HomeMy WebLinkAbout1286 ORDINANCE NO. 1~86
AN ORDINANCE providing for tile issuance and sale of refunding water
revenue bonds of the City of Bremerton, Washington, in the sum of $64,000, for
the purpose of paying all the outstanding water revenue bonds of said city
dated July l, 1929; creating a special fund for the payment of the principal
and interest of said bonds; providing for the form, maturities and terms there-
of and declaring an emergency.
WHEREAS, the City of Bremerton, Washington, pursuant to the authority
granted by Ordinances Nos. 895 and 901, passed and approved on the 8th day of
May, 1929, and the 5th day of July, 1929, respectively, duly issued certain
water revenue bonds dated July l, 1929, for the purpose of constructing and
acquiring additions and betterments to the city water system, payable solely
from the revenues of the municipal waterworks system of the said city, of which
bond issue there is now outstanding and unpaid bonds in the principal sum of
$74,000; and
'~HEREAS, according to the terms of said Ordinance No. 901, bonds of said
issue numbered 81 to 130, both inclusive, in the total principal sum of $10,O00,
will become due on July l, 1939; and
WHEREAS, the treasurer of the said city has sufficient money set aside to
redeem said bonds coming due on July l, 1939, and has called said bonds for
payment in the manner provided'by'Ordinance NoS. 895 and 901; and
~gHEREAS, by the terms of said bonds they are~subject to call by the said
city on any interest payment date on or after ten years from date thereof by
publishing notice of the intention to pay said bonds so called in the city
Ordinance No. 1286 (cont)
official~newspaper thirty days prior to the date of such proposed payment, and
WHEREAS, said city has called all of the bonds of said issue now outstand-
ing, for payment on July l, 1939, and in order to secure the money necessary to
retire said bonds, it will be necessary to issue refunding water revenue bonds
in the principal sum of $64,000, which bonds can be sold at par at a lower
interest rate than that borne by the outstanding bonds, and to issue and sell
such refunding bonds and pay said outstanding bonds will result in a saving to
the said city,
NOW, THEREFORE, BE IT ORDAINED BY THE ~YOR AND THE CITY C0~ISSION OF
THE CITY OF BREMERTON AS FOLLOWS:
Section 1. That pursuant to the provisions of the statutes of the State of
Washington there now be issued under date of July l, 1939, refunding water
revenue bonds of the City of Bremerton in the principal sum of $64,000, said
bonds to be in denominations of $1,000.00 each, numbered from i to 64 inclusive,
bear interest at the rate of one and one-half per cent per annum, payable semi-
annually, on the 1st days of January and July of each year and mature serially
in order of their number as follows:
Date of Maturity Amounts
January 1, 1940 $4,000.00
July 1, 1940 4,000.00
January 1, 1941 4,000.00
July 1, 1941 4,000.00
January 1, 1942 4,000.00
July 1, 1942 4,000.00
January 1, 1943 4,000.00
July 1, 1943 4,000.00
January 1, 1944 4,000.00
July 1, 1944 4,000.00
January 1, 1945 4,000.00
July 1, 1945 4,000.00
January 1, 1946 4,000.00
July 1, 1946 4,000.00
January 1, 1947 4,000.00
July 1, 1947 4,000.00
The City of Bremerton reserves the right to pay and redeem all or any of
the unmatured and outstanding bonds of this issue on any interest payment date
on or after five years from the date thereof by giVing thirty day~' notice of
such intended redemption by publication in the official city paper, interest on
any bonds so called for redemption to cease on the date named, all of said
refunding bonds, principal and interest, to be payable at the office of the city
treasurer of Bremerton, Washington, in lawful money of the United Sates solely
out of the gross revenues of the municipal waterworks system of the said city.
Section 2. Said bonds shall be known as "Bremerton Water Revenue Refund-
ing Bonds, 1939" and be in substantially the following form:
NO.~ $1,000.00
UNITED STATES OF AMERICA
STATE OF WASHINGTON
CITY OF BRE~ERTON
BRE~RTON WATER REVENUE REFUNDING BONDS, 1939
KNOW ALL ~EN BY THESE PRESENTS: That the City
of Bremerton, Washington, for value received, hereby
promises to pay to bearer on the first day of ,
19 , the principal sum of $1,000.00, with interest
thereon at the rate of 1½% per annum, payable semi-
annually on the first days of January and July of
each year upon the presentation~ and surrender of the
annexed interest coupons as they severally become
due. Both principal and interest are payable in
lawful money of the United States at the office of
the Treasurer of the City of Bremerton out of the
special fund known as "Bremerton Water Revenue Refund-
ing Bond Fund, 1939" created by Ordinance No. 1286,
Ordinance No. 1286 (cont)
of said City, which fund is to be drawn upon for
the sole purpose of paying the principal and
interest of this issue of bonds. The City of
Bremerton reserves the right to redeem all or
any of the unmatured bonds of this issue, on
any interest payment date on or after five (5)
years from date hereof by giving thirty (30)
days' notice of such intended redemption by
publication in the City official paper, and
interest upon any bonds so called for redemption
shall cease on the date the same is called for
Da yme nt.
This bond is one of an issue of refunding
water revenue bonds in the principal sum of
$64,000 issued pursuant to said Ordinance No.
1286 for the purpose of providing funds to pay
the special water revenue bonds heretofore issued
by said City.
The City of Bremerton hereby agrees with
the holder of this bond that it will keep and
perform all of the covenants in said Ordinance
No. 1286, authorizing the issuance of said
refunding bonds and creating such refunding
water revenue bond fund to be by it kept and
performed, and does hereby irrevocably obligate
and bind itself to set aside and pay into said
special fund from the gross revenues of said
waterworks system the various amounts in said
Ordinance provided, which amounts so pledged
are hereby declared to be a first lien and charge
upon the gross revenues of said waterworks system,
and all additions thereto, prior to all other
liens and charges, excepting those made for the
payment of the principal and interest of the
special water revenue bonds heretofore issued
by said city and now outstanding.
The City of Bremerton further binds itself
to establish and maintain rates for water serv-
ices which shall provide sufficient revenue to
permit the payment into said special fund of said
sums which said City has pledged to be set aside
for the payment of the p~inctpal and interest of
this bond issue, and also to pay all the expenses
of maintaining and operating said municipal water
system until such bonds have been paid in full.
It is hereby certified and declared that
said bonds are issued pursuant to and in strict
compliance with the constitution and laws of the
State of Washington, and of the Ordinances of the
City of Bremerton, and 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 Bremerton,
Washington, has caused this bond to be signed by
its Mayor and attested by the City Clerk and its
corporate seal to be hereto affixed, and the
annexed interest coupons to be signed by the
facsimile signatures of said officials on this
1st day of July, 1939.
CITY~0F/BREMERTON, WASHINGTON
The interest coupons attached to said bonds shall be in substantially the
following form:
Coupon No. . $7.50
On the first day of , 19__, the
City of Bremerton, Washington, will pay to
bearer at the office of the City Treasurer
the sum of $7.50 in lawful money of the
United States, from the special fund of
said City known as "Bremerton Water Revenue
Refunding Bond Fund, 1939", said sum being
the semi-annual interest due that date on
its water refunding bond dated July 1,
1939, numbered ~ ~. ~
Mayor U'
Attest:
City Clerk
Section 3. Said bonds shall be signed by the Mayor and attested by the
City Clerk under the seal of the said City, and each of the interest coupons
shall be signed with the facsimile signatures of said officials.
Section 4. That there be and hereby is created a special fund to be known
as "Bremerton Water Revenue Refunding Bond Fund, 1939", which fund shall be drawn
upon for the sole purpose of paying the interest and principal of the said refund-
ing bonds. From and after the date of said refunding bonds and so long as any of
the same are outstanding and unpaid, the City'Treasurer shall set aside and pay
into the said fund at least thirty (30) days prior to the respective dates on
which the interest or principal and interestlpayments of said bonds shall become
due and payable certain amounts out of the gross~ revenues of said water system,
including all additions and extensions thereof; equal to the respective amounts
of interest and principal or interest, as the case may be, so falling due upon
any and all bonds issued hereunder and then outstanding.
The gross revenues from said waterworks system are hereby pledged to
such payments, which shall constitute a charge upon all of such gross revenues
prior and superior to all other charges whatsoever, excepting those made for the
payment of the principal and interest of the special water revenue bonds hereto-
fore issued by said city and now outstanding.
Section 5. It is hereby declared that in the creatiQn of such special
fund as in this ordinance provided the corporate authorities of the City of
Bremerton have exercised due regard to the cost of operation and maintenance of
said waterworks system, and in the Judgment of the corporate authorities of
said city the revenues to be derived from the said system will be sufficient to
meet all expenses of operation and maintenance and to set aside into the said
special fund the amounts herein provided. The payment of such bonds and interest
coupons as they fall due is hereby declared to be the only charge which has been
or will be made upon such special fund until all such bonds and interest thereon
shall have been fully paid.
Section 6. The City of Bremerton hereby irrevocably binds and obligates
itself not to sell, lease or in any manner dispose of said waterworks system or
any additions, extensions or betterments thereto until all such bonds hereby
authorized, with interest thereon, shall have been fully paid, and said city
further covenants and agrees to and with the holders of each and every of the
said bonds, in the event said bonds or any p~tion thereof be issued, to maintain
in good condition and operate said waterworks system and to establish and maintain
such rates for water as will provide sufficient revenue to produce the gross
revenues reeuired to meet the obligations of said city as herein set forth.
Section 7. Said City of Bremerton hereby ratifies and confirms the
agreement heretofore entered into with Grande and Co., Inc., of Seattle, Washing-
ton, for the sale of said bonds, and the officials of said city are hereby
authorized and directed to do all things necessary to pay and redeem the out-
standing water revenue bonds of the City of Bremerton, dated July l, 1929, and to
issue and deliver said refunding bonds to the purchasers thereof in accordance
with their said contract of purchase.
Ordinance No. 1286 (cont)
Section $. This ordinance is declared to be one necessary for the in~nediate
protection and preservation of the public health and safety of the people of the City
of Br~uerton and an emergency is hereby declared to exist,and said ordi~anc¢ is ~creby
dec~ared to be in full force and eff~ct from and after its passage, approval and pub-
lication.
PASSED by the City Conmaission and approved by the Nayor this 2~th da~' of June, 193~.
ATTEST:
E.J. Mc0all
C i ty Clerk
By__ ~ St,,, of Wa~hi~,~.'} S S.
C~n~ of Kit${,p .) '
I the undemigned do certi~ ~at the
Approved as to form: and forego;ng i~ a true and ~ecl
~:, o~dinen¢~ pas~ed by the city
of the ci~ ~f B~eme~on, Wa~himgto~
abeve date.
....... ~[t~ Attorney ..........
~i~y Clerk