HomeMy WebLinkAbout0834 ORDI~ANCB ~0.8}4
An Ordinance relating to local improvements, and ~onds and warrants
issued therefor,and providing for the maintenance by the City of Bremerton
of a '~ Local Improvement Guaranty Pund", and prescribing approporiate rules
and regulations for the maintenance and operation of such bonds.
BE IT ORDAINED BY THE CItY C0}~IISSION 0P THE CITY 0P BEE~ERTON:
Section l: That there is hereby established by the Ci~y of Bremerton
a fund for the purpose of guarantying, to the extent of fund and in the manner
hereinafter provided, the payment of its local improvement bonds and warrants
issued to pa~ for any local improvement hereafter ordered by the City.
~ec~ion. E: ~uch fund shall be designated 'VLocal Improvemen~ Guaranty
Pund"~ for the pu~pose of maintaining such fund said City of Bremerton shall
be deemed and held ~o have pledged to~ the fund a tax credit of suah 0i~y
in an amount equal ~o five ~5%~ per ce~t. of ~he bonds or warrants hereafter
so issued. The credit so pledged shall no~ constitute an indebtedness of
the City of Bremerton within the meaning of any $~t~.~or~_or charter condition
or limitations respecting indebtedness, Shch R~]~e ~hall be deemed to h~ve
been made as ~o any local improvement distric~ u~on the delivery of the roll
to the treasurer of the City of Bremerton for collection./Such pledged tax
credits wi~h the other resources o~ the fund enumerated in section Z hereof
shall constitute a reserve wherewi~h to,Purchase default bonds and warrants
guarnteed by the fund, As among several' issues of the bonds or warrants by the
fund no preference shall exist~bu~ default in~eres~ coupons bonds ~nd
warrants shall be purchsaed ~'~$out of the fund in ~he order of their
presentation. )
Section ~: The City of Bremerton shall levy from time to time, as
other taxes are levied, such sums as may be needed to meet the financial
requirements of such guaranty fund, but not in excess of the total of the tax
credits pledged herein to the guaranty fund. Whenever there sh~ll be paid
out of the guaranty fund any sum on account of the principal or interest
of the loyal improvement bond or warrant, the City of Bremerton, as trustee
for the fund, shall be subrogated to all the rights of the holder of the
bomd or interest coupon or warrant so paid, and the proceeds thereof.or the
assessments underlying ~he s~me. shall be part of the guaranty fund, there
shall also be paid unto such guaranty fund the interest r-~eived from the
bank deposits of the f~md, as well ~a any surplus remaining in any local
improvement fund guaranteed here$_uder after the payment of all outstanding
bonds or warrants payable primarily out of such local improvemnet fund.
wa~nts drawing interest at a rate not to exceed six ~6%) per cent. shall
be~-~sued as other warrants are issu~~he City of Bremerton against such
guaranty fund to~ meet any liability ~ against it: and at the time of
making its annual budget and tax levy,~aid City of Bremerton shall provide
for ~he levying of a sum sufficieht, with the other resources of the fund.
to pay warrants as issued during the prceeding fis__~al yemr; provided that
no warrants shall be issued against the guaranty fund in excess of the
cash therei~ and the tax credits pledged thereto, as provided in section
Icl this act, provided further that no taxes shall be levied for the fund
/in excess of the tax credits sp pledged by section ~ hereof, and that the
/tax levies herein directed shall be additional ~o , and if need be, in
/excess of any law, statutory and ohar~e~ limitations applicable to the tax
llevies o~ such City of Bremer~on.
Section 4: So much of the money of such guaranty fund as is necessary
may be used to purchase certificates of deliquehc$ for general taxes on
property subject to local improvement assessments underlying bonds or warrants
guaranteed by ~he fund, or to purchase such property at County tax
foreclosure, or from ~he County after foreclosure, for the purpose of
,protecting the guaranty fund, Said fund shall be subrogated ~o the right of
the City, and the ~i~y may forolose the l&&n of general tax certificates
of deliquency, and purchase ~he property of fore~sa~e sale, ~fter so
acquiring title to real property, the City may lease or sell and convey
the same a~ public or private sale for such price~ and on such terms as may
be determined by resolution of the City or town council or other legislative
body, any provisions of law, char~er, or ordinance to the contrary
Notwithstanding, and all proceeds resulting from such sales shall belong to
and be p~id unto such gu~rnty fun,.
Section 5: Neither the holder or the owner of any bond issued under the
provisions of ~k~m this act shall ~ny claim therefor agains~ the City of
Bremerton, except for the payment ~xmmm~ from the special assessment~ made
for the improvement for which said bond was issued~ and except as against
the Local improvement Suarnty fund of such City of Bremerton, and the~Oity
~ or Town shall not be liable to any holder or owner of such bond or warrant
Tor ~ny loss to ~he guaranty fund oocuring in ~he lawful operation ~hereof
~y ~h~ City.
ORDINANCE N0.834 {Continued)
the remed~ of the holder or owner of a bond in case on non payment shall
be confined to the enforcement of the assessment and to the guaranty fund
A cppy of the foregoing part of this section shall be plainly written,
printed or ingraved on each bond issued and guaranteed hereunder, and the
writing, printing or engraving shall be deemed sufficient compliance with
the requirements of section 940§ of Remington 0omplted Statutes of the State
of Washington.
Section 6. this Ordinance shall be in full force .and effect from and
after its passage, approval, and publication as provided by law.
Passed by the City Co~missioners and approved by me~ this ~: ?th.~
day of A~r~l A.D. 1926
x .... Ma~or
Attest:
" -~ ' 0ity 01erk
Pirst read~ april 7th. 1925 approved April 7th. 1926
Passed April 7th. 1926 Published 1926