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24 of 1980 - A RESOLUTION AUTHORIZING: THE ISSUANCE AND PROVIDING FOR THE SALE OF $465,000 SPECIAL ASSESSMENT BON Salt Lake City, Utah May 13, 1980 The City Council of Salt. Lake City, Salt Lake County, Utah, met in regular session at its regular meeting place in said Municipality at 5:00 p.m. M.D.T. on Tuesday, the 13th day of May, 1980, with the following members present: Deticavainciaxmc xxtyciN Rmaiataboddxkmalummi Exiimm/Axgam Grant Mabey Councilman Sydney R. Fonnesbeck Councilwoman Palmer A. DePaulis Councilman Alice Shearer Councilwoman lone M. Davis Councilwoman Edward W. Parker Councilman Also Present: Mildred V. Higham City Recorder Absent: Ted L. Wilson Mayor Ronald J. Whitehead Councilman The following resolution was then introduced in written form, read in full, and pursuant to motion made by Al ice Shearer , and seconded by Edward W. Parker adopted the following: RESOLUTION A RESOLUTION AUTHORIZING THU -SSUANCE AND PROVIDING FOR THE SALE OF $465,060 S '::CIA,_ .,SSESSMENT BONDS OF SALT LAKE CITY, UTAH CURB AND GI TIER SPECIAL IMPROVEMENT DISTRICT EXTENSION #38-668, #38-668-1, AND #38-668-2; PRESCRIBING THE FORM OF BOND AND INTEREST COUPONS, MATURITY AND DENOMINATION OF SAID BONDS; PROVIDING FOR THE CREATION OF A GUARANTY FUND AND LEVY AS PROVIDED BY STATUTE; AND PROVIDING WHEN THIS RESOLUTION SHALL BE IN EFFECT. WHEREAS, the City Council of Salt Lake City, Salt Lake County, Utah has heretofore adopted proceedings for the construction of improvements in Salt Lake City, Utah Curb and Gutter Special Improvement District Extension #38-668, #38- 668-1, and #38-668-2, and the Ordinance of said City confirming the assessment roll for such improvements having been duly adopted and approved on the 18th day of September, 1979; and WHEREAS, notice of assessment to property owners has been mailed by the City Treasurer to all the owners of property assessed in said District; and WHEREAS, the total cost of the project was $691,325, of which $565,312.28 was assessed against the property owners within the District, that during the fifteen-day period following the effective date of the ordinance levying the assessment, property owners in said District have paid or have committed to pay $100,312.28 on the principal of their assessments, leaving an amount to be paid through the issuance of bonds or from funds provided by the City of $465,000; and WHEREAS, for the purpose of expediting the sale of said Special Assessment Bonds, the City has requested a bond purchase proposal from Continental Bank and Trust Company of Salt Lake City, Utah, and Bank of Utah of Ogden, Utah, which firms have submitted their offer to purchase the Bonds herein authorized at par and accrued interest to the date of -2- delivery, bearing interest at the rate or rates hereinafter set forth; and WHEREAS, the City Council believes that the offer of Continental Bank and Trust Company and Bank of Utah is the best and most advantageous offer received and the most advantageous offer that might be received for said Bonds: NOW THEREFORE, It Is Hereby Resolved by the City Council of Salt Lake City, Utah as follows: Section 1. All the proceedings heretofore taken and adopted for the creation of Salt Lake City, Utah Curb and Gutter Special Improvement District Extension #38-668, #38- 668-1, and #38-668-2, and for the construction of improve- ments therein and the assessment of a part of the cost of con- structing such improvements on and against the private properties in said District shall be and the same are hereby ratified, approved, and confirmed. No assessment will exceed the benefit to be derived from the improvements by the piece of property assessed, and no parcel of property will bear more than its proportionate share of the cost of the improvements to be made. Section 2. For the purpose of payment of the cost and expense of such improvements against the funds created and to be collected from such special assessments, there shall be issued $465,000 Special Assessment Bonds of Salt Lake City, Utah Curb and Gutter Special Improvement District Extension #38-668, #38-668-1, and #38-668-2. Said Bonds are to be dated as of the 1st day of June, 1980, will be issued in denominations of $5,000, are not registrable as to principal and/or interest, and will mature serially in numerical order on June 1 as follows: -3- Bond Coupon Year Amount Numbers Rate 1981 $45,000 1- 9 8% 1982 $45,000 10-18 8% 1983 $45,000 19-27 8% 1984 $45,000 28-36 8% 1985 $45,000 37-45 8% 1986 $45,000 46-54 8.25% 1987 $45,000 55-63 8.25% 1988 $50,000 64-73 8.25% 1989 $50,000 74-83 8.25% 1990 $50,000 84-93 8.25% Both principal and interest shall be payable at Walker Bank & Trust Company , Salt Lake City, Utah. The Bonds maturing prior to June 1, 1986 are not callable for redemption prior to maturity. The Bonds maturing on or after June 1, 1987 shall be subject to prior redemption in whole or in part from time to time on any interest payment date commencing June 1, 1986 in inverse numerical order at a redemption price equal to the principal amount of the Bonds to be redeemed, and accrued interest to the date of redemption plus a premium of two percent (2%) of the par value of the Bonds redeemed. Section 3. Said Bonds and the coupons thereto attached shall be in substantially the following form: -4- STATE OF UTAH COUNTY OF SALT LAKE SALT LAKE CITY SPECIAL ASSESSMENT BOND CURB AND GUTTER SPECIAL IMPROVEMENT DISTRICT EXTENSION #38-668, #38-668-1, AND #38-668-2 No. $5,000.00 For value received Salt Lake City, Salt Lake County, Utah, (the Issuer), a municipal corporation duly organized and existing under the laws of Utah, hereby promises to pay to bearer hereof, out of special funds available for such purpose, as hereinafter set forth, the principal sum of FIVE THOUSAND DOLLARS ($5,000.00) on the 1st day of June, 19 , with interest thereon until maturity at the rate of percent ( %) per annum according to the coupons hereto attached, payable annually on the 1st day of June, in each year, both principal and interest being payable in lawful money of the United States of America at , Salt Lake City, Utah, upon presentation and surrender of this Bond and of the annexed coupons as they severally become due. This Bond is one of a series of ninety-three (93) Special Assessment Bonds (in denominations of $5,000) numbered consecutively from 1 to 93 both inclusive, issued by the Issuer, all of which are of like date and aggregate the total amount of $456,000. Payment of this Bond and the interest thereon shall be made from, and as security for such payment there is pledged, a special fund designated as the Bond and the Interest Fund of Salt Lake City, Utah Curb and Gutter Special Improvement District Extension #38-668, #38-668-1, and #38-668-2, containing the receipts derived by said Issuer from the special tax and assessment levied upon the property included in Curb and Gutter Special Improvement District Extension #38-668, #38-668-1, and #38-668-2, of said Municipality, by Salt Lake City Ordinance adopted on September 18, 1979 which became effective on September 21, 1979, for the purpose of construction of curb and gutter, asphalt paving, raised median, street lighting, landscaping, excavation, grading and the preparation of the street area to receive the proposed improvements, and all other miscellaneous work necessary to complete the improvements in a proper and workmanlike manner under, by virtue of, and in full conformity with the Constitution and Laws of the State of Utah and certain ordinances and resolutions of said Issuer duly passed and made law thereof prior to the issuance hereof. The Bonds maturing prior to June 1, 1986 are not callable for redemption prior to maturity. The Bonds maturing on or after June 1, 1987 shall be subject to prior redemption in whole or in part from time to time on any -5- interest payment date commencing June 1, 1986 in inverse numerical order at a redemption price equal to the principal amount of the Bonds to be redeemed, and accrued interest to the date of redemption plus a premium of two percent (2%) of the par value of the Bonds redeemed. It is hereby certified that a Special Improvement Guaranty Fund has been created by ordinance as authorized by Utah statutes, and said Issuer agrees that at all times during the life of this Bond and until payment thereof in full, said fund shall be at all times maintained as therein required. This Bond is not a general obligation of the Issuer but is payable exclusively out of said Bond and Interest Fund and said Special Improvement Guaranty Fund. Said Issuer shall not be held liable for the payment of this Bond, except to the extent of the Funds created and received by said special assessments and to the extent of its Special Improvement Guaranty Fund; but said Issuer shall be held responsible for the lawful levy of all special assessments, for the creation and maintenance of the Special Improvement Guaranty Fund as provided by law, and for faithful accounting, collection, settlement, and payment of the assessments and for the monies of said fund. Said special assessment made and levied to defray said cost, with accruing interest thereon, and the cost of collection of the assessment constitute a lien upon and against the property upon which such assessment was made and. levied from and after September 21, 1979, the date upon which the ordinance levying such assessment became effective, which lien is superior to the lien of any trust deed, mortgage, mechanic's or materialman's lien, or other encumbrance. Said lien is equal to and on a parity with the lien for general property taxes and shall continue until said assessment and interest thereon are paid, notwithstanding any sale of the property for or on account of a general property tax, special tax, other assessment, or the issuance of an auditor's deed. It is hereby further certified, recited and declared that all acts, conditions and things essential to the validity of the Bond exist, have happened, and have been done in due time, form and manner as required by law, and that the total issue of Special Improvement Bonds of said Issuer for said District, including this Bond, does not exceed the amount authorized by law nor the special assessment levied to cover the cost of said improvements in said District, and that all of said special assessment has been lawfully levied. This Bond is subject to the conditions, and every holder hereof by accepting the same agrees with the Issuer and every subsequent holder hereof, that (a) delivery of this Bond to any transferee shall vest title in this Bond and in the interest coupons attached hereto in such transferee to the same extent for all purposes as would the delivery under like circumstances of any negotiable instrument payable to Bearer; (b) the Issuer and any agent of the Issuer may treat the bearer of this Bond as the absolute owner hereof for all purposes, and shall not be affected by any notice to the contrary; (c) the principal of and the interest on this Bond shall be paid, and this Bond and each of the coupons appertaining thereto are transferable, free from and without regard to any equities between the Issuer and the original or any intermediate holders hereof, or any setoffs or crossclaims; and (d) the surrender to the Issuer or any agent of the Issuer of this Bond and each of the coupons shall be a good discharge to the obligor for the same. -6- IN WITNESS WHEREOF, the Issuer has caused this Bond to be signed by its Mayor and countersigned by its City Recorder, and the annexed coupons to bear the facsimile signature of the acting City Treasurer and this Bond to be dated as of the 1st day of June, 1980. Mayor Countersigned: City Recorder ( S E A L ) -7- (Form of Coupon) Coupon No. $ On the 1st day of June, 19 Salt Lake City, Salt Lake County, Utah will pay the bearer hereof in lawful $ money of the United States of America, out of a special fund designated the Bond and Interest Fund of Salt Lake City, Utah Curb and Gutter Special Improvement District Extension #38-668, #38-668-1, and #38-668-2, and Special Improvement Guaranty Fund at Salt Lake City, Utah, one year's interest on its Special Assessment Bonds of said District dated June 1, 1980. (Facsimile Signature) Acting City Treasurer Bond No. -8- Section 4. Said Bonds shall be signed by the Mayor and countersigned by the City Recorder, with the facsimile seal of the Municipality affixed, and the annexed coupons shall bear the fascimile signature of the Acting City Treasurer. The City Council does hereby ratify, approve and confirm the execution of said Bonds by the said officers and the Acting City Treasurer is hereby authorized to issue and deliver the Bonds to the purchasers thereof, their agents or assigns, on receipt of the purchase price therefor. Section S. The sale of the Bonds to Continental Bank and Trust Company of Salt Lake City, Utah and Bank of Utah of Ogden, Utah, at the price of par and accrued interest to the date of delivery in accordance with the terms of the offer submitted by said purchaser is hereby in all respects ratified and confirmed. Said Bonds shall be delivered to the purchaser as soon as they may be legally issued, upon receipt by the Acting City Treasurer of the agreed purchase price therefor. Section 6. The Acting City Treasurer shall be and is hereby authorized and empowered, and it shall be his duty to receive and collect all assessments levied to pay the cost of said improvements, the installments thereon, the interest thereon, and the penalties accrued, including without limiting the generality of the foregoing, the whole of the unpaid principal which becomes due and payable immediately because of the failure to pay any installment whether of principal or interest, when due, and to pay and disburse such payments to the person or persons lawfully entitled to receive the same in accordance with the laws of the State of Utah and all the ordinances and resolutions of said Municipality heretofore or to be hereafter adopted. 9 All monies constituting the payment of principal and interest shall be placed in a special fund to be designated "Fond and Interest Fund of Salt Lake City, Utah Curb and Gutter Spac _al Improvement District Extension #38-668, #38- 668-1, and #38-668-2", and shall be used for the purpose of paying the principal of and the interest on Special Assessment Bonds of said District and for no other purpose whatsoever, and as security for such payment, said fund is hereby pledged. Section 7. A Special Improvement Guaranty Fund is hereby readopted and the Municipality agrees with the holder of the Bonds herein authorized that it will, until the payment of said Bonds in full and the interest thereon has been paid, provide amounts to be transferred to the Special Improvement Guaranty Fund equal each year to such amount as a tax levy of one mill on all property in the Municipality will produce until the Special Improvement Guaranty Fund is equal to not less than forty percent (40%) of the amount of all outstanding special improvement bonds of all special improvement districts of the Municipality, and thereafter, the Municipality will transfer to such fund such amounts at least yearly as may be required to maintain or replenish such funds to such percentage. The Special Improvement Guaranty Fund shall be maintained separate and apart from other Municipal funds and shall be used and applied only as provided by the laws of the State of Utah. Section 8. Should there be insufficient money in the Bond and Interest Fund to pay all of the interest falling due at one time and the principal amount thereof due, the said interest and principal shall be paid from said Guaranty Fund to the extent that there is sufficient money in said Guaranty Fund for this purpose, and these Bonds are payable exclusively from the special assessments levied for said purposes and the said Special Improvement Guaranty Fund. -10- Section 9. The assessments and interest thereon shall continue to constitute and are hereby declared to be a lien in the several amounts assessed against every lot or tract of land in said Salt Lake City, Utah Curb and Gutter Special Improvement District Extension #38-668, #38-668-1, and #38- 668-2, from and after September 21, 1979, the date on which the ordinance levying the special assessments became effective, which lien shall be superior to the lien of any trust deed, mortgage, mechanic's or materialman's lien, or other encumbrance, and shall be equal to and on a parity with the lien for general property taxes. Such lien shall continue until the assessment and any interest thereon are paid, notwithstanding any sale of the property for or on account of a general property tax, special tax, other assessment, or the issuance of an auditor's deed. Section 10. Said funds hereinabove referred to shall be kept separate and apart from each other and from any other funds of the Municipality and shall, from time to time as they are accumulated, be deposited in such bank or banks as are designated as depositories of public monies for funds of said Municipality under the Depository Laws of the State of Utah for the deposit of public funds. Section 11. Default in the payment of any installment of principal or interest of said assessment when due shall cause the whole of the unpaid principal or interest to become due and payable immediately and the whole amount of the unpaid principal shall thereafter draw interest at the rate of 10% per annum until paid. The Municipality covenants and agrees that it will proceed with due diligence to place in operation the procedure necessary to provide for a tax sale of all delinquent property in accordance with the ordinances of said Municipality and the laws of the State of Utah and that the proceeds from the sale of any property sold will be placed in the Bond and Interest Fund hereinabove referred to. -11- Section 12. This resolution shall be effective immediately upon its passage. ADOPTED AND APPROVED this lj ay of May, 1 80. < 21 Mayor ATTEST: 7:44A--- City Recorder ;/ ( SEAL ) -12- The foregoing resolution being put to a vote was unani- mously carried by the affirmative vote of all Council present, the vote being as follows: The. > voting AYE: Ronald J. Whitehead (Absent) Grant Mabey Sydney Fonnesbeck Palmer A. DePaulis Alice Shearer Ione M. Davis Edward W. Parker Thos voting NAY: None It appearing that more than a majority of the Council had voted in favor of the motion, gxxMayAnnx g wieelavecoi the motion carried and the resolution adopted; ayor ATTEST: ity Recor erg/ ( S E A L ) -13- STATE OF UTAH ) ss. COUNTY OF SALT LAKE ) I, Mildred Higham, the duly appointed, q..:.iiied .d acting City Recorder of Salt Lake City, Utah, do hereby certify that the above and foregoing is a full, true and correct copy of the record of proceedings of the City Council of Salt Lake City, Utah, at its meeting held on the 13th day of May, 1980, insofar as the same relates to or concerns Salt Lake City, Utah Curb and Gutter Special Improvement District Extension #38-668, #38-668-1, and #38-668-2 and the adoption of Resolution No. 24 as the same appears of record in my Office. I further certify that there is on file in my Office a permanent record of the foregoing resolution for said District. IN WITNESS WHEREOF, I have hereunto subscribed my official signature and affixed the official seal of said City this 13th day of May, 1980. City Recor e (S E A L) STATE OF UTAH ss. CERTIFICATE OF COMPLIANCE COUNTY OF SALT LAKE ) WITH OPEN MEETING LAW I, Mildred Higham, the duly qualified and acting City Recorder of Salt Lake City, Salt Lake County, Utah, do hereby certify that on the 9th day of May, 1980, pursuant to Utah Code Annotated Section 52-4-6 (1953), as amended, there was posted (at least 24 hours prior to the meeting time) on the bulletin board provided for such purposes in the Salt Lake City and County Building written notice of the regular meeting of the City Council held on May 13, 1980 at said Chambers, together with the proposed agenda thereof. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of said Municipality this 13th day of May, 1980. AAte City Recorder ( S E A L ) -1� Resolution No. By, City Council asse[xtraue. Authorizing the issuance and providing for the sale of$465,000 assessment bonds for Curb and Gutter Special Improvement District Extension 38-668, 38-668-1, and 38-668-2. i J VCJe • s 1