceptance. Immediately after the determination
at the bid opening by the City Manager of the best bid, the good faith
deposit of the apparent successful bidder will be retained and the good
faith deposits of all other bidders will be returned to such bidders.
Each bidder shall seal his bid in an envelope with a
good faith deposit in the form of a certified or cashier's check made payable
to the Treasurer of the City of Pasco, Washington, in the sum of not less
than $55,000.00. If the successful bidder shall fail or neglect to complete
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the purchase of the Bonds in accordance with its bid within 40 days
following the acceptance thereof, and the Bonds are ready for delivery,
the amount of such deposit shall be forfeited to the City.
No bid agreeing to pay less than 98% of the par value
of the Bonds, plus accrued interest, will be considered. One or more
rates of interest may be fixed for the Bonds, which rate or rates shall
not exceed 6% and must be in multiples of 1/8 or 1/10 of 1% or both. No
more than one rate of interest may be fixed for any one maturity. The
maximum differential between the lowest and highest coupon rates named
in any bid shall not exceed 1%. Only one coupon will be attached to
each bond for each installment of interest thereon and bids providing for
additional or supplemental coupons will be rejected.
All bids shall state the total amount of the coupon interest
over the life of the bonds, and the net interest cost to the City, which
shall be computed by deducting from such coupon interest the premium,
if any, or adding the discount, if any. Each bid shall also state the net
effective interest rate over the life of the Bonds. The Bonds will be awarded
to the bidder offering to purchase all of the same at the lowest net interest
cost to the City.
The City reserves the right to reject any or all bids
submitted, and to waive any informalities or irregularities therein.
Printed Bonds will be delivered without cost to the pur-
chaser thereof within 40 days from the date of acceptance of the offer to
purchase at the City Hall in Pasco, Washington, or at any bank in Seattle,
Washington, at the purchaser's option. Delivery at any other place with-
in the United States will be at the purchaser's option and expense.
The opinion of Roberts, Shefelman, Lawrence, Gay &
Moch, municipal bond counsel of Seattle, Washington, approving the
legality of the issuance of the Bonds will be delivered to the purchaser
without cost, and will be printed on each of the Bonds. A no -litigation
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certificate in the usual form will also be included in the closing papers.
The Notice of Bond Sale to be published shall provide
that copies of the Official Statement relating to the Bonds may be ob-
tained from the City Clerk, or from Terry Thompson & Co. , the City's
financial consultant, at 1701 Northern Life Tower, Seattle, Washington.
PASSED by the City Council at a regular meeting thereof
and APPROVED by the Mayor of the City of Pasco, Washington, this
nth -l. day of .November, 1964.
AYOR
ATTEST:
APPROVED AS TO FORM:
CITY ATTORIqEY
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I, ESTHER SCHLAGEL, Clerk of the City of Pasco, Wash-
ington, do hereby certify that the attached is a full, true, complete and
correct copy of Ordinance No. //46— 1 of the City of Pasco, passed
on November 3, 1964, as said Ordinance appears on the Minute Book of
the City.
DATED this � day of November, 1964.
O
ESTHER SCHLAGEL, City Clerk
November. 139 1964
Roberts, Shefelman, Lawrence, Gay & Moch
Northern Life Tower
Seattle, Washington
Attn: James Gay Re: $1,100,000.00 "Water g Sewer
Revenue Bonds, 196411, City of
Pasco, Washington
Dear Sirs
In accordance with a request by telephone from Terry Thompson, a
certified copy of Ordinance ;1165 was mailed to him on the 10th
of november. An -excerpt of the minutes showing the adoption
thereof; was also mailed -to him.•,
Complying with request in a letter addressed to D. -Wayne Campbell
by you, I am enclosing for your information one certified copy, of
Ordinance #1165, a certified excerpt of minutes showing the
passage thereof and a signed copy.of "Call for Sale of Bonds`"..
An .affidavit of publication of Ordinance#1145 is also enclosed.
For your information, Ordinance #1165 as,_.not yet come out in
print although it has been submitted to the paper for publication.
An. ;affidavit of ,publication on Ordinance � 1165 will be forwarded to
you just, as soon as -•possible.
Jim, if there -is anything else which you need from my office at
this -time, please let me know.
Sincerely,
Esther Schlagel
City Clerk
Mew peat
November 130 1964
Roberts Shefelman* Lawrence; Gay & Moch
Northern Life Tower
Seattle, Washington
Attw James Gay Re: $11100,000.00 "Water & Sewer
Revenue Bonds, 1964"1 City of
Pasco, Washington
Dear .Sirs
In accordance with a request by telephone from Terry Thompson* a
certified copy of Ordinance #1165 was wailed to him on the loth
of November. An excerpt of the minutes showing the adoption
thereof,, was also mailed to him,
Complying with request in a letter addressed to D, Wayne Campbell
by you, I am enclosing for your information one certified copy of
Ordinance #11651 a certified excerpt of minutes showing the
passage thereof and a signed copy of "Cali for Sale of Bonds!"
An affidavit of publication of Ordinance #1145 is also enclosed.
For your information) Ordihance #1165 k Ms not yet come out in
print although it has been submitted to the paper for publication.
An affidavit of publication on Ordinance #1165 will be forwarded to
you just as soon as possible.
Jim' if there is anything else which you need from my office at
this time„ please let me know.
ES.ew
Sincerely„
Esther Schlagel
City Clerk
Pasco, Washington
November 10, 1964
Terry Thompson & Co.
1701 Northern Life Tower
Seattle, -Washington
Attention: Terry Thompson
Dear Sir:
Enclosed you will find one certified copy of Ordin-
ance No. 1165, together with one certified copy of
Notice of Pond Sale; and certified excerpts of minutes
showing the passage of Ordinance No. 1165-
A copy of Ordinance No. 1165 has been sent to the
paper for publication however it has not come out in
print as of this moment.
I shall send you an affidavit of publication on this.
just as soon as I receive it from the paper publishers.
I do hope that this, will help you in your immediate
work load.
Please let me know if you need anything further,
sincerely,
Esther Schlagel, City Clerk
Pasco, Vashington
es
enc. 3
c c : Jame's Gray
cc: file
P.S. Terry: You will also find the signatures of 2r,
lonasco, which you requested by phone. We have mailed
five so if you have trouble you will have a spare. --E.S.
I I P
cu_ 00
Pasco, Washington
November 10, 1964
Terry Thompson & Co.
1701 Northern Life Tower
Seattle, Washington
Attention: Terry Thompson
Dear Sir:
Fnclosed you will find one certified copy of Ordin-
ance No. 1165, together with one certified copy of
Notice of Pond Sale; and certified excerpts of minutes
showing the passage of Ordinance No. 116.
A copy of Ordinance No. 1165 has.been sent to the
paper for publication however it has not come out in
print as of this moment.
I shall send you an affidavit of publication on this
just as soon as I receive it from the paper publishers.
I do hope that this will help you in your immediate
work load.
Please let me know if you need anything further.
Sincerely,
Esther $ch age 1, Cit q Clerk
Pasco,. Washington
es
enc. 3
c c : James Gay
cc: file
P.S. Terry: You will also find the signatures of Are
'Ienasco, which you requested by phone. We have mailed
five so if you have trouble you will have a spare. --E.S.
7 V(/
L, U,
s
EXCERPTS FROM PASCO CITY COUNCIL MINUTES -- MEETING OF NOVEMBER 4, 1964
Minute Book Number 13 - - - - - - - - - - - - - - - - - - - - - -PAGE 3416
PASCO, WASHINGTON
COUNCIL CHAMBERS
REGULAR MEETING
CALL TO ORDER:
NOVEMBER 4, 1964
Meeting called to order at 8:02 P.M. by the Honorable G. E.
Carter, Mayor.
ROLL CALL:
By Clerk. Council members present were: G. E. Carter, J. G.
Bailey, R. L. Greenlee, C. F. Griggs, George P. Stork and Russ
Wiseman. Fred Robinson was absent (patient in Walla Walla Hospital
at this time). Horace E. Menasco, City Manager; George R. Fisher,
City Engineer and D. Wayne Campbell, City Attorney were also pre-
sent. John Severson was present in the audience.
APPROVING MINUTES:
Motion made by Greenlee, seconded by Stork to approve minutes of
previous regular meeting, October 20th. Motion carried.
PAGE 3418
ORDINANCE NO. 1165:
AN ORDINANCE PROVIDING FOR THE ISSUANCE OF
$1,100,000.00 PAR VALUE OF "WATER AND SEWER
REVENUE BONDS, 1964," TO OBTAIN THE FUNDS WITH
WHICH TO PAY THE COST OF CARRYING OUT THE SYSTEM
OR PLAN FOR MAKING ADDITIONS TO AND BETTERMENTS
AND EXTENSIONS OF THE WATERWORKS UTILITY OF THE
CITY OF PASCO, INCLUDING THE SANITARY SEWERAGE
SYSTEM AND THE SYSTEM OF STORM OR SURFACE WATER
SEWERS AS A PART THEREOF, AS SPECIFIED AND
ADOPTED IN ORDINANCE NO. 1145; FIXING THE DATE,
FORM, MATURITIES, MAXIMUM INTEREST RATE, TERMS
AND COVENANTS OF SUCH BONDS; AND PROVIDING FOR
THE CALLING FOR BIDS FOR THE PURCHASE THEREOF
AT PUBLIC SALE.
Motion made by Greenlee, seconded by Stork, to read Ordinance No. 1165
by title only. Motion carried. Ordinance No. 1165 was read by title.
Motion made by Greenlee, seconded by Bailey, that Ordinance No. 1165
has been read by title only. Motion carried. Motion made by Greenlee,
seconded by Stork, to adopt Ordinance No. 1165. Motion carried by roll
call vote of six (6).
STATE OF WASH INSTON)
COUNTY OF FRANKLIN) ss
CITY OF PASCO )
I, ESTHER SCHLAGEL, City Clerk of the City of Pasco, Washington do hereby
certify that the above is a true, correct and accurage copy of that portion
of the City Council Meeting Minutes for the meeting of November 4, 1964 of
which it purports to be a copy and that the original minutes are on file in
my office.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal
of said City of Pasco, Washington, this 10th day of November, 1964.
Esther Schiagel, City Clerk
Pasco, Washington
I, ESTHER SCHLAGEL, Clerk of the City of Pasco, Wash-
ington, do hereby certify that the attached is a full, true, complete and
correct copy of Ordinance No. of the City of Pasco, passed
on November 3, 1964, as said Ordinance appears on the Minute Book of
the City.
DATED this 6N day of November, 1964
ESTHER SCHLA EL, City Cler