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RESOLUTION NO. ~ q 56
A RESOLUTION of the City of Bremerton, Washington,
extending the due date for the existing Interfund loan from the
Equipment Rental Reserve Fund to the ULID No. 2002-1 Fund to
September 1,2005.
WHEREAS, the City Council approved Ordinance 4837 on December 4,2002,
authorizing the formation of Utility Local hnprovement District (ULID) No. 2002-01; and
WHEREAS, the ULID No. 2002-01 Fund (Fund 403) needs interim financial
resources in order to fund the construction of the water system capital improvements that are to
provide special benefit to property owners within the boundaries ofULID No. 2002-01; and
WHEREAS, such interim funding is needed within the ULID No. 2002-01 Fund
until the capital improvement project has been completed, final assessment roll established and
revenue bonds issued; and
WHEREAS, the City Council previously authorized a loan from the ER&R fund
on August 13,2003 in the amount of $1,056,384 to ULID No. 2002-01 Fund with an expiration
date of March 1,2004; and
WHEREAS, the City Council reduced the authorized amount to $500,000 and
approved the extension of due date to March 1, 2005 on November 17,2004, and
WHEREAS, the current balance outstanding on this loan is $500,000; and
WHEREAS, the construction of this project is now complete and the final
assessments and hearings are in process but the time required for concluding these procedures
and then completing the issuance of debt necessitates that the repayment ofthis Interfund loan be
extended to no later than September 1,2005;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BREMERTON,
WASHINGTON, DOES HEREBY RESOL VB AS FOLLOWS:
SECTION 1. The City of Bremerton's Director of Financial Services is hereby
authorized and directed to continue the existing interfund loan from the Equipment Rental
Reserve Fund (Fund 510) to the ULID No. 2002-01 Fund (Fund 403) in the amount not to exceed
$500,000 to cover the expenses for the ULID capital development and administration. This loan
shall bear interest at a rate based on the monthly average yield from the Washington State Local
Government Investment Pool, and shall be repaid to the Equipment Rental Reserve Fund from
ULID No. 2002-01 Fund on or before September 1, 2005.
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Interfund Loan - ULID 2002-01
SECTION 2. Severability. If anyone or more sections, subsections, or sentences
of this Resolution are held to be unconstitutional or invalid, such decision shall not affect the
validity ofthe remaining portion ofthis Resolution and the same shall remain in full force and
effect.
SECTION 3. Effective Date. This Resolution shall take effect and be in force
immediately upon its passage.
PASSED by the City Council of the City of Bremerton, Washington, on this~day of
'11~4.h() 2005.
APPROVED AS TO FORM:
R:\LEGAL\Resolutions\Public Works\Inter-Fund Loan Res. uun 2002-01 2-16-05.doc
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Interfund Loan - ULID 2002-01