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HomeMy WebLinkAbout2766 OrdinanceCITY OF PASCO, WASHINGTON ORDINANCE NO 2766 AN ORDINANCE of the City of Pasco, Washington, relating to a lease with an option to purchase certain unimproved land and related irrigation fixtures and equipment, and approving the form and authorizing the execution and delivery of a lease/purchase agreement covering such land and equipment WHEREAS, the City of Pasco, Washington (the "City"), desires to lease certain unimproved land and related irrigation fixtures and equipment (the "Property") owned by Glacier Park Company, a Delaware corporation or its assigns (the "Lessor"), with an option to purchase the Property, until such time as the City determines to acquire and use the Property as part of the City's wastewater disposal system, and WHEREAS, the City is authorized by RCW 35 42 200-35 42 220 to enter into leases with or without options to purchase any real or personal property, or property rights, if the annual rental specified in such lease does not exceed one and one-half percent (1-1/2%) of the taxable property in the City, and WHEREAS, the Lessor is willing to lease the Property to the City, with an option to purchase the Property, pursuant to the form of Lease/Purchase Agreement (the "Lease Purchase Agreement") attached hereto as Exhibit A and by this reference incorporated herein, NOW, THEREFORE, i; hereby certify that this is a True and Correct Copy of a document on file In i 1-t0 City, VIlashingtm THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON, DO ORDAIN as follows : Section 1 . Approval of the Lease/Purchase Agreement . The City Council finds it to be in the best interest of the City to lease the Property, with an option to purchase the Property, on substantially the terms and conditions set forth in the Lease/Purchase Agreement . The term of the Lease/Purchase Agreement shall not exceed 10 years, and the sum of all rentals payable by the City under the Lease/Purchase Agreement shall not exceed $5, 000,000 . Section 2 . Execution of Documents . The Mayor, the Clerk or other appropriate officers or employees of the City are authorized and directed to execute and deliver the Lease/Purchase Agreement in substantially the form attached as Exhibit A, together with such modifications as are consistent with the purposes of this ordinance and the Lease/Purchase Agreement. The Mayor, the Clerk and other officers and employees of the City are further authorized to execute and deliver all documents necessary in connection with the execution of the Lease/Purchase Agreement, and to execute such other documents and take such other actions as are reasonable and necessary to carry out the purposes of this ordinance . Section 3 . Payment under the Lease/Purchase Agreement . The full faith, credit and resources of the City are pledged irrevocably for the payment of all rentals payable under the -1- Lease/Purchase Agreement, and the City pledges to budget and appropriate from annual taxes and other revenues available to the City without a vote of the electors of the City amounts sufficient, together with other money legally available therefor, to pay from the General Fund or such other available fund all rentals payable under the Lease/Purchase Agreement as the same shall come due. Section 4 . Appointment and Duties of Registrar . Seattle-First National Bank, as fiscal agent of the State of Washington, is appointed registrar and paying agent (the "Registrar" ) for the Lease/Purchase Agreement and shall fulfill the duties of Registrar in accordance with Chapter 39 . 46 RCW. The Lease/Purchase Agreement may be assigned only in whole, and may not be assigned or transferred except on the books of the Registrar . Section 5 . Nonapplicability of Competitive Bidding Requirement . The City Council of the City finds and determines that its leasing of the Property with an option to purchase that Property involves no construction of public works; that it involves only the purchase of land and certain existing irrigation fixtures and equipment on the land that Lessor requires to be leased with the land; that the Property is uniquely located in close proximity to an industrial area of the City devoted to food processing activities that the City expects to be served by future additional wastewater treatment facilities that will utilize the Property as part of the -2- wastewater treatment system; and that, for these reasons, the Property is effectively available only from Lessor and is subject to special market conditions , as a result of which the requirements of RCW 35 . 23 .352 are not applicable to the Lease/Purchase Agreement . Section 6 . Ratification. All actions heretofore taken by the City consistent with the provisions of this ordinance are ratified and confirmed. PASSED by the City Council and APPROVED by the Mayor of the City of Pasco, Washington, at a regular open public meeting thereof this .,‘ day of January, 1990 . CITY OF PASCO WASHINGTON May04/ Ir A qi T: -.ear.NIC.JIPAlf Clerk APP•• ED AS TO FORM: PUBLISHED: IP Cit attorney WGT-66* -3-