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Home My WebLink About0757 ResolutionRESOLUTION NO. 757 RESOLUTION AUTHORIZING THE ISSUANCE, SALE, AND DELIVERY FROM TIME TO TIME OF PRELIMINARY LOAN NOTES, THE EXECUTION OF REQUISITION AGREEMENTS, AND THE EXECUTION OF PROJECT TEMPORARY LOAN NOTES FOR DELIVERY PURSUANT TO REQUISITION AGREEMENTS, IN CONNECTION WITH URBAN RENEWAL PROJECT NO. WASH. R-18. WHEREAS. City of Pasco (herein called the "Local Public Agency"), has entered into a contract dated as of the 6th day of September 1968 , numbered Contract No. Wash. R-18(LG) (which, togetF�er with any supplements 'thereto or amendments, modifications, or waivers of any provisions thereof, is herein called the "Loan and Grant Contract"), with the United States of America (herein called the "Government"), which Loan and Grant Contract provides, in part, for a Project Temporary Loan by the Government to the Local Public Agency under Title I of the Housing Act of 1949, as amended (42 U.S.C. 1450 et seq.), i.n an amount outstanding at any one time not to exceed $1,935,106, to aid the Local Public Agency in its undertaking and carrying out of a certain urban renewal or redevelopment project (herein called the "Project") designated Project No. Wash. R-18 and which is more fully identified in the Loan and Grant Contract; and WHEREAS the Loan and Grant Contract provides in connection with the financing of the Project that if the Local Public Agency can obtain loan funds from sources other than the Government at interest rates lower than the pertinent Project Temporary Loan Interest Rate or Rates it may do so with the prior written consent of the Government and; .in any such case, if the Local Public Agency shall have complied with all conditions precedent to its obtaining a payment by the Government under the Loan and Grant Contract in a specified amount on account of the Project Temporary Loan, the Local Public Agency, with the prior written consent of the Government, may pledge its right under the Loan and Grant Contract to a sufficient amount of such particular payment as security for the repayment by the Local Public Agency of the principal of and interest on its obligations evidencing loan funds so obtained from sources other than the Government; and WHEREAS it appears that obligations of the Local Public Agency, known and referred to in the Loan and Grant Contract as "Preliminary Loan Notes issued for the purposes as hereinafter authorized, and.of,the details, description, and security as herein provided, are generally marketable at interest rates lower than the interest rate or rates- which the Government is required to charge the Local Public Agency under the terms of the Loan and Grant Contract, and the Government is desirous of cooperating with the Local Public Agency in its endeavor to sell such obligations in order to reduce carrying charges and other costs of the Project and in order to encourage participation of private capital in the financing of the Project. NOW, THEREFORE, BE IT RESOLVED BY the City Council of the City of Pasco as follows: is SECTION 1. AMOUNT AND PURPOSES. The Local Public Agency hereby determines to borrow and there is hereby aut or.ized to be borrowed a sum not to exceed the principal amount outstanding at any one time of One Million Nine'Hundred Thirty- five Thousand One hundred Six Dollars ($ 1,935,106 whether evidenced by outstanding Project Temporary Loan Ob igations (hereinafter called "Project Temporary Loan Notes"), Preliminary Loan Notes, or Project Definitive Loan Obligations, as those terms are used in the Loan and Grant Contract: Provided, That, for the purposes of this Resolution, said maximum principal amount shaTT be increased or decreased to a sum determined with certainty under the provisions of Section 12 hereof. To the extent feasible, and without limiting the powers of the Local Public Agency to borrow funds directly.from the Government under the terms of the Loan and Grant Contract, such borrowings, exclusive of borrowings evidenced by Project Definitive Loan Obligations, shall be evidenced by obligations of the Local Public Agency issued, sold, and delivered pursuant to the authority of this Resolution, and the funds so borrowed shall be borrowed for and used to defray expenses and costs incurred or to be incurred in the Local.PUblic Agency's under- taking and carrying out of the Project, or to retire, refund, renew, or extend its outstanding Project Temporary Loan Notes, if any, and outstanding Preliminary Loan Notes, if any, as hereinafter more fully provided. SECTION 2. AUTHORIZATION AND DETAILS OF NOTES. There shall be and hereby are authorized to be issued, sold, and de•ivered from time to time, as funds are needed for any one or more of the aforesaid purposes, the negotiable, short-term special obl.igations (hereinafter called the "Notes") of the Local Public Agency payable to the bearer, each of which shall be designated "Preliminary Loan Note", and each separate issue of the Notes shall be further identified by a series designation from "First Series" upward in order of issuance and in relation to the Project and previous issues of Preliminary Loan Notes, if any, followed by the letter designation", The Notes shall be issured in substantially the form of Priliminary Loan Note attached hereto and marked "Exhibit A", with the blank spaces therein completed as required by this Resolution and the facts surrounding each specific series of Notes, and the terms and conditions of said form of Preliminary Loan Note are hereby adopted as though the same were set forth in full in the text of this Resolution. Each of the Notes shall have endorsed thereon a payment agreement on behalf of the United States in substantivally the form of the Payment Agreement appearing on the reverse of said "Exhibit All. SECTION 3. DETAILS OF SERIES OF NOTES. The Ma or or the Acting Mayorof the Local Public gency(herei-n respectively caTTee t e "Authorized Officer" ) is hereby authorized and directed to determine from time to time and on the basis of estimates, the amount of Project Temporary Loan :funds requied to provide for the orderly financing of the Project, including funds to retire:, refund, or extend in whole or in part, outstanding Project Temporary Loan Notes and outstanding Preliminary Loan Notes of the Local Public Agency, if any; and to requisition such funds, together with estimated interest thereon, from the Government under the Loan and Grant Contract: Provided, That, for the convenience of financing, said estimate shall be rounded upward to the next multiple of X1,000. Each such estimate shall cover a time period certain, which. shall be not less than approximately 90 days and not more than approximately 380 days, in relation to a financing schedule otherwise mutally satisfactory to the Authorized Officer and the Government. Each series of the Notes shall bear the date of the commencement of said time period and shall mature on a date certain upon the expiration of such period under said financing schedule. The aggregate principal amount of the respective series of Notes shall equal the said estimate of loan funds required by -2- I& the Local Public Agency, exclusive of said estimated interest, for the period from and including the date of such Notes to their maturity: Provided, That, for convenience,of financing, in determining the principal amount of the respective series of Notes said estimate shall be rounded upward to the next multiple of $1,000. The Notes of the respective series of Notes shall be numbered from 1 upward in orderly sequence. SECTION 4. ADVERTISING OF NOTES. Upon receipt of the advice of or on behalf of the Department of Housing and Urban Development, indicating that the Government anticipates approving a payment to the Local Public Agency of funds on account of the Project Temporary Loan under the requisition described in Section 3 hereof and a Requisition Agreement hereinafter described, the Authorized Officer shall advertise a series of Notes, in the principal amount determined under said Section 3, for sale in accoudance with the policies, terms, and conditions of sale specified in the form of Notice of Sale of Preliminary Loan Notes attached hereto as "Exhibit B", with the blank spaced therein completed as required by this Resolution and the facts surrounding each series of Notes: Provided, That the date specified for the receipt of sealed proposals shall be mutually satisfactory to the Authorized Officer and the Government, but in no event earlier than the seventh day following the publication of the Notice of Sale nor later than the sixteenth day following such publication: Provided further, That the hour fixed for the public opening of bids shall be one o'clock P.M., lawful time in the City of New York, New York. Said Notice of Sale shall be published once in the Daily Bond Buyer, a financial newspaper of national circulation published in the City and State of New York. The Authorized Officer is hereby empowered to join with other local public bodies in offering Preliminary Loan Notes for sale under a consolidated Notice of Sale to be published in The Daily Bond Buyer pursuant to which the Local Public Agency and other local public bodies jointly advertizo their respective series of Preliminary Loan Notes for sale pursuant to the policies, Lerms, and conditions substantially aspprovided by Exhibit B hereto. Said Notice of Sale shall be published on a date.mutually satisfactory to the Authorized Officer and the Government, and under a predetermined financing schedule designed to provide to the Local" Public Agency funds to assure the orderly financing or refinancing of the Project for the financing period determined pursuant to Section 3 hereof. The form of Proposal (Form HUD -3088)(12-65)) attached hereto and marked "Exhibit V including the policies, terms, and conditions thereof, is hereby adopted as substantially the form of proposal which shall be required of bidders pursuant to the Notice of Sale: Provided, That the Authorized Officer may consent to a request made by a successful bidder prior to the delivery of Notes to designate a paying agent, if qualified under the terms of the Notice of Sale, other than the paying agent named in the proposal, and, also may consent to changes in the denomi`nations'of'Notes as specified in the proposal. SECTION 5. AWARD OF NOTES. The Authorized Officer is hereby appointed as the awarding official on behalf of the Local Public Agency, and is hereby authorized and directed on each date specified in a Notice of Sale of a series of Notes, and at the time and place specified in such Notice of Sale, to receive, open, and review all proposals received for the purchase of the series of Notes. Proposals, including telegraphic proposals or instructions as to the completion of proposals, received after one o'clock P.M., the hour (New York time) specified in the Notice of Sale, shall not be opened but rather shall be returned by the Authorized Officer to the proposed bidder who shall be advised of the date and hour when his proposal or telegram was received. Any proposals which are incomplete in any substantial respect shall be forthwith rejected by the Authorized Officer. Upon completion of the review, the contents of all proposals shall be communicated by telephone to council on behalf of the said Department of Housing and Urban Development with advice and recommendation for award or awards based on the conditions of award specified in the Notice of Sale, and proposals received pursuant to -3- such Notice of Sale, and request, concurrence in the proposed award or awards; Provided, That such award or awards shall be made at the lowest rate or rates specified in the pro- posals, but in no event at a rate which equals or exceeds the rate, or the lowest of any two or more interest rates to be borne,:, by the Project Temporary Loan Note or Notes : authorized for delivery to the Government for purchase under the terms of a Requisition Agreement as herein provided. Upon receipt of the advice of or on behalf of the said Department of Housing and Urban Development, which advice may be formal or informal, to the effect that the Government has no objections to the proposed award or awards of the Notes, the Authorized Officer shall promptly notify each successful bidder by telegram of the award of all or a portion of the series of Notes to such bidder. Each such notice of award shall be unqualified and shall be confirmed by letter from the Authorized Officer to each successful bidder. SECTION 6. PREPARATION AND EXECUTION OF NOTES. Promptly following the award of a series of Notes, the Authorized Officer shall have the same prepared, in accordance with recognized minicipal financing practices, for execution and delivery to the purchaser or purchasers. The Notes shall be signed in the name of the Local Public Agency by and through the manual or the duly authorized facsimile signature of the Mayor, or in his ab- sence or inca,p'acity the Acting Mayor and shall have the corporate seal of the Local Public Agency impressed theron and attested by the City Clerk or the Acting City Clerk of the Local. Public Agency; and said officers are hereby authorized and directed to cause said Notes to be properly executed. SECTION 7. SECURITY AND EXECUTION OF REQUISITION AGREEMENTS. Each series of Notes shall be payable as to both principal and interest solely from funds -provided by tie United States of America pursuant to a requisition agreement: Provided, That the. Local Public Agency hereby consents to the Payment Agreement of the United States of America to be endorsed on each'Note. Each such requisition agreement shall be in substantially the form of either Form HUD -3079a(3-66) or Form HUD -3079b(3-66), as requiredby the facts, a copy of each of which forms of "Requisition Agreement has been examined by the Mayor, on behalf'of the Local Public Agency, and are hereby ordered to be filed as a part of the official records of the Local Public Agency. The City Clerk shall endorse on each copy of said forms of "Requisition Agreement" a statement identifying such forms as the forms of requisition agreement approved -by this Resolution, and shall furnish the said Department of Housing and Urban Development and bond counsel engaged by the purchaser•to render the approving opinion respecting the series of Notes, defined in a specific Requisition Agreement as the "New Preliminary Loan Notes", each a certified copy of said forms of "Requisi.tion Agreement" as hereby approved. The Officer or Officers executing the sa.id New Preliminary Loan Notes are hereby authorized and directed to execute the specific Requisition Agreement disigned to secure their payni Without limiting the general terms and conditions of such Requisition Agreement, when executed by teh Government the same is hereby declared to be and is hereby assigned by the Local Public Agency for the benefit of the holder or holders from time to time of the New Preliminary Loan Notes described therein, and the proceeds of the Project Temporar; Loan Note or Notes executed pursuant to Section 8 hereof and deposited with the Government for the purchase pursuant to such Requisition Agreement are hereby irrevocably pledged first, to the payment at maturity of the principal and interest on said New Preliminary Loan Notes. SECTION 8. EXECUTION AND DELIVERY OF PROJECT TEMPORARY LOAN NOTES. The Mayor or in his absence or incapacity the Acting Mayor of the Local Public A ency are hereby authorized an directed to execute the Project Temporary Loan Note?s), as described and defined in the Requisition Agreement as the "Escrow Project Temporary Loan Note"(the issuance of which has heretofore been authorized by a Resolution Authorizing the Issuance of Certain Project Temporary Loan Notes in Connection With Project No. Wash. R-18, and Providing for the Security for the Payment Thereof, and the Other Purposes -4- a duly adopted by the Local Public Agency on the 20th day of August , 1968, as amended). Each'such Escrow Project Temporary Loan Note shall have the corporate seal of the Local Public Agency impressed thereon and attested by the City Clerk or the Acting City Clerk. The Escrow Project Temporary Loan Note or the aggregate principal amount of any two or more notes constituting the Escrow Project Temporary Loan Note under the Requisition Agreement shall equal the principal amount of the New Preliminary, Loan',Notes described in the Requisition Agreement plus estimated interest thereon determined on the basis of the requisition and in accordance with Section 3 hereof, and also, shall equal the amount of the Requisitioned Payment described in the Requisition Agreement. Project Temporary Loan Notes,.whether purchased by the Government through direct purchase under the Loan and Grant Contract, or through operations under a Requisition Agreement, or deposited with the Government for purchase pursuant to a Requisition Agreement, shall be numbered from 1 upward in orderly sequence; and each such Project Temporary Loan Note(a) shall bear interest from date of delivery thereof and the payment therefor by the Government, at a rate or rates determined in accordance with the Loan and Grant Contract;(b) shall bear a statement at the foot thereof in substantially the following -form: "Delivery of this note was accepted and payment therefor made on the day of 19 UNITED STATES OF AMERICA Secretary of Housing and Urban Development By Title and (c) shall not.be valid until said statement is duly executed on behalf of the Government. The Escrow Project Temporary Loan Note, as Described in a specific Requisition Agreement, shall be delivered by the Authorized Officer to the Government to be held and .paid for by the Government in accordance with the terms and conditions contained ;i,n such Requisition Agreement. SECTION 9. DISPOSITION OF PROCEEDS;. The proceeds of each issue of Preliminary Loan Notes issued pursuant to the authority of this Resolution shall be applied for the authorized purposes of this 'Resolution and as may be required by provisions of the Requisition Agreement securing the respective issues of such Notes. SECTION 10. DELIVERY OF NOTES. Each Note of each issue of Notes authorized pursuant to this Resolution s al e'payable on the maturity date thereof at the in- corporated Bank having trust powers or the incorporated Trust Company, as the purchaser thereof shall designate in the proposal. Such Bank or Trust Company is hereby designated as the Paying Agent for each such Note, and the Notes shall be delivered to the purchaser in accordance with the provisions of a Letter of Instructions(Urban Renewal Program), being substantially in the form of Form HUD -3084(3-66), a copy of which has been examined on behalf of the Local Public Agency and is hereby approved. A copy of said Form HUD -3084 (3-66) is hereby ordered to be filed as a part of the official records of the Local Public Agency. The City Gle.rk shall endorse on such copy a statement identifying the same as the form of Letter of J,'nstruct.ions approved by this Resolution, and shall furnish the said Department of Housing and Urban Development and said bond -counsel, each a certified copy of said Form HUIT-3984(3-66) as hereby approved. Following the execution of an issue of Notes, the Authorized Officer shall prepare and execute said Letter of Instruction -5- a and foreward each such Letter of Instructions, together with the Notes and Signature Certificate and Receipt described therein, to the said Department of Housing and Urban Development with the request that the same be approved and forwarded to the designated Paying Agent. SECTION 11. TRANSCRIPTS AND PROCEEDINGS. The officers of the Local Public Agency, including the Authorized Officer and attorneys for the Local Public Agency, are hereby authorized to furnish to the Government, bond counsel engaged to render the approving opinion on the respective issues of Preliminary Loan Notes authorized to be issued hereunder, and to the purchasers of Preliminary Loan Notes such informative data, certificates and transcripts of proceedings as they may reasonably request pertaining to the Local Public Agency, the Project, and the financing of the Project. SECTION 12. CHANGES IN AUTHORIZED AMOUNT. In the event the Local Public Agency and the Government shall enter into one or more amendments to the Loan and Grant'Contract on a date or dates subsequent to the adoption of this Resolution whereby the maximum amount of the Project Temporary Loan outstanding at any one time, referred to in the first preamble and in Section l of this Resolution, is either increased or decreased, the maximum amount of the Project Temporary Loan stated in terms of dollars in said preamble and in Section 1 shall automatically be increased or decreased to the maximum limitation specified in terms•of stated dollars in the latest of any such amendment: Provided, That no such increase or decrease shall operate to modify in any manner the terms of payment on account of the Project Temporary Loan under any outstanding Requisition Agreement. SECTION 13. EFFECTIVE DATE. This Resolution shall take effect immediately after its passage as required by law. PASSED by the City Council and APPROVED by the Mayor this 3rd day of December , 19 68 ATT GEO E EASTMAN, CITY CLERK APPROVED AS TO FORM: D. WAYNE CAMPBELL, CITY ATTIORNEY A G. E. CARTER, MAYOR r._. �_- - LGUID.E FORM]. PRELIMINAKY LOAN NOTE' ( SERIES, ) Project No. No. EXHI N "A" HUD -3081 (1-66) (herein called the "Local Public AE;ency"), a body politic and corporate, for value received,, hereby promises to pay to the bearer, but solely from the funds-Pr6vided by the United States of America pursuant to the Requisition Arreement hereinafter described, the principal sum of this Note, with interest thereon from the date of issue to the maturity date, at the interest rate ver annum, and at the office of the Paying Agent, all as specified herein. Both the principal of and interest on this Note are payable in any coin or.currency of the United States of America which on the date of payment thereof is legal tender for the payment of public and private debts. The date of issue, maturity date, principal sum authorized issue, interest rate per annum, the paying agent of and with respect to this.Note, and the description of said Requisition Agreement and citations of authority for and pertaining to this Note are as follows: Date of Issue: Principal Amount: Interest Rate Per Annum: Paying Agent: Requisition Agreement No. State and Statute: Resolution(a] Adopted: Maturity Date: Authorized Issue: �$ This Note is.issued pursuant to the constitution or organic law of said State and said Statute, as amended and supplemented, to aid in financing an urban renewal or redevelopment project of the character authorized thereunder and described in said Resolution(s]. Said roject is being assisted pursuant to Title I of the Housing, Act of 1949, as amended 42 U.S.C. lb4l and 1U50 et seq.), under a loan contract between the Local Public Agency and.' the United States of America. Pursuant to said loan contract, and in furtherance of the financing of the project, the Local Public Agency and the United States have entered into the above -identified Requisition Agreement under which the latter has agreed, without limiting in any manner the unqualified Payment Agreement of the United States endorsed on the reverse of this Note, to make a specific loan payment to the Local Public Agency on or prior to said Maturity Date in an amount sufficient to pay the principal of and interest to maturity on this Note and said - 'Authorized Issue of which this Note is one, and to cause to be deposited with the Paying Agent, for the benefit of the holder of this Note, an amount sufficient to pay such principal and interest to maturity. Under the terms of said Resolutions] the proceeds of said loan are irrevocably pledged first to such payments; and under the terms of said Requisition Agreement, the full faith and credit of the United States of -America is pledged to the payment of the principal of and interest on this Note as evidenced by said Payment Agreement. This Note shall not constitute a debt or indebtedness of the State or of any town, city, county, municipality, or political entity or subdivision therein or thereof, within the meaning of any constitutional, statutory, local law, or charter provision, and neither the State nor any such tovm, city, county, municipality,ior political entity or subdivision,. other than the Local Public Agency, shall be liable hereon, and, in no event, shall either this Note or the interest thereon be payable from or out of any funds or properties other thanthose of the Local Public Agency or those of the United States. IT IS TfiEREBY CERTIFIED, RECITED, AHD DECLARED that all conditions, acts, and things required to exist, happen, and be performed precedent to and in the issuance of this Note do exist, have happened, and have been performed in due time, form, and manner as required by law: Provided, That this Note shall not be valid until the Paying Agent shall have executed the agreement, appearing below, to act as -such {?ay -ng Agent: IN WTTMESS {�{'.REOF�. Loe8ft Public Agency has caused this Note to be signed in its name and its seal to he'impressed hereon and attested, by its proper officers therewnto duly authorized, this Note to be dated as of fl-,te Date of Issue above specified. ATTEST: Ely AGREEMENT OF PAYING AGENT We•hereb'y agree to act as Paying Agent of this Note as above indicated. kr 1-1 r PAYMi:.W AGRE11,1EITU i-urr. sant to section 102(c) of the IImisinf; Act of J-90, as amended (112 U.S.C. 1452(c)), the United ;,antes hereby unconditiorr.111y agrees that on the AV.iturity 'Vnte of the within Pxe_@J �i.n,,:iry born it will pay or cause to be paid to the bearer thereof the principal of and interest thereon, upon the presentation and surrender of such Note to the Paying Agent designated. therein, and the full faith and credit of the United States is pledged to such payment. Under section 102 c of the Act, this Agreement shall be construed separate and apart from the loan contract referred to in the within Note and shall be incontestable in the hands of a bearer. IN WITNESS WHEREOF, this Agreement has been executed on behalf of the United States by the duty authorized facsimile signature of the Secretary of Housing and Urban Development, as of the Date of Issue of the within Note. UNITED STATES OF AMERICA A Secretary of Housing and Urban Development Instructions to the Printer: 1. NOTICE: If the printer has been furnished a signature card for such purpose,. the facsimile signature of the Secretary of Housing; and Urban Development should be printed in the space provided for such purpose in the signature format of the above Payment Agreement. In the absence of such a signature card, the printer \ should leave the space blank, making certain that the space in the signature format is not less than as shown by said form of Payment Agreement.• I2. The underscored words appearing in two places in the form of Payment Agreement appearing above should be printed in italics. 3• The proposed notes should be prepared on good but not necessarily the best paper of the type generally available from stock to printers and stationery houses who prepare or furnish forms for the preparation of certificates of stock, or bonds, notes, warrants, etc., and as specified by or upon behalf of the Local Public Agency. 1�. Only proposed notes should be prepared for execution, and they should be numbered consecutively from 1 upward. 5• The interest rate specified in the second paragraph of the text of the notes should be expressed in both words and figures; for example, One and Fifty -Two One -Hundredths Per Centum (1.52%). 6. The denomination of -the- respective notes should be expressed in figures in the heading and in words following the term "Principal Amount" in the second paragraph. J. 7• The denominations, names of the Paying Agent(s), and the interest rate(s) pertaining -- :I.,.the respective notes, all in relation.to the note numbers, are as follows n1mbers Inoluaive Dinominntions l2nte(s) j yinr Aeent(s). El 8. Rem.:irks r EXUBIT "B" NOTICE OF SALE HUD -3087 OF (12-65) $ PRELIMINARY LOAN NOTES OF 19 SEALED PROPOSALS will be received by the above -identified local public body corporate (hereinafter called the "Local Public Agency") at in the City of , until; and publicly opened at, one o'clock P.M., Eastern Time, on , 19 , for the purchase of $ of notes of the Local Public Agency to be known as "Preliminary Loan Notes Series )," being issued to aid in financing its Urban Renewal Project, designated Project No. The United States of America has agreed to make a loan under Title I of the Housing Act of 1949, as amended (42 U.S.C. 1450 et seq.), to the Local Public Agency to assist the latter in undertaking and carrying out such Project. By authority of said Act and with the agreement of the Local Public Agency, the said Notes are to be unconditionally secured as to the payment of both principal and interest by the United States of America. The full faith and credit of the United States will be pledged to such payment under an unqualified payment agreement endorsed on each of the Notes. Under said Act, such agreement is required to be construed by all officers of the United States separate and apart from said loan agreement and is incontestable in the hands of a bearer thereof. THE NOTES will be dated , 19 , will be payable to bearer on , 19 , will bear interest from their date to their maturity at the rate or rates per annum fixed in the proposal or proposals accepted for the purchase of such Notes, will be issued in such denominations, and both principal and interest thereof will be payable at such incorporated Bank having trust pourers or incorporated Trust Company, as the purchaser designates in the proposal. Such Bank or Trust Company must be a member of the Federal Reserve System, or of the Federal Deposit Insurance Corporation, and must have an unimpaired capital and surplus of not less than the aggregate principal amount of Notes designated in the proposal or proposals submitted by the purchaser; provided, however, that such unimpaired capital and surplus need not exceed One Million Dollars. The Notes will provide that they are not valid until after such Bank or Trust Company has signed the agreement, appearing on each Note, to act as paying agent. The Notes will be transmitted to such Bank or Trust Company for delivery to the purchaser upon receipt and disbursement by such Bank or Trust Company of the purchase price thereof in accordance with instructions from the Local Public Agency. After taking delivery of the Notes, the purchaser shall obtain the signature of such Bank or Trust Company upon the Notes as.aforesaid. All fees or charges, if any, of such Bank or Trust Company shall be paid by such purchaser. SAID NOTES will be special obligations of the Local Public Agency and will be secured by a requisition agreement between the Local Public Agency and the United States of America under the terms of which agreement the United States of America agrees to lend the Local Public Agency prior to the maturity of said Notes an amount sufficient to pay the principal and interest of all said Notes and agrees to cause so much of the proceeds of such loan as shall be sufficient to pay the principal of and interest upon any of said Notes to be deposited at the respective Bank or Trust Company at which said Notes are payable forthe benefit of the holder or holders thereof. Under the proceedings authorizing said Notes, the proceeds of such loan payment will be irrevocably pledged first to the payment, at maturity, of the principal of and interest on said Notes. - 1 - THE VALIDITY of the Notes and said requisition agreement shall be subject.to approval by attorneys designated by the purchaser in the Proposal. Complete certified transcripts of proceedings, including organization transcript as required, evidencing the validity of the Notes and of said requisition agreement will be furnished such attorneys at least 5 days prior to the date of the Notes. The fees or charges of the attorneys shall be paid by the purchaser. ALL PROPOSALS for the purchase of any of said Notes shall be submitted in a form approved by the Local Public Agency and shall be enclosed in a sealed envelope, addressed to the Local Public Agency, which should be marked on the outside "Proposal for Preliminary Loan Notes." Copies of such form of proposal may be obtained from the Local Public Agency at the address indicated above. Proposals may submitted subject to completion pursuant to telegraphic instructions or proposals may be submitted in their entirety by telegram. Telegraphic instructions or proposals must be received by the Local Public Agency at or before the time above specified for the opening of proposals. A telegraphic proposal should identify and be made pursuant to the Notice of Sale, identify the Notes, and specify the principal amount, interest rate, premium, denominations, name of said attorneys, and place of payment of the Notes covered by the proposal.. In view of certain statutory and policy limitations, no award of the Notes will be made at an interest rate per annum which is not less than per centum ( �6). PROPOSALS may be for all or any part of the Notes, and separate proposals will be required for each part of said Notes for which a separate interest rate is bid. The interest rate specified for each part of said Notes shall be a multiple of one-hundredth (1/100) of one percent (1%). Said Notes will be awarded at the lowest interest rate or rates offered in the proposals, without reference to premium; provided, however, that, as among proposals specifying the same lowest interest rate, award will be made on the basis of the highest premium per dollar principal amount of Notes specified in such proposals. No bid for less than $50,000 principal amount of said Notes or for less than parand accrued interest (which interest shall be computed on a 360 -day basis) will be entertained, and the Local Public Agency reserves the right to award to any bidder all or any part of the Notes which such bidder offers to purchase in his proposal, upon the basis of such proposal; provided, that if less than $50,000 principal amount of Notes is to be awarded to any bidder, such bidder will be relieved of the obligation to purchase such Notes upon written notice to the Local Public Agency within two days after notification of such proposed award. If only a part of the Notes bid for in a proposal are awarded by the Local.Public Agency, the premium, if any, offered in such proposal shall be prorated, and said Notes will be issued in denominations in the order of the lowest denominations specified in such proposal.; provided that one Note may be issued in a smaller denomination than is otherwise specified. The further right is reserved to reject any or all proposals. SECTION 102(8) of the Housing Act of 1949, as amended (42 U.S.C. 1452), provides as follows: "Obligations, including interest thereon, issued by local public agencies for projects assisted pursuant to this title;, and income derived by such agencies from such projects, shall be exempt from all taxation now or hereafter imposed by the United States." In the event that prior to the delivery of any of the Notes to the successful bidder therefor the income received by private holders from obligations of the same type and character shall be taxable by the terms of any Federal income tax law hereafter enacted, the successful bidder may, at his election, be relieved of his obligations under the contract to purchase said Notes. By - 2 - F'OIC1 OF F'ROM ML (Pre.1iin.innry Loan Notnn) Gentlement EXHIBIT ►►C►► 1tI�11•-l(?il�i 19- For your Preliminary Loan Notes ( Series ) in the principal amount of $ , and being �iall7 a part of the Notes of said series described in the Notice of Sale published in The Daily Bond Buyer on , 19 , which notice of Saie is- incorpo-rated herein by reference and is hereby made a part of this proposal, we will pay you par and accrued interest to date of delivery plus a premiums of $ Said Notes shad beer interest at the rate of per centum per annum payable at the maturity thereof and both the principal of and interest thereon shall be payable at herein called the Bank in the City of and State of ____, and the same shall be issued in denominations as follows: It is understood and agreed by the undersigned that you may award e -U or any part of the Notes bid for in this proposal upon the basis of the above bid, and if only part of the Notes bid for in thi's proposal are awarded by you the premiums specified above shall be prorated and the Notes so awarded shall be issued in denominations in the order of the lowest denominations specified above, except that one of such Notes may be issued in a smaller denomination then otherwise specified. The undersigned hereby agrees to accept delivery of and make payment for said Notes at the Bank on the date thereof or as soon thereafter as the same may be prepared and ready for delivery by .you. This proposal is subject to our being furnished, at our own expense, with an opinion of approving the vnlid_1.ty of nald Nates and the valUd.i.ty of the requisition agreement described. in the aforesrOd Notice of Sale. By Page 1 of 8 HUD -3079a (6-67) REQUISITION AGREEMENT NO. (herein called "Requisition Agreement") relating to the time of a certain Project Temporary Loan payment to be made by the United States of America to which payment will be evidenced by Project Temporary Loan Note(s) No. WHEREAS (herein sometimes called the Local Public Agency"), a public body corporate and politic duly organized and existing under the laws of entered into a contract dated as of the day of , 19 , and numbered Contract No. which, together with any supplements thereto or amendments, modifications., or waivers of any provisions thereof, is herein called the "Loan Contract") with the United States of America (herein called the "Government") acting by and through the Secretary of Housing and Urban Development, providing for a Project Temporary Loan by the Government to the Local Public Agency, under Title I of the Housing Act of 1949, as amended,, in an amount outstanding at any one time not to exceed $ , to aid the Local Public Agency in its undertaking and carrying out of a certain urban renewal project (herein called the "Project") designated Project No.. ; and WHEREAS, in accordance with the Loan Contract, the Local Public Agency has filed with the Government and the Government has approved a requisition (herein called the "Requisition") together with necessary supporting documents for a Project Temporary Loan payment thereunder in the amount of $ (said payment in said amount being hereinafter called the "Requisitioned Payment"), and the Government is obligated to make the Requisitioned Payment as hereinafter provided; and WHEREAS the Local Public Agency is able to obtain a short-term loan from sources other than the Government in the amount of $ at an interest cost less than the interest required to be paid under the Loan Contract on Project Temporary Loan funds which are made available by the Government, and thereby reduce carrying charges and other Project costs, and the Local Public Agency has determined to obtain such short-term loan from sources other than the Government (1) in order to refund or retire the Project Temporary Loan Note or Notes of the Local Public Agency, if any, held by the Government for its own use and benefit on the date of the:New Preliminary Loan Notes hereinafter described (which Project Temporary Loan.Note or Notes so held are herein called "Old Project Temporary Loan Notes"); and (2) in anticipation of the Requisitioned Payment which the Government has become obligated to make by reason of the approval of the Requisition; and Page 2 of 8. WHEREAS the Local Public Agency on the' day of. duly adopted a Resolution authorizing the issuance,, sale, and delivery from time to time of Preliminary Loan.Notes, the execution of 'Requisition Agreements, and the execution of Project Temporary Loan Notes for delivery pursuant to Requisition Agreements, in connection with the Project, an issue of which Preliminary Loan Notes (herein called the "New Preliminary Loan Notes") is described in Paragraph 2 below; and WHEREAS the Government desires to cooperate with the Local Public Agency in its efforts to reduce the aforementioned costs, and desires to encourage participa- tion of private capital in the financing of the Project; and WHEREAS the Local Public Agency has authorized and deposited with the Government its Project Temporary Loan Note(s) No. (herein called the "Escrow Project Temporary Loan Note").payable to the United States of America or order in the principal amount of the Requisitioned_ Payment, together with.all necessary collateral documents,. with directions to take delivery thereof upon compliance by the Government with the provisions of Paragraph 2 hereof; and the Government has approved the form and execution of the Escrow Project Temporary Loan Note and collateral documents, and has approved all of the proceedings authorizing the issuance of said Escrow Project Temporary Loan Note and the legality thereof when paid for'in:accordance with -the terms of this Agreement, and has accepted deposit of said Escrow Project Temporary Loan Note pending its payment therefor as aforesaidf NOW, THEREFORE, THIS AGREEMENT WITNESSETH; That, in consideration of the termsand.covenants-herein contained, the parties hereto agree as follows 1. The Local Public Agency agrees that simultaneousLy with the payment for said New Preliminary Loan Notes by the purchaser or purchasers thereof (and using the proceeds of said New Preliminary Loan.Notes, and other appropriate funds of the Local Public Agency to the extent necessary therefor) it will pay or cause to be paid to the Government an amount equal to the aggregate principal amount of the Old Project Temporary Loan Notes, if any, of the Local Public Agency held by the Government -for its own use and benefit on the date of the New Preliminary Loan Notes, plus accrued interest thereon to the date of payment; and the Government agrees that simultaneously with said payment to the Government it will cause the Old Project Temporary Loan Notes, if any, held by the Government for its own use. and benefit on the date of the New.Preliminary Loan Notes, to be canceled and returned to the Local Public Agency. 2. The Local Public Agency hereby directs, and the Government agrees that without any further showing by the Local Public Agency of the.necessity therefor, and irrespective of compliance by the Local Public Agency with the conditions of Paragraph 1 above, the Government will make payment of the Requisitioned Payment HUD -3079a (6-67) page 3 of 8 as follows, and in no other manner: Said Requisitioned Payment will be made on the day of , 19 (or, if the Government desires and the Local Public Agency consents thereto, at any time prior to said date), in the amounts set forth below, to the paying agents named in the New Preliminary Loan Notes for the account of the Local Public Agency, to be used to the extent necessary for the payment of the principal of and interest to maturity on said New Preliminary Loan Notes: To Paying Agent for Preliminary Loan Notes Nos. Series , said Paying Agent being at Provided, That the Government, at its option, may make the Requisitioned Payment in an amount equal to the difference between the aggregate,of the principal of the New Preliminary Loan Notes and the interest thereon to maturity and funds deposited by or on behalf of the Local Public Agency with the Paying Agent for the purposes of paying principal of or interest on the New Preliminary Loan Notes. In.the event of the exercise of such option by the Government, the principal amount of the Escrow Project Temporary Loan Note shall by operation of law and this Requisition Agreement automatically be reduced to the amount of the part payment made by the Government of the Requisitioned Payment, and a legend informative of the fact of such part payment and of the reduction of the principal amount of the Escrow Project Temporary Loan Note to an amount equal to the part payment shall be endorsed by the Government on the Escrow Project Temporary Loan Note. Any balance of said funds not needed to pay the principal of and interest to maturity on the New Preliminary Loan Notes shall be paid to the Local Public Agency and by it deposited in the appropriate fund or account described in the Loan Contract, to be used in accordance with the provisions of the Loan Contract. Page 4 of 3• The.Local Public Agency agrees that, so long as any of the New Preliminary Loan Notes are outstanding and unpai:d., it will not repeal; amend, or modify the proceedings authorizing the execution and delivery of the Escrow Project Temporary Loan Note in such manner, or take any other action, as might affect or impair the validity of said Escrow Project Temporary Loan Note and that it will, not revoke its instructions authorizing the Government to make payment therefor in accordance with Paragraph 2 hereof or its consent to the provisions,of Paragraph 7 hereof. 4. The Government agrees that until such time as it shall have made payment for the Escrow -Project Temporary Loan Note as, set forth in Paragraph 2` hereof, it will hold said Escrow ,Project Temporary Loan Note and collateral documents for the 'account of the Local Public Agency. When the Government shall. have made payment of the Requisitioned Payment in.the manner above set forth, the Government shall hold said Escrow Project Temporary loan Note for its own use and benefit as its own property. When and if the Local Public Agency shall deposit with each paying agent mentioned in Paragraph 2 hereof, out of moneys obtained by the local Public Agency from sources other than the aforesaid Project Temporary.Loan, a sum sufficient to pay the principal of and the interest to maturity on the New Preliminary Loan Notes for which such agent is the paying agent, the Government will cancel and surrender to the Local Public Agency said Escrow Project Temporary Loan Note(s), and the obligation of the Government to make payment of the Requisitioned Payment shall be discharged. 5• The Government agrees that this Requisition.Agreement is made.with and for the benefit of, and may be assigned by the Local Public Agency to and for the benefit of, the holder or holders from time to time of the New Preliminary toan Notes and of interest claims appertaining thereto. The Government further agrees with such holder or holders that it will perform and observe the ,provisions on its part.set forth in this Requisition Agreement. 6.. The Local Public Agency certifies that.,'as of'the date hereof., the following described Project Temporary Loan Note or Notes of the Local, Public Agency, payable, on demand,tb the United States of America or order, have been issued by it in connection with the Project and are .now outstanding: Designation and Note Numbers Project Temporary Loan Note No. Principal Amount, Dated Designation and Note Numbers HUD -3079a .(6-67) Principal Amount Dated Page 5 of 8 and the following described Project Temporary Loan Note of the Local Public Agency, payable, on demand, to the United States of America or order, has heretofore been authorized to be issued in connection with the Project and is on deposit for delivery to the United States of America upon the l:a:tter's payment therefor; Designation and Note Number Project Temporary Loan Note No. (the Escrow Project Temporary Loan Note) Date for Delivery Principal Amount Dated and Payment Page 6 of 8, The Local .Public Agency further certifies that the obligations hereinbefore listed in this Paragraph 6 will be the only Project Temporary Loan Notes or Preliminary Loan Notes of the Local Publ o Agency which have been issued or 'heretofore been authorized to be issued in connection with the Project, exclusive of the New Preliminary Loan Notes and -.the Escrow'Proj'ect Temporary Loan Note, which are or will be outstanding or on deposit for delivery upon payment therefor on the date of such New :Preliminary Loan Notes. The Local Public Agency further certifies that the only Project Definitive 'Loan Obligations or Project Loan Payment Obligations,, as those terms are defined in the Loan Contract, which have been issued and which are outstanding or will be outstanding on.the date of. the New Preliminary Loan Notes are described as follows 7. With the consent of the Local Public Agency, which is hereby granted, and notwithstanding the conditions of payment which exist as a matter of contract between the Local Public Agency and the Government, the Government hereby agrees as follows; a. To pay or cause tote paid when due the principal of and interest on each .of the New Preliminary Loan Notes, and, pursuant to section 102(c) of the Housing Act of 1949,; as amended (42, U.S.C. 1452(c)), the full faith and credit of the United States is pledged'to such payment; b. That the Payment Agreement described below shall be construed separate and apart from the loan payment contract evidenced by this Requisition Agreement and the Loan Contract referred to above and in each of the New Preliminary Loan' Notes, and shall be incontestable in the hands of a bearer, as provided by said Act; and C. That it will evidence its said promise to pay or cause to be paid the principal of and interest on each of the New Preliminary Loan Notes by a Payment- Agreement aymentAgreement endorsed on each of the New Preliminary Loan Notes and executed on behalf of the United States by the facsimile signature of the Secretary of Housing and Urban Development holding office on the date of sale of the New Preliminary Loan Notes by the Local Public Agency, which Payment Agreement shall be in substantially thefollowing form; HUD -3079a (6-67) Page 7 of 8 PAYMENT AGREEMENT Pursuant to section 102(c) of the Housing Act of 1949, as amended (42 U.S,.C. 1452(c)), the United States hereby unconditionally agrees that on the Maturity Date of the within Preliminary Loan Note it will pay or cause to be paid to the bearer thereof the principal of and interest thereon, upon the presentation and surrender of such Note to the Paying Agent designated therein, and the full faith and credit of the United States is pledged to such payment. Under section 102(c) of the Act, this Agreement shall be construed separate and apart from the loan contract referred to in the within Note and shall be incontestable in the hands of a bearer. In witness whereof, this Agreement has been executed on behalf of the United States by the duly authorized facsimile signature of the Secretary of Housing and Urban Development, as of the Date of Issue of the within Note. UNITED STATES OF AMERICA By (Facsimile signature) Secretary of Housing and Urban Development 8. It is hereby certified, recited, and declared on behalf of the Local Public Agency and the Government, respectively, that all conditions, acts, and things required to exist, happen., and be performed precedent to and in the execution and delivery of this Requisition Agreement do exist, have happened, and have been performed in due time, form, and manner as required by law. Without limiting the generality of the foregoing, it is hereby certified on behalf of the Government that (a) the Loan Contract has been obligated by an amount equal to the Requisitioned Payment for the specific purposes of assuring the availability of funds under the Loan Contract sufficient to pay the principal of and interest to maturity on the New Preliminary Loan Notes; and (b) the rate or rates of interest specified in the Loan Contract as the rate of interest to be borne by the Project Temporary Loan Obligations referred to therein, and the rate or rates of interest borne by the Escrow Project Temporary Loan Note, was and is not less than the applicable "going Federal rate" determined in compliance with section 110(g) of Title I of the Housing Act of 1949, as amended. Page 8 of 8 IN WITNESS WHEREOF, the Local Public Agency has caused this Requisition Agreement to be duly executed and its seal to be hereunto affixed and attested and the Government has caused the same to be duly executed,, all -as of this day of , 19, ATTEST: Title By UNITED 'STATES OF AMERICA Secretary of Housing and Urban Development Title of officer authorized to execute This Instrument is hereby certified as constituting a true copy of Dorm HUD -9079a,. Requisition Agreement, including filing and Identifying certificate endorsed thereon. This day of 19�. fty Cie' City of Pesao. Flied and certaiea as copy of form of Requeatian Agr®emaett FormDM90799, approved under Resolution adopted City Clark, City of Pasco 2'191'73-P HUD -Wash., 'D.. C. Page 1 -of 8 HUD -3079b (6-67) REQUISITION AGREEMENT NO. (herein called "Requisition Agreement") relating to the time of a certain Project Temporary Loan payment to be made by the United States of America to which payment will be evidenced by Project Temporary .Loan Note(s) No. 'WHEREAS (herein sometimes called the Local Public Agency"), a public body corporate and politic duly organized and existing under the laws of , entered into a contract- dated as of the day of , 19_, and numbered Contract No. which, together with any supplements thereto or amendments, modifications, or waivers of any provisions thereof, is herein called the "Loan Contract") with the United States of America (herein called the "Government") acting by and through the Secretary of Housing and Urban Development, providing for a Project Temporary Loan by the Government to the Local Public Agency, under Title I of the Housing Act of 1949, as amended, in an amount outstanding at arty one time not to exceed $ , to aid the Local Public Agency in its undertaking and carrying out of a certain urban renewal project (herein called the "Project") designated Project No. ; and WHEREAS, in accordance with the Loan Contract, the Government has agreed, pursuant to an outstanding requisition agreement (herein called the "Outstanding Requisition Agreement") with the'Local Public Agency, to make, on the day of , 19 , a payment on account of said Project Temporary Loan to be evidenced by Project Temporary Loan Notes) No(s). , of the Local Public Agency,'herein sometimes called "Old Escrow Project Temporary Loan Note") which has been pledged for the payment of the principal of and interest on the Preliminary Loan Notes ( Series ) of the Local Public Agency (herein called the "Outstanding Preliminary Loan Notes"); and WHEREAS, in accordance with the Loan Contract, the Local Public Agency has filed with the Government and the Government has approved a requisition (herein called the "Requisition") together with necessary supporting,documents for a new Project Temporary Loan payment thereunder in the amount of $ (said new payment .in said amount being hereinafter called the Requisitioned Payment"), and the Government is obligated to make the Requisitioned Payment as hereinafter provided; and WHEREAS the Local Public Agency is able to obtain a short-term loan from sources other than the Government in the amount of $ at an interest cost less than the interest required to be paid under the Loan Contract on Project Temporary Loan funds which are made 'available by the Government, and thereby reduce carrying charges and other Project costs, and the Local Public Agency has determined to obtain such short-term loan from sources other than the Page 2 of 8 Government (1) in order to refund or retire the Project Temporary Loan Notes of the Local Public Agency, if any, held by the Government for its own use and benefit on the date of the New Preliminary Loan Notes, (2) in substitution for the Project Temporary Loan payment which the Government has agreed to make pursuant to the Outstanding Requisition Agreement; and (3) in anticipation of. the Requisitioned Payment which the Government has become obligated to make by reason of the approval of the Requisition; and WfR ftFd1S the Local Public. Agency on the day of , *--V duly adopted a Resolution authorizing the issuance, sale, and delivery from time to time of Preliminary Loan Notes, the execution.of Requisition Agreements., and the execution of Project Temporary Loan Notes for delivery pursuant to Requisition Agreements, in connection with the Project, an issue of which Preliminary Loan Notes (herein called the "New Preliminary Loan Notes") is described in Paragraph 2 below; and WHEREAS the Government desires to cooperate with the Local Public Agency in its efforts to reduce the aforementioned costs, and desires to encourage participation of private capital in the financing of the Project; and WHEREAS the Local Public Agency has authorized and deposited with the Government its Project Temporary Loan Note(s) No(s). (herein called the "New Escrow Project,Temporary Loan Note'") payable to the United States of America or order in the principal amount of the Requisitioned,Payment, together with all necessary collateral documents, with directions to take delivery thereof upon compliance by the Government with the provisions of Paragraph 2 hereof; and the Government has approved the form and execution of the New Escrow Project Temporary Loan Note and collateral documents, and has approved all of the proceedings authorizing the issuance of said New Escrow Project Temporary Loan Note and the legality thereof when paid for in accordance with the terms of this Requisition Agreement, and has accepted deposit of said New Escrow Project Temporary Loan Note pending its payment therefor as aforesaid.- NOW,, foresaid: NOW, THEREFORE, THIS AGREEMENT WITNESSETH.: That, in consideration of the terms and covenants herein contained, the parties hereto agree as follows: 1. The Local Public Agency agrees that simultaneously'with the payment for said New Preliminary Loan Notes by the purchaser or purchasers thereof (and using the proceeds of said New Preliminary Loan Notes, and other appropriate funds of the Local Public Agency to the extent necessary therefor) it will pay or cause to be paid (a) to the Government an amount equal to the aggregate principal amount of the Project Temporary Loan Notes, if any, of the Local Public Agency held by the Government for its own use and benefit on the date of the New Preliminary Loan Notes, plus accrued interest thereon to the date of payment; and (b) to the paying agent or agents for the Outstanding Preliminary Loan Notes the amount of for the sole and only purpose of.paying the principal on said HM . -3079b (6-67) Page 3 of 8 Outstanding Preliminary Loan Notes to their maturity; and the Government agrees that simultaneously with said payments it will cause the Old Escrow Project Temporary Loan Note, and the Project Temporary Loan Notes, if any, held by the Government for its own use and benefit on the date of the New Preliminary Loan Notes, to be canceled and returned to the Local Public Agency. 2. The Local Public Agency hereby directs., and the,Government agrees, that without any further showing by the Local Public Agency of the necessity therefor, and irrespective of compliance by the Local Public Agency with the conditions of Paragraph 1 above, the Government will make payment of the Requisitioned Payment as follows, and in no other manner: Said Requisitioned Payment will be made on the day of , 19_ (or if the Government desires and the Local Public Agency consents thereto, at any time prior to said date) in the amounts set forth below, to the paying agents named in the New Preliminary Loan Notes for the account of the Local Public Agency, to be used to the extent necessary for the payment of the principal of and interest to maturity on said New Preliminary Loan Notes: To Paying Agent for Preliminary Loan Notes Nos. Series said Paying Agent being at Provided, That the Government, at its option, may make the Requisitioned Payment in an amount equal to the difference between the aggregate of the principal of the New Preliminary Loan Notes and the interest thereon to maturity and + nids deposited by or on behalf of the Local Public Agency with the Paying Agent for the purposes of paying principal of or interest on the New Preliminary Loan Notes. In the event of the exercise of such option by the Government, the principal amount of the Escrow Project Temporary Loan Note shall by operation of law and Page 4 of 8 .this Requisition Agreement automatically be reduced to the.amount of the part payment made by the Government of the Requisitioned Payment, and,a legend informative of the fact of such part payment and of the reduction of the principal amount of the Escrow Project Temporary Loan Note to an amount equal to the part payment shall be endorsed by the Government on the Escrow Project Temporary Loan Note. Any balance of said funds not needed,to pay the principal of and .interest to maturity on the New Preliminary Loan Notes shall be paid to the Local Public Agency and by it deposited in the appropriate fund or account; described in the. Loan Contract, to be used in accordance With the provisions of the Loan Contract. 3. The Local Public Agency agrees that, so long as'any of the New Preliminary Loan. Notes areoutstanding and unpaid, it will not repeal, amend, or modify the proceedings authorizing the execution and delivery of the New Escrow Project'Temporary Loan Note in such manner, or take any other action, as might affect or impair the validity of said New Escrow Project Temporary Loan Note and that it will not revoke its instructions authorizing the Government to make payment therefor in accordance with Paragraph 2 hereof or Its consent' to the provisions of Paragraph 7 hereof. 4. The Government agrees that until such time. as it shall have made payment for the New Escrow Project Temporary Loan Note as set forth in Paragraph 2 hereof, it will hold said New Escrow Project Temporary Loan Note and collatoral documents for the account of the Local:Public Agency. When the Government shall have made payment of the Requisitioned Payment in the manner above set forth, the Government shall. hold said New Escrow Project Temporary .Loan Note for its own use and benefit as its own property. When and if the Local Public. Agency shall deposit with each paying agent mentioned in Paragraph 2 hereof, out of moneys obtained by the Local Public Agency from sources other than the aforesaid Project Temporary Loan, a sum sufficient to pay the principal of and the interest to maturity on the New Preliminary Loan Notes for which such agent is the paying agent, the Government will cancel and surrender to the Local Public Agency'said New Escrow Project Temporary Loan Note., and the obligation of the Government to make payment of the Requisitioned Payment shall be discharged. 5. The Government agrees that thisRequisition Agreement is made. with and for the benefit of, and may be assigned by the Local Public Agency to and for the benefit of, the holder or holders from time to time of the New Preliminary Loan Notes and of interest claims appertaining thereto. The Government further agrees with such.holder or.holders'that it. will perform and observe the: provisions on its part set forth in this Requisition Agreement. 6. The Local Public Agency certifies that, as of the date hereof, (a) the following described Project Temporary Loan Notes of the Local Public Agency, payable, on demand, to the United States of America or order, and (b) the following described Preliminary Loan Notes of the Local. Public Agency, payable to bearer, have been issued by it in connection with the Project and are now outstanding: Designation and Note Numbers (a) Project Temporary Loan Note No.. (b) Preliminary `Loan Notes $ Series , Nos. to , inclusive, HUD -3079b (6-67) Principal Amount Dated Page 5 of 8 Maturing On Demand and (c) the following Project Temporary Loan Rotes of the Local Public Agency, payable, on demand, to the United States of America or order, have heretofore been authorized to be issued in connection with the Project and are on deposit for delivery to the United States of America upon the latter''s payment therefor: Date for Designation and Delivery Note Numbers Principal Amount Dated and Payment (a) Project Temporary $ Loan Note No. (the Old Escrow Project Temporary Loan Note) (b) Project Temporary $ Loan Note No. ( the New Escrow Project Temporary.Loan Note) Page b of 8 The Local Public Agency further certifies that the obligations hereinbefore listed in this Paragraph 6 will be the only Project Temporary Loan Notes or Preliminary Loan Notes of the Local Public Agency which have been issued or heretofore been authorized to be issued in connection with the Project, exclusive of the New Preliminary.Loan Notes and the New.Escrow Project Temporary Loan Note,, which are or will be outstanding or on deposit for delivery upon payment therefor on the date of the New Preliminary Loan Notes.. The Local,Public Agency further certifies that the only Project Definitive Loan Obligations or Project,Loan Payment Obligations, as those terms are defined in the Loan Contract, which have been issued and which are outstandingor will be outstanding on the date of the New Preliminary Loan Notes are,described as follows: 7. With the consent of the Local Public Agency, which is hereby granted, and notwithstanding the conditions of payment Which exist as a matter of contract between the Local Public Agency and the Government, the Government hereby agrees as follows a. To pay or cause to be paid when due the principal of and interest on each of the New Preliminary Loan Notes, and, pursuant to section 102(c) of the Housing Act of 1949, as amended (42 U.S.0 1452(c)), the full faith and credit of the United States is pledged to such payment; b. That the Payment Agreement described below shall be construed separate and apart from the loan payment contract evidenced by this Requisition Agreement and the Loan Contract referred to above and in each of the New Preliminary Loan Notes., and shall be incontestable in the hands of a bearer, as provided by said Act; and c. That it will evidence its said promise to pay or cause to be paid the principal of and =interest on each of the New Preliminary Loan Notes by a Payment Agreement endorsed on each of the New Preliminary Loan Notes and executed on behalf of the United States by the facsimile signature of the Secretary of Housing and Urban Development holding office on the date of sale of the New Preliminary Loan,Notes by the Local Public Agency; which Payment, Agreement shall be in substantially the following.form: HUD -3079b (6-67) Page 7 of 8 PAYMENT AGREEMENT Pursuant to section 102(c) of the Housing Act of 1949, as amended (42 U.S.C. 1452(c)), the United States hereby unconditionally agrees that on the Maturity Date of the within Preliminary Loan Note it will pay or cause to be paid to the t bearer thereof the principal of and interest thereon, upon the presentation and surrender of such Note to the Paying Agent designated therein, and the full faith and credit of the United States is pledged to such payment. Under section 102(c) of the Act, this Agreement shall be construed separate and apart from the loan contract referred to in the within Note and shall be incontestable in the hands of a bearer. In witness whereof, this Agreement has been executed on behalf of the United States by the duly authorized facsimile signature of the Secretary of Housing and Urban Development, as of the Date of Issue of the within Note. UNITED STATES OF AMERICA By (Facsimile signature) Secretary of Housing and Urban Development 8. It is hereby certified, recited, and declared on behalf of the Local Public Agency and the Government, respectively, that all conditions, acts, and things required to exist, happen, and be performed precedent to and in the execution and delivery of this Requisition Agreement do exist, have happened, and have been performed in due time, form, and manner as required by law. Without limiting the generality of the foregoing, it is hereby certified on behalf of the Government that (a) the Loan Contract has been obligated by an amount equal to the Requisitioned Payment for the specific purposes of assuring the availability of funds under the Loan Contract sufficient to pay the principal of and interest to maturity on the New Preliminary Loan Notes; and (b) the rate or rates of interest specified in the Loan Contract as the rate of interest to be borne by the Project Temporary Loan Obligations referred to therein, and the rate or rates of interest borne by the Escrow Project Temporary Loan Note, was and is not less than the applicable "going Federal rate" determined in compliance with section 110(8) of Title I of the Housing Act of 1949, as amended. Page of IN WITNESS WHEREOF, the Local Public Agency has caused this Requisition Agreement to be duly executed and its seal to be hereunto affixed and attested and the Government has caused the same to be duly executed, all as of this day of 19_. [SEAL] ATTEST; (.Title) 1 Title By UNITED STATES OF AMERICA Secretary'of' Housing and Urban Development [Title of officer authorized to execute] CERTiFaCATE This instrument Is hexaby cartified'a.s.'eoaetituting a true copy of Form HUD4039b, Requisition Agreement, including filing and Identifying Certificate end4Ystid thereon. This:_ day of 19 City Cleric, City of Pasco Filed and t4;f find as copy of Form of Requisition Agreement Potm Hub -9079b, eppkoved under Resol, on adopted � .....:. 2'9 . ,.. City cl;rk, . City .of Faeces 2191.72-P HUD -Wash., D. C. HUD -3084 (3-66) .LETTER OF INSTRUCTIONS (Ueban Renewal Program) 19 t Gentlemen: 1. The (herein called the "Local Public Agency") has sold an aggregate principal amount of $ , of its Preliminary Loan Notes, Series Nos. , inclusive (herein called the "New Notes"), in connection with its urban renewal project designated Project No. (being of its said_ Series, aggregating $ ), dated , 19. ,maturing , 19 , to the,purchaser and for,the price, in- cluding premium; plus accrued, interest from the date thereof to the date of delivery and payment,at the rate per day, as follows: , Note Numbers Price Including Purchaser (Inclusive) Premium Interest Per Day CERTIFICATE This instrument is hereby certified as constituting; a true copy of Form HUD -3084, Letter of Instructions, including filing and identifying certificate endorsed thereon. This day of , 19_. i City.Clerk, City of Pasco Piled and certified as a copy of form of Letter of Instructions, Form HUD -3084, approved under'Resolution adopted i9 City Clerk, City of Pasco 2. You are named as Paying Agent •for.the New Notes listed above and each purchaser has agreed. to bear. all, costs, if any; in connection with•your functions as such Paying Agent. 3. The.New Notes; together with an, executed counterpart of a "Signature Certificate and Receipt" marked Exhibit "A", for each purchaser, are transmitted, herewith. The New Notes shall be - 1- held by you in trust for the sole use and benefit of the Local Public Agency until such time as said New Notes shall have been paid for and thereupon you are to disburse the proceeds of said, New Notes by paying the following amount to each payee named below, for the sole and only purpose of paying the principal of and interest on the following designated Project Temporary Loan Notes of the Local Public Agency and the principal of and interest to maturity on the following designated Series of Preliminary Loan Notes of the Local Public Agency: Payee (a) Department of Housing and Urban Development, Office of the Secretary (see Paragraph 5). (b) Designation of Amount Outstanding Notes $ Project Temporary Loan Note(s) No(s). Preliminary Loan Notes Series 4. The difference, if any, between the purchase price of said New Notes and the amount so disbursed by you in payment of such outstanding Project Temporary Loan Notes and such Series of outstanding Preliminary Loan Notes, designated above, shall be paid to the Local Public Agency. 5. Disbursement of the proceeds of the .New Notes shall be made to the respective payees (other than the Department of Housing and Urban Development, Office of the Secretary) in funds im- mediately available to such payee on the day not later than the day following payment for the New Notes, -except that disbursements of an amount less than $25,000 to the undersigned may be made by depositing a treasurer's, cashier's, or certified check for such amount in the United States mails. Disbursement to the undersigned in an amount equal to or in excess of $25,000 shall be made -in the. following manner: - If your principal place of business is located in the City of New York, N. Y., any disbursement made to the Department of Housing and Urban Development, Office of the Secretary, shall be made by de- livery of a treasurer's, cashier's, or certified check to an authorized representative of the Regional Administrator, Region I, Department of Housing and Urban Development. Otherwise, a treasurer's, cashier's, or certified check covering disbursement to the Department of Housing and Urban Devel- opment, Office of the Secretary, shall be mailed to the Regional Administrator, Department of Housing and Urban Development, identified in Paragraph 8 below, at the address shown in said paragraph, unless he shall have elected to have it delivered to his authorized representative and you shall have received notice of such election prior to mailing such check. For the purpose of delivery of the New Notes to the purchaser thereof, prior confirmation of the receipt of the respec- tive amounts to be disbursed to the designated payees will not be required. However, your obli- gations with respect to disbursement of such funds will not be satisfied until the respective pay- ees have received such funds.. - 2- 6. When.payment for the New Notes has been made and the proceeds disbursed by you in the above manner, you are authorized and directed to: (1) complete Paragraph 5 of said ,Exhibit "A" by inserting the amounts of "Accrued Interest" and "Total Purchase Price" of said New Notes; (2) sign said .Exhibit "A", in the space provided, to evidence delivery and payment of the New Notes; (3) date said ,Exhibit "A", in the witnessing clause below Paragraph 6 thereof, as of the date of such delivery and payment; (4) upon instructions from the purchaser thereof, sign the agreement to act as Paying Agent appearing upon each of the New Notes; and (5) deliver the New Notes to the purchaser thereof together with one fully executed counterpart of said .Exhibit "A". The New Notes shall thereupon be and become the property of said purchaser. 7. Not later than the stated date of maturity of -the New Notes, funds will be made available to you as Paying Agent for the purpose of paying the, principal of and interest upon said New Notes to their maturity. In the event that, as Paying Agent, .you receive funds, ;prior to the stated maturity date of the New Notes, for the purpose of paying such principal and intere's't, you may, at any time after you receive such funds, use such funds, to the extent necessary, to pay the principal of and interest to maturity upon any of said New Notes thereafter presented for payment, and such payment may be made before maturity of said New Notes. Any funds received by you as Paying Agent and not needed for the payment of the principal of and interest to maturity on the New Notes shall be transmitted to the Local Public Agency. 8. Immediately upon receipt by you of funds for'the payment -of the New Notes, you will tele- graph to the Regional Administrator, Region , Department of Housing and Urban Development, day letter, collect, as follows: "We have received, funds sufficient to pay the principal of and interest to maturity on Preliminary Loan Notes Nos. (-Series-), Project No. in the principal amount of $ issued by Paying Agent" 9. The New Notes, when paid, shall be marked "Paid and Canceled" and returned to the Local Public Agency. A copy of your letter of transmittal shall be promptly mailed to the Regional Ad- ministrator, Department of Housing and Urban Development, at the address shown in Paragraph 8 above. 10. signed copies of this letter are enclosed. if this letter sets forth your under- standing of your functions and duties as Paying Agent, please indicate your acceptance on all copies in the place provided therefor, retain one copy for your files, return one copy to the Local Public Agency, and mail or deliver a copy to each firm of attorneys listed below, which attorneys have been retained by the purchaser or purchasers hereinbefore designated to render an approving opinion on the New Notes. - 3 - 11. For your convenience in returning an accepted copy of this letter to the Local Public Agency, there is enclosed a stamped, addressed envelope. Your prompt attention to this matter is requested. ACCEPTED Address:. CERTIFICATE I HEREBY CERTIFY that, under the administrative direction of the Regional Administrator, identified under Paragraph 8 of the foregoing Letter of Instructions, and .in compliance with the Requisition Agreement referred to in the New Notes described in such Letter of Instructions, I caused the Payment Agreement endorsed on each of said New Notes to be executed on behalf of the United States of America by the facsimile signature of'the Secretary of Housing. and Urban Development holding office on the date of the sale of said New Notes. Regional Counsel,, Region Department of Housing and Urban Development 4- 220288-P HT?D-3047 (9-66) . EXTRACTS FROM THE MINUTES OF A ' Regular MEETING OF THE CITY COUNCIL CF THE CITY OF PASCO HELD ON THE 3r_ d DAY OF December , 1968 The City Council of the City of Pasco met in. ReaUlar meeting at in the City of Leasco , m Waahington e, at moi' oss o #clock _.L_M., on the .3rd day of _ December the place, hour, and date duly established for the holding of'such meeting. The Mayor called the meeting to order and on roll call -the following answered presents G. E. Carter Arthur Fletcher 9 Donald Cooper f Hilda Campbell .9 Robert L Greenlee George P. Stork P and the following were absents Ed Hendler The Mayor declared a quorum present. - 1 - A Resolution entitled:. RESOLUTION AUTHORIZING THE ISSUANCE, SALE, AM ABLIl1LRY FROM TUX TO TIW OF PRELZHINAitY LOAN NOTESs AND THE EUCUT1014 CW INQUISITION AWE— LENTS t AM THE MMCUTION OF PROJECT TE DVORARY L N NOTES FOR DELIWRY PURSUANT TO REQUISITION AGR NT'S„ IN COM=Tr0N WITH URBAN RENEWAL PROJECT NO WASH: R -IH was introduced by Mr. Eastman Said Resolution was then read in full and discussed and considered. Mr. Cooper then moved the adoption of the Resolution as introduced and read. Mrs.. Campbell seconded the motion, and, on roll call, the following voted "Aye": G. E. Carter, Donald Cooper, Robert Greenlee, George P. Stork, Arthur Fletcher, and Mrs. Hilda Campbell and the following voted "Nay": ---none--- The Mayor _thereupon declared the motion carried and the Resolution adopted as introduced and read. There beingno further business to come before the meeting,, upon motion duly made and seconded, the meeting was adjourned. -2- 221578-P HUD -Wash., D. C. HUD -30476 (2-66) HUD -3o48 (7-66) CERTIFICATE OF RECORDING OFFICER The undersigned HEREBY CERTIFIES that: 1. He is the duly appointed. qualified, and acting City Clerk of the Oity of Fseco therein called the !'Local Public Agency"), and keeper of the records thereof, including the minutes of its proceedings; 2. The annexed copy of extracts from the minutes of the meeting of the Local Public Agency, held on the -day of , 19 , is a true, correct, and compared copy of the whole of the original minutes of said meeting on file and of record insofar as the same relate to the resolution referred to in said extracts and to the other matters referred to therein; 3. Said meeting was duly convened in conformity with all applicable requirements; a proper quorum was present throughout said meeting and the resolu- tion hereinafter mentioned was duly proposed, considered, and adopted in conformity with applicable requirements; and all other requirements and proceedings incident to the proper adoption of said resolution have been duly fulfilled, carried out, and otherwise observed; 4. He is duly authorized to execute this Certificate; and 5. The copy of the resolution annexed hereto entitled: RESOLUTION AUTHORIZING TRU; ISSUANCE. SALE, AND DELIVERY FIRM'! TIME TO TIME OF PRELIiIMRY LOAN NOTES, THE EXECUTION OF REQUISITION AGREEMENTS, AND THE MM TFION OF PROJECT TEMPORARY LOAD LMW FOR DELIVERY PURSUANT TO REQUISITION AGREEMENTS, IN CONNECTION WITH URBAN RENEWAL PROJECT NO, WASH. R-16 I is a true, correct, and compared copy of the original resolution referred to in said extracts and as finally adopted at said meeting and, to the extent required by law, as thereafter duly signed or approved by the,proper officer or officers of the Lodal Public Agency and'duly published, which resolution is on file and of record. WITNESS my hand and the seal of the Local Public Agency, this 4th day of December , 19 68 C_, y Clerk ( SEAL ) GENERAL CERTIFICATE I, George D. Eastman, DO HEREBY CERTIFY as follows: 1. I am the duly appointed, qualified, and acting Cit Clerk of the Cit of Pasco (herein called the"Local Pu lc Agency" In such capacity, I am custodian of its records and am familiar with its organization, membership, and activities. 2. The proper and correct corporate title of the Local Public Agency is City of Pasco 3. The Local Public Agency was duly created pursuant to the authority of the Constitution and statutes of the State of Washington Chapter 35.81 , and was duly organized on the fifteent day of February 1966; and, since the date of its organizationFe Local Public Agency has continued to exist without interruption in the performance of its public corporate purposes. 4. The names and dates of election or appointment, and the dates of the beginning and ending of the terms of office, of the members of the governing body of the Local Public Agency and of its principal off icers.are as.follows: 1� Date of Date of Com- Date of Ex - Election or mencement of piration of Name and Office (s) Appointment Term of Office Term of Office Where one person serves in more than one capacity dates indicate pertaining to each position) Mayor, G. E. Carter 7-21=64 7-21-64 11-2-71 Councilmen G. E. Carter 6-6-64 7-21-64 11-2-71 Donald Cooper 5-10-66 5-17-66 11-4-69 Robert L. Greenlee 7-6-64 7-21-64 11-2-71 George P. Stork 7-6-64 7-21-64, 11-2-71 Arthur Fletcher 11-7-67 11-21-67 11-4-6.9 Hilda Campbell 11-6-68 1-1-6-68 11-4-69 Ed Hendler 11-7-67 11-21-67 11-2-71 City Manager, Horace E. Menasco 8-18-64 9-1-64 City Treasurer, Ruth Modesky 3-10-64 4-6-64 City Clerk, George D. Eastman 10-30-67 10-30-67 City Attorney, D. Wayne.Campbell 4-16-63 4-16-63 Executive Director, Lyle E. Balderson 5-29-67 5-29-67 Director of Public Works, C. F. Whetsler 8-3-65 8-3-65 1� -,5. Each of the above-named officers required to do so has duly taken and filed 'h'is oath of office and each of them legally required to give,,bond or undertaking has filed• -such. bond or undertaking in form and amount as required by law -and has otherwise duly qualified to .act in the official capacity above designated, and each is the acting officer holding the respective office or offices stated beside his name,. 6. None of the above-named officers is ineligible to hold or disqualified from holding, under the provisions of applicable law, the respective office, specified above, which he holds. 7. Since February 15, 1966 there have been no changes in or amendments to the charter, by-laws, ordinances, resolutions, or proceedings of the Local Public Agency with respect to: (a) The time and place of and other provisions concerning regular meetings of the Local Public Agency; (b) The provisions concerning the calling and holding:of special meetings of the Local Public Agency and the business which may be taken up at such meetings; (c) The requirements concerning a quorum; (d) The manner in which the charter or by -Laws of the Local Public Agency may be amended; (e) The requirements regarding the introduction, -passage, adoption, approval, and publication of resolutions, ordinances, or other measures, relating to the approval and execution of contracts and the authorization,`award; execution or issuance of bonds, notes, or other obligations of the Local Public Agency; (f) The officers required to sign, countersign, or attest contracts, bonds, notes, or other obligations of the"Local Public Agency; (g) The office of°the Local Publ-ic Agency; or (h) The seal of the.Local Public 'Agency; except as follows: no exceptions 8. The seal impressed below, opposite my signature, is the duly adopted, proper, and only official corporate seal of the Local Public Agency. IN WITNESS WHEREOF Ihave hereunto set my hand and the duly adopted official seal of the Local Public Agency this 4th day of December 19 Georg D. Eastman, City Clerk V