Ordinance 2134-96 - Laserfiche WebLink

permitted to cities without a vote of the people, and that a sufficient portion of each annual levy to be levied and collected by the City prior to the full payment of the principal of and interest on the Bonds will be and is hereby irrevocably set aside, pledged and appropriated for the payment of the principal of and interest on the Bonds. The full faith, credit and resources of the City are hereby irrevocably pledged for the annual levy and collection of said taxes and for the prompt payment of the principal of and interest on the Bonds as the same shall become due. Section 10. Defeasance. In the event that money and/or "Government Obligations" (as defined in Chapter 39.53 RCW, as amended, or its successor statute), maturing at such time or times and bearing interest to be earned thereon in amounts (together with such money, if necessary) sufficient to redeem and retire part or all of the Bonds in accordance with their terms, are set aside in a special account of the City to effect such redemption and retirement, and such money and the principal of and interest on such Government Obligations are irrevocably set aside and pledged for such purpose, then no further payments need be made into the Bond Fund for the payment of the principal of and interest on the Bonds so provided for, and the Registered Owners of such Bonds shall cease to be entitled to any lien, benefit or security of this ordinance except the right to receive the money so set aside and pledged, and such Bonds shall be deemed not to be outstanding hereunder. Within 30 days of any defeasance of Bonds, the Bond Registrar shall provide notice of defeasance of Bonds to Registered Owners and to each NRMSIR and SID, if any, in accordance with Section 16 of this ordinance. Section 11. Project Fund; Application of Bond Proceeds. There is hereby created a special fund of the City to be known as the "1996 Fire Trucks Acquisition Fund" (the "Project Fund"), which fund is to be drawn upon for the sole purpose of paying the costs of the Project and of paying certain costs of issuance of the Bonds. Money in the Project Fund shall be invested as provided by direction of the Finance Director in legal investments for City funds. Upon completion of the Project, any remaining money in the Project Fund shall be transferred to the Bond Fund or used for other capital purposes, and the Project Fund shall be closed. The proceeds of the sale of the Bonds shall be used and applied as follows: -11- DOTOF7.DOC 96/03/12