HomeMy WebLinkAboutord1979-0301
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Date August 2, 1979 Introduced by Hansey
Proposed By; Prosecuting Attorney
ORDINANCE NO. 79 -30
AN ORDINANCE ESTABLISHING PROCEDURES FOR THE
SALE OR REFUNDING OF BONDS
WHEREAS, Section 9.20
Charter provides that
shall, by ordinance,
the sale or refunding
NOW, THEREFORE, BE IT
COUNCIL:
of the Whatcom County
the County Council
establish procedures for
of bonds,
ORDAINED BY THE WHATCOM COUNTY
SECTION 1. NEGOTIABLE BONDS AUTHORIZED:
Whatcom County may contract indebtedness for
general county purposes subject to the limitations on
indebtedness provided for in Revised Code of Washington 36.67.010,
36.67.020, and 39.36.020(2).
SECTION 1.(1) Contents of Bonds.
The bonds shall bear the date of issue, shall be
made payable to bearer and bear interest at a rate not exceeding
eight percent per year, payable semi - annually, with coupons
attached for each interest payment. Except as otherwise provided
in Revised Code of Washington 39.44.100,.the bonds and each
coupon shall be signed by the County Executive and shall be
attested by the clerk of the county council, and the seal of
the County Council shall be affixed to each bond, but not to the
coupon. Lach bond shall be printed, engraved, or lithographed
on good bond paper.
1.(2) Payment of principal and interest.
Bonds issued pursuant to this ordinance shall be serial
in form and maturity, and interest shall be paid and the
principal of the bonds retired by an annual tax levy in accordance
with the provisions of chapter 39.44 Revised Code of Washington
and by any other moneys lawfully available and pledged therefor.
1.(3) Bonds to be registered.
Ordinance - 1.
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f Before the bonds are delivered to the purchaser, they
shall be presented to the county treasurer, who shall register
them in a book kept for that purpose and known as the "bond
register ", in which register he shall enter the number of each
bond, its date of issue and maturity, amount, rate of interest,
to whom and when payable.
SECTION 2. REVENUE BONDS AUTHORIZED.
she Whatcom County Council may authorize issuance of
revenue bonds to carry out the lawful powers granted under the
laws of the State of Washington and the Whatcom County Charter.
2.(1) Purposes for Which Revenue Bonds may be Issued.
The County Council may authorize the issuance and
sale of revenue bonds from time to time in such amounts as it deem,.
necessary to provide sufficient funds for the carrying out of
county powers, including acquisition; construction; reconstruc-
tion; maintenance; repair; additions; operations of parks and
recreations; Flood control facilities; pollution facilities;
parking facilities and any other county purpose from which
revenues can be derived. Included in the costs thereof shall be
any necessary engineering, inspection, accounting, fiscal, and
legal expenses, the cost of issuance of bonds, including
printing, engraving and advertising and other similar expenses,
and the proceeds of such bond issue are available for all such
purposes.
2.(2) Form - Terms - Interest - Execution and Signature
of Revenue Bonds.
Revenue bonds may be either registered as to principal
only or shall be bearer bonds; shall be in such denominations,
numbered, bear such date, be payable at such time or times upon
to a maximum period of not to exceed thirty years and
payable at the office of the county treasurer, and such other
places as determined by the county council; shall bear interest
Ordinance - 2.
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payable semiannally and evidence to maturity by coupons attached
to said bonds; the coupons shall bear interest at rate or rates
authorized by the county council; bonds shall be executed by the
County Executive and attested by the Clerk of the County Council,
and the seal of the County Council shall be affixed to each bond,
but not to the coupon; and facsimile signatures of the executive
and clerk may be imprinted on the coupons in lieu of original sign-
atures.
2.(3) Bonds payable solely out of operating revenues.
Revenue Bonds issued pursuant to this Ordinance shall be solely
payable out of the operating revenues of the county. Such bonds
shall be authorized by Resolution of the County Council which
Resolution shall create a special fund or funds into which the
county may be bound and obligated to set aside and pay such
part or parts, or all of, a fixed proportion of, or fixed amounts
of gross revenue received by the county from mo_ n�vs for services
or activities as stated in the resolution, for the purpose of
paying the principal of and interest on such bonds as the same
shall become due, and if deemed necessary to maintain adequate
services therefor.. Such fund or funds shall be drawn upon solely
f purpose of paying the principal and interest upon the bonds
issued. Any balance remaining in such fund or funds after all
bonds have been redeemed and all interest paid shall be paid into
the operating revenue fund from which the bond redemption payments
were made.
2.(3) Bonds are negotiable instruments.
Revenue bonds issued pursuant to this ordinance shall
Ilbe deemed to be negotiable instruments as provided in Revised
Code of Washington Section 36.67.540.
2.(4) Remedy of bond holder.
Should the county fail to set aside and pay into such
fund or funds, the payments provided for in the resolution,
JOrdinance - 3.
v�
1 the holder of any such bonds may0 bring suit to compel compliance
2 with the provisions of the resolution.
3 2.(5) Optional covenants.
4 Covenants of the bonds may be provided as the county
5 council deems necessary to secure the payment of the principal
6 and interest on such bonds and may, but shall not be required to,
7 include covenants to create a reserve fund or account and to
8 authorize the payment or deposit of certain moneys therein for the
9 purpose of securing the payment of such principal and to maintain
10 an adequate coverage over annual debt service; and to make any and
11 all other covenants not inconsistent with the provisions of
12 RCW Chapter 36.67 which will increase the marketability of such
13 bonds. The council may also provide that revenue bonds payable
14 out of the same source or sources may later be sold on a parity,
15 with any revenue bonds being issued and sold.
16 2.(6) Covenants enforceable. �-
17 The provisions of the bond and the resolution,,authorizing
18 issuance of said bonds shall constitute a contract with the
19 holder of such bonds and be enforceable by the owner or holder
20 in an appropriate action in the Superior:Court of the State of
21 Washington in and for Whatcom County.
22 SECTION 3. FUNDING AND REFUNDING REVENUE BONDS.
0-1
23 The County Council may by resolution, from time to time,
24 provide for the issuance of funding or refunding revenue bonds
25 to fund or refund any outstanding revenue bonds and any premiums
26 due thereon, and matured coupons evidencing interest upon any such
I
27 bonds at or before maturity of such bonds, and parts of all of
28 various series and issues of outstanding revenue bonds and matured
29 coupons in the amount thereof to be funded or refunded.
30 The Council shall create a special fund for the sole
31 purpose of paying the principal of and interest on such funding
82 or refunding revenue ,;bonds, into which fund the commission shall
Ordinance - 4.
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obligate and bind the county to set aside and pay any part
or parts of, or all of, or a fixed proportion of, or a fixed
amount of the revenue of the facility of the county sufficient
to pay such principal and interest as the same shall become due,
and if deemed necessary to maintain adequate reserves therefor.
The tax revenue of the county may not be used to pay,
secure, or guarantee the payment of principal of and interest
on such bonds.
The county may exchange such funding or refunding bonds
for the bonds and coupons being funded or refunded, or it may
sell such funding or refunding bonds in the manner, at such
price and at such rate or rates of interest as the council shall
deem to be for the best interest of the county, and its
inhabitants, either at public or private sale.
ADOPTED the 16th day of August 1979.
WHATCOM COUNTY COUNCIL
WHATCOM COUNTY, WASHINGTON
0("' 'z.a -i"
Chh pers n
ATTEST: Joan Ogden
County Auditor & Ex- officio
Clerk of the Council
By A L
Deputy
APPROVED AS TO FORM:
.,1: L('Yr•6 C , �� _. -lam',.
Civil Deputy Prosecuting
Attorney
APPROVED ( ) VETOED ( ) Date
County Executive
Published August 9 and August 27, 1979.
Ordinance - 5.