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09/19/1989 - Minutes PROCE INGS OF THE CITY COUNCIL OF SALT LAKE CI, UTAH TUESDAY, SEPTEMBER 19, 1989 The City Council of Salt Lake City, Utah, met as the Committee of the Whole on Tuesday, September 19, 1989, at 5:00 p.m. in Room 325, City County Building, 451 South State Street. The following Council Members were present: Florence Bittner Alan Hardman Roselyn Kirk Wayne Horrocks Tom Godfrey Willie Stoler Sydney Fonnesbeck Council Chair Stoler presided at the meeting. - The Council Members inter- Councilmember Hardman raised viewed two board appointee candi- a question regarding the carry- dates. Karel Doop McDonough said over of CDBG funds from one budget that her twenty-two years of year to the next. He requested residency in Salt Lake City, her that this be evaluated separately familiarity with City functions to justify and reallocate funds to and her desire to continue public other programs if necessary. Ms. service were cause for her inter- Gust-Jenson said the Council staff est to serve on the Tracy Aviary had spoken to Capital Planning Board. about this. Victoria Palacios, being Councilmember Bittner remind- considered for the Planning and ed the Council that the Redevelop- Zoning Commission, indicated that ment Agency hearing scheduled for her interest in community service 6:30 was to hear and gather infor- and the operations of the City mation and was not advertised as a were her reasons to seek this policy making hearing. appointment. Councilmembers Horrocks and Bittner mentioned The briefing session was that serving on this board re- concluded in preparation for the quired a lot of time and urged her convening of the regular City to be certain she could make this Council meeting. commitment. Ms. Palacios assured them that the time involvement was not an issue for her. Cindy Gust-Jenson, Council Executive Director, reviewed the Council ' s agenda for the evening, noting certain items, and reviewed the Council ' s calendar of events and invitations. She said if the Council had any questions regarding the budget item, to talk with her or one of the staff members at the break so they could provide complete infor- mation. 89-266 41 PROCAINGS OF THE CITY COUNCIL OF SALT LAKE CITy', UTAH TUESDAY, SEPTEMBER 19, 1989 The City Council of Salt Lake City, Utah, met in Regular Session on Tuesday, September 19, 1989, at 6:00 p.m. in Room 315, City Council Chambers, City County Building, 451 South State Street. The following Council Members were present: Florence Bittner Alan Hardman Roselyn Kirk Wayne Horrocks Tom Godfrey Willie Stoler Sydney Fonnesbeck Mayor Palmer DePaulis, Roger Cutler, City Attorney, Kathryn Marshall, City Recorder, and Lynda Domino, Chief Deputy City Recorder, were present. Council Chair Stoler presided at and conducted the meeting. OPENING CEREMONIES and was sending children to the U.S.S.R. who saw only what the #1. There was no invocation. government wanted them to see. She also expressed her opinion #2. The Council led the that the sister city resolution Pledge of Allegiance. was not "people to people" but "government to government" . She #3. Councilmember Godfrey asked the Council not to jump on moved and Councilmember Hardman the "Glasnost bandwagon" and said seconded to approve the minutes of she thought the Soviets would be the Salt Lake City Council for the sincere when they let their people regular meeting held Tuesday, travel freely around and let September 12, 1989, which motion people out of concentration camps. carried, all members voted aye. (M 89-1) The following people con- curred with Ms. Slighting' s com- COMMENTS ments: Vicki Slighting, 2725 Hart- Shirley Rickkett, 3353 So. ford Street, spoke in opposition Main to Salt Lake City' s sister city Mary Lindsey, 3625 Maclntosh resolution with Chernovtsy, Lane U.S.S.R. She expressed her con- Joy Wyatt, 683 E. Garden cern about communism, Soviet Avenue motives and Soviet past political Will Brown, 3380 So. 2175 practices in other countries such East as Afghanistan. She expressed her Nathan Koontz, 2523 Well- opinion that the illusion of ington Street change in the U.S.S.R. was a ploy Gary Slaybaugh, 3520 Alva to loosen the purse strings of the Circle United States and to increase the Adrian Slighting, 2725 Hart- infusion of technology from the ford Street West. Mayor DePaulis explained that She was concerned that Ameri- the resolution with Chernovtsy ca was embracing the Soviet image basically agreed to facilitate the 89-267 PROCE INGS OF THE CITY COUNCIL OF SALT LAKE CI, UTAH TUESDAY, SEPTEMBER 19, 1989 exchange of students, tour groups, to Petition No. 400-761 by Sin- and university professors, which clair/Little America, R.E. Hold- would be similar to what Salt Lake ing. City did with its other sister (P 89-319) city programs. He said the reso- lution was signed in June of this #2. RE: Adopting Resolution year and it finalized the exchange 109 of 1989 authorizing the execu- program under the sister city tion of an interlocal cooperation rules of Sister Cities Interna- agreement between Salt Lake City tional. and Salt Lake County for the installation of Watermain _Exten- He said the purpose of enter- sion 33-C-1314 located at approxi- ing into the relationship was not mately Warr Road, Wasatch Boule- for political or ideological yard to 3616 East, and Cascade reasons, or national policy mak- Way, 2900 South to 2945 South. ing. He said these agreements were (C 89-504) for friendship relationships be- tween cities and to exchange dele- #3. RE: Adopting Resolution gations and visit each other's 110 of 1989 authorizing the execu- cities which may lead to economic tion of an interlocal cooperation development opportunities between agreement between Salt Lake City the cities. He said these were and the Utah Department of Trans- not treaties or any other type of portation for street sweeping, alliance but were entered into to from July 1, 1989 to June 30, promote understanding, friendship 1990, with all work inspected by and peace in the world among the Utah State Department of people everywhere. Transportation. (C 89-505) Mayor DePaulis said he had no intention of cancelling the agree- #4. RE: Adopting Resolution ment and said he thought it would 111 of 1989 authorizing the execu- serve community interests. He tion of an interlocal cooperation mentioned that there were many agreement between Salt Lake City people who favored expanding and the Board of Education provid- friendship ties with people every- ing for the services of a full- where. time police officer for Northwest and Glendale Intermediate schools. CONSENT AGENDA (C 89-506) Councilmember Godfrey moved NEW COUNCIL BUSINESS and Councilmember Kirk seconded to approve the consent agenda, #1. RE: Convening as the which motion carried, all members Board of Canvassers and adopting a voted aye. motion authorizing the City Re- corder to prepare an abstract of #1. RE: Setting a date for a the votes cast in the primary public hearing to be held Tuesday, election to be held October 3, October 10, 1989, at 6:30 p.m. to 1989, for Councilmembers of Dis- obtain public comment concerning, tricts 1, 3, 5 and 7, and recess and consider adopting, an ordi- the Board until the abstract is nance regarding closing Walker complete. Place, Carson Street in Block 40 and Eardley Avenue in Block 21, ACTION: Councilmember Salt Lake City Survey, pursuant Godfrey moved and Councilmember 89-268 PROCWINGS OF THE CITY COUNCIL OF SALT LAKE CII, UTAH TUESDAY, SEPTEMBER 19, 1989 Kirk seconded to adjourn as the Godfrey moved and Councilmember City Council, which motion car- Kirk seconded to adopt Resolution ried, all members voted aye. 107 of 1989, which motion car- ried, all members voted aye. Councilmember Godfrey moved and Councilmember Kirk seconded to DISCUSSION: Richard Scott, convene with the Mayor as the Chapman and Cutler, bond counsel, Board of Canvassers, which motion said the bonds were issued in 1987 carried, all members voted aye. by the city on a variable rate basis. He said Delta Airlines Councilmember Kirk moved and asked to -have- them converted to a Councilmember Godfrey seconded to fixed rate, which has been set at authorize the City Recorder to 7. 90%. He said the resolution prepare an abstract of the votes would permit the execution of a cast in the primary election to be supplemental trust indenture to held October 3, 1989, for Council- take care of certain matters in members of Districts 1, 3, 5 and connection with fixing the rate. 7, which motion carried, all (Q 87-5) members voted aye. #2. RE: Consider adopting Councilmember Godfrey moved a resolution authorizing the and Councilmember Kirk seconded to issuance and sale of not more than recess as the Board of Canvassers $22, 750, 000 aggregate principal until the abstract is complete, amount of Airport Revenue Refund- which motion carried, all members ing Bonds of Salt Lake City; voted aye. authorizing such bonds to be issued in one or more series for Councilmember Godfrey moved delivery in 1993 to the initial and Councilmember Kirk seconded purchases thereof; fixing the reconvene as the City Council, maximum aggregate principal amount which motion carried, all members of such bonds, the maximum number voted aye. of years over which such bonds may (U 89-1) mature, the maximum interest rate that such bonds may bear and the UNFINISHED COUNCIL BUSINESS maximum discount from par at which such bonds may be sold; providing #1. RE: Consider adopting a for the publication of a notice of resolution authorizing the execu- bonds to be issued; providing for tion of a first supplemental trust the running of a contest period; indenture between the City and and related matters. Zions First National Bank, an addendum to the purchase contract ACTION: Councilmember Kirk between Delta Air Lines, Inc. , and moved and Councilmember Godfrey Smith Barney, Harris Upham & Co. seconded to adopt Resolution 108 Incorporated, and a remarketing of 1989, which motion carried, all memorandum in connection with the members voted aye except conversion to a fixed interest Councilmember Fonnesbeck who was rate of the $22,000,000, Salt Lake absent for the vote. City Weekly Adjustable/Fixed Rate Airport Facilities Revenue Bonds, DISCUSSION: Richard Scott, Series 1987 (Delta Air Lines, Inc. Chapman and Cutler, bond counsel, Project) and related matters. said the proposed resolution would permit the publication of a notice ACTION: Councilmember of bonds to be issued which would 89-269 PROC DINGS OF THE CITY COUNCIL OF SALT LAKE CITY, UTAH TUESDAY, SEPTEMBER 19, 1989 begin the 30-day contest period so cussed in an October Committee of refunding could be closed in 30 to the Whole meeting, after staff has 45 days. reviewed this with the administra- tion in more detail, which motion David Brownstein, Erlich carried, all members voted aye. Bober, said the purpose of this issue was to take advantage of DISCUSSION: Steve Fawcett, current interest rates. He said finance office, said the amendment the tax reform act of 1986 prohib- packet was distributed to the ited the airport from refunding Council and had been available for outstanding revenue bonds but a public inspection in the Recor- new technique would provide for der' s Office for the past week. refunding to occur in 1993 when He said he would entertain any the bonds are callable and would questions from the Council. lock in today' s interest rates. He said the bottom- line savings Councilmember Hardman re- to the airport over the life of ferred to the amendment item which the issue would be $9 million moved funds for the City and while present valued savings to County Building debt service. He 1993 was just under $2 million. He asked what the remaining general said because of the types of fund balance would be in the CIP. savings available today, it would be appropriate to lock in the Mr. Fawcett said moving the savings as opposed to risking City and County Building funds was where the market would be in 1993. more of an accounting technical- (Q 89-5) ity. He explained that they had a debt service fund but chose to put PUBLIC HEARING the debt service amount in the CIP fund since the City and County #1. RE: A public hearing at Building was a capital improvement 6: 20 p.m. to obtain comment con- project. In order to satisfy cerning, and consider adopting, an accounting regulations for report- ordinance regarding Budget Amend- ing purposes, he said they would ment No. 2. then transfer the funds to a debt service fund in order to pay the ACTION: Councilmember debt, as opposed to paying the Godfrey moved and Councilmember debt directly out of the CIP fund. Kirk seconded to close the pub- He said $4. 9 million was the lic hearing, which motion carried, original general fund contribution all members voted aye. and $2. 6 million related to the debt service fund was the general Councilmember Hardman moved fund' s share. and Councilmember Kirk seconded to adopt Ordinance 62 of 1989 amend- Councilmember Hardman said if ing Ordinance 36 of 1989 adopting they moved $3. 5 million from CIP the budget of Salt Lake City for to debt service they would be fiscal year 1989-90 beginning July starting next year' s budget pro- 1, 1989, and ending June 30, 1990, cess with a reduced CIP. Mr. as proposed with the exception of Fawcett said last year the general the CDBG carryover funds related fund' s share of the debt service to the City' s administration of for the City and County Building the program in the amount of was programmed into the CIP bud- $143, 649 .33; and that the adminis- get, and would be programmed in trative carryover funds be dis- the CIP budget next year. He said 89-270 PROADINGS OF THE CITY COUNCIL OF SALT LAKE CI11, UTAH TUESDAY, SEPTEMBER 19, 1989 what they were doing was to take funds from the general fund and transfer them to the CIP in order to identify the City and County Building as a CIP project. And then in order to satisfy account- ing regulations, they would trans- fer funds from the CIP fund to the debt service fund. He said the CIP fund would remain at its present level and next year they would still have approximately $5 million from the general fund, at which time they would have an additional debt service payment to which the general fund was con- tributing. He said they were not diluting the CIP fund next year as opposed to the amount in the present year and said this amount would remain constant according to the bond agreement. Councilmember Hardman asked if at some point the CIP budget would be reduced by $3.5 million. Mr. Fawcett said essentially the money would appear in three places in the budget: It would occur in the general fund as an appropriat- ed transfer which then would go to the CIP fund and then to the debt service fund. So the $3.5 million would continue to show in the CIP budget. No one from the public ad- dressed this issue. (B 89-5) The meeting a j ur d at 6:50 p.m. e CO I CHAIR Y R DER 89-271 V ' "'Jerada. SALT LAKE CITY. COUNCIL AGENLr, / 0.44(Mi tiO CITY COUNCIL CHAMBER ROOM 315, CITY AND COUNTY BUILDING 451 SOUTH STATE STREET Tuesday, September 19, 1989 6:00 p.m. A. BRIEFING SESSION: 5:00 - 5: 55 p.m. , Room 325 City and County Building, 451 South State. 1. Report of the Executive Director. 2. The City Council will interview Karel Doop McDonough for appointment to the Tracy Aviary Board. 3. The City Council will interview Victoria Palacios for appointment to the Planning and Zoning Commission. B. OPENING CEREMONIES: 1. Invocation. 2. Pledge of Allegiance. 3. Approval of the Minutes. C. COMMENTS: 1. Questions to the Mayor from the City Council. 2. Citizen Comments to the Council. D. CONSENT: 1. Petition No. 400-761 submitted by, Sinclair/Little America by R. E. Holding Set a date to hold a public hearing on October 10, 1989 at 6: 30 p.m. to obtain public comment concerning and consider adopting an ordinance regarding closing Walker Place, Carson Street in Block 40 and Eardley Avenue in Block 21, Salt Lake City Survey, pursuant to Petition No. 400-761 submitted by Sinclair/Little America by R. E. Holding. (P 89-319) Staff recommendation: Set date. 2. Interlocal Cooperation Agreement - Salt Lake County Consider adopting a resolution authorizing the execution of an Interlocal Cooperation Agreement between Salt Lake City and Salt Lake County for the installation of Watermain Extension 33-C-1314 located at approximately Warr Road, Wasatch Blvd. to 3616 East; and Cascade Way, 2900 South to 2945 South. (C 89-504) Staff recommendation: Adopt. 3. Int_Prloca1Cooperation Agreement__- Utah De rtment of Transportat.ion Consider adopting a resolution authorizing the execution of an Interlocal Cooperation Agreement between Salt Lake City and the Utah Department of Transportation for street. sweeping. The agreement will be from July 1, 1989 to June 30, 1990 with all work inspected by the Utah State Department of Transportation. ! . (C 89-505) Staff recommendation: Adopt. 4. Interlocal Cooperation Agreement__. Board of Educat.ion Consider adopting a resolution authorizing the execution of an Interlocal Cooperation Agreement. between Salt Lake City and the Board of Education providing for the services of a full time police officer for. Northwest and Glendale Intermediate Schools. 1 (C 89-506) Staff recommendation: Adopt. E. NEW COUNCIL BUSINESS: 1 Canvass of Primary Election Consider convening as the Board of Canvassers and adopting a motion authorizing the City Recorder to prepare an abstract of the votes cast in Ipti, ' the primary election to be held October 3, 1989, for Councilmembers of Districts 1, 3, 5, and 7, and recess the Board until the abstract is (U 89-1) Staff recommendation: Adopt. F. UNFINISHED COUNCIL BUSINESS: Series 1987 Weekly Adjustable/Fixed Rate Airport Facilities Revenue Bonds i Consider adopting a resolution authorizing the execution of a first 1 supplemental trust indenture between the City and Zions First National Bank, an addendum to the purchase contract between Delta Air Lines, Inc. and Smith it,\\-91Barney, Harris Upham & Co. Incorporated, and a remarketing memorandum in 1 �' connection with the conversion to a fixed interest rate of the $22,000,000, • / 4 Salt Lake City Weekly Adjustable/Fixed Rate Airport Facilities Revenue ,- G Bonds, Series 1987 (Delta Air Lines, Inc. Project) and related matters. (Q 87-5 ) �IJwjm il 6/13)/6"ch" -1 it � V� , Sta f recommendation: Adopt. . lVlc,$r rye( ` ( &) c Lne) Vf ',, , i od. . \vo. v 1` r V 2. Series 1993 Airport Revenue Refunding Bonds Consider adopting a resolution authorizing the issuance and sale of not more than $22,750,000 aggregate principal amount. of Airport. Revenue Refunding Bonds of Salt. Lake City; authorizing such bonds to be issued in one or more series for delivery in 1993 to the initial purchases thereof; fixing the maximum aggregate principal amount of such bonds, the maximum number of years over which such bonds may mature, the maximum interest rate that such bonds may bear and the maximum discount from par at which such bonds may be sold; providing for the publication of a notice of bonds to be issued; providing for the running of a contest period; and related matters. (Q 89-5) Staff recommendation: Adopt. G. PUBLIC HEARINGS: 1. Budget Amendment No. 2 6: 20 p.m. Obtain public comment concerning and consider adopting an ordinance regarding Budget Amendment No. 2. (B 89-5) Staff recommendation: Close hearing and adopt. H. ADJOURNMENT. ** FINAL ACTION MAY BE TAKEN AND/OR ORDINANCES ADOPTED CONOERN NG ANY ITEM ON THIS AGENDA DATED: i / rr-C BY: IE. DEPUTY CITY R CORDER STATE OF UTAH COUNTY OF SALT LAKE ) ss. On the 15th day of September, 1989, I personally delivered a copy of the foregoing notice to the Mayor and City Council and posted copies of the same in conspicuous view, at the following times and locations within the City and County Building, 451 South State Street, Salt. Lake City, Utah: 1. At 5:00 p.m. in the City Recorder's Office, Room 415; and 2. At 5:00 p.m. in the Newsroom, Room 343. I DEPUTY CITY RECORDER Subscribed and sworn to before me this 15th day of September, 1989. , , Gj Lei/I ' - - Notary Public residing in•t.be State of Utah My Commission Expires: r 415 1 f 41 1:; .1: 44102-v4 fig L. APPROVAL: EXECUT DIRE_TOR OFFICE OF THE CITY COUNCIL CITY AND COUNTY BUILDING 451 SOUTH STATE STREET, SUITE 304 SALT LAKE CITY, UTAH 84111 535-7600 MEMORANDUM To: Alan Hardman Date: September 19, 1989 From: Cam Caldwell Subject: School Interlocal Cindy asked me to follow up with the Police Department to provide you with additional information about the Interlocal Agreement with the Board of Education on tonight's agenda. I called Ed Johnson who indicated that the department has developed a better agreement with the Board of Education than we have had in the past. Ed stated that the half the cost of the officers are reimbursed and noted that the costs reflected are for a nine month contract. Prior to this year we received $10,000 per year from the school district. This year the amount increases to $12, 000. Nex year, and thereafter, the school district will reimburse "one- half of the gross salary, including taxes and fringe benefits. It may be important to emphasize that the Police Department and the School District share the costs of the Police Officers participating in the schools. The Police Department is pleased to be in the classrooms and to have the School District reimburse the City for half of the costs of providing an officer. As you are aware, the Police Department has put high priority on attempting t.o resolve the drug problem. The DARE Program has been given top priority for the Police Department this year. Please get back t.o me if you have any questions. I hope that I have adequately addressed your. concerns. -1- PROCEEDINGS uF THE CITY COUNCIL OF SALT LAKE CITY, UTAH TUESDAY, SEPTEMBER 12, 1989 The City Council of Salt Lake City, Utah, met as the Committee of the Whole on Tuesday, September 12, 1989, at 5:00 p.m. in Room 325, City County Building, 451 South State Street. The following Council Members were present: Florence Bittner Alan Hardman Roselyn Kirk Wayne Horrocks Tom Godfrey Willie Stoler Sydney Fonnesbeck Council Chair Stoler presided at the meeting. The Council Members inter- included in the Opening Ceremonies viewed Mr. Theophile J. Syms for was a presentation of a resolution appointment to the Board of Ap- recognizing September 14th as peals and Examiners. Chairman D.A.R.E. Day in Salt Lake City. Stoler asked Mr. Syms to state his D.A.R.E. is an anti-drug program qualifications and desire to serve helping children and young adults. on this Board. Mr. Syms said he felt qualified for this appoint- Ms. Gust-Jenson said Council ment due to his familiarity with Member Fonnesbeck had requested the rules and regulations of that the public hearing concerning building homes and remodeling the appointment procedures to the structures. Historical Landmark Committee be scheduled for October 10, 1989, Council Member Kirk asked if rather than October 3rd. The he was aware of the responsibili- reason for her request was because ties of this appointment. Mr. the Avenues Community Council Syms said he was aware of the monthly meeting was scheduled for Board' s service but was not, at October 4, 1989. this time, aware of what his particular duties would be. Upon Council Member Godfrey' s Council Member Bittner expressed inquiry about the Consent Agenda, appreciation to Mr. Syms for his Ms. Gust-Jenson explained the willingness to serve. reason for scheduling and holding a public hearing the same night. The Council Members inter- She said this was a nonadvertised viewed Glenda Armour for appoint- public hearing and scheduling had ment to the Community Development been approved by the City Attor- Advisory Committee. Chairman ney' s office. She explained that Stoler asked Ms. Armour to state while the timing was appropriate her qualifications and desire to in the legal sense, it was outside serve on this Board. Ms. Armour of the Council ' s general practice. said she had never served on a She had informed Council Members City committee but was excited present at last week' s Committee about this appointment. Ms. of the Whole meeting of this Armour would be representing the request, and they had agreed to Jackson area. Council Member Kirk setting the date and holding the indicated her appreciation for Ms. public hearing on the same night Armour' s enthusiasm. to expedite the process. Cindy Gust-Jenson, Council Ms. Gust-Jenson reviewed the Executive Director, said that calendar of events as stated on the attached list. 89-260 COUNCIL MINUTES SEPTEMBER 1 2 , 1 989 ATTACHMENT DATE EVENT LOCATION COST RSVP 9/13-15 League of Cities Conf. SLC TG 3 days FB 3 days RK Wed 9/15 Dedication/Open House Central Valley Water 800 W Central Valley Rd yes- FB & RK 9/21 Gov's Breakfast. Salute Little America Hotel **by 9/15 to UP & L no-RK yes-ER 9/23 Coalition for Utah's Airport Hilton $15 **by 9/18 Future/Child Care no-RK Action Forum 9/26 Lt. Gov's Breakfast Marriott by 9/26 re: 1989 Utah Ski Ball yes-FB 9/27 Delta Airlines Grand 3823 W 1200 N **by 9/15 Opening yes-FB RK CIP Project Tours ( Max Peterson ) * * * * * * * * * 11/25 NLCT Nat'l Conference Janne has WS & AH Janne needs airline info 12/6 Clark Financial Xmas Party SL Country Club 11/20 89-260A PROCEEDINGS OF THE CITY COUNCIL OF SALT LAKE CITY, UTAH TUESDAY, SEPTEMBER 12, 1989 The City Council of Salt Lake City, Utah, met in Regular Session on Tuesday, September 12, 1989, at 6:00 p.m. in Room 315, City Council Chambers, City County Building, 451 South State Street. The following Council Members were present: Florence Bittner Alan Hardman Roselyn Kirk Wayne Horrocks Tom Godfrey Willie Stoler Sydney Fonnesbeck Emilie Charles, Executive Assistant to the Mayor, Roger Cutler, City Attorney, Lynda Domino, Chief Deputy City Recorder, and Doc Kivett, Deputy Recorder, were present. Mayor Palmer DePaulis was absent. Council Chair Stoler presided at the meeting and Councilmember Bittner conducted the meeting. OPENING CEREMONIES would have additional skills to deal with the ever increasing drug #1. There was no invocation. problem. He said the program was in 10 schools this year and his #2. The Council led the goal was to be in all 27 Salt Lake Pledge of Allegiance. City schools next year. He said on September 14th representatives #3. Councilmember Godfrey of the local business community moved and Councilmember Kirk were going to make a significant seconded to approve the minutes of financial contribution to this the Salt Lake City Council for the program in order to ensure its regular meeting held Tuesday, success in its first year. September 5, 1989, which motion carried, all members voted aye. Councilmember Stoler pre- (M 89-1) sented the resolution to Chief Chabries and pledged the Council #4. The City Council and support of this program. Mayor presented a resolution (R 89-1) officially recognizing September 14, 1989, as D.A.R.E. (Drug Abuse Resistance Education) Day in Salt CONSENT AGENDA Lake City. Councilmember Horrocks moved Councilmember Kirk read the and Councilmember Kirk seconded to resolution. Councilmember Kirk approve the consent agenda, which moved and Councilmember Godfrey motion carried, all members voted seconded to adopt Resolution 106 aye except Councilmember Hardman of 1989, which motion carried, all who abstained from voting. members voted aye. #1. RE: Setting a date for a Police Chief Chabries said he nonadvertised public hearing to be was excited about the new held Tuesday, September 12, 1989, D.A.R.E. program. He said he at 6:30 p.m. to obtain public thought the police department comment concerning, and consider could be more effective by working adopting, an ordinance regarding with 5th and 6th graders so they closing "old 700 North" between 89-261 PROCEEDINGS OF THE CITY COUNCIL OF SALT LAKE CITY, UTAH TUESDAY, SEPTEMBER 12, 1989 John Glenn Road and Eddie #2. RE: Consider adopting Rickenbacker Road within the Salt an ordinance amending section Lake International Center pursuant 21.78. 130, Recreational Facilities to Petition No. 400-741-89. in Residential Areas, pursuant to Petition No. 400-708-89, DeSantis DISCUSSION: Councilmember petition. Hardman asked which company was involved with this request. Cindy ACTION: Councilmember Kirk Gust-Jenson, Council Executive moved and Councilmember Godfrey Director, said Compeq was the seconded to adopt Ordinance 59 of company. Mr. Hardman said the 1989, which motion carried, all architectural firm which he worked members voted aye. for was involved with this company (0 89-36) so he said he would abstain from voting. PUBLIC HEARINGS Councilmember Fonnesbeck asked why the Council was setting #1. RE: A public hearing at the hearing and holding it the 6:20 p.m. to obtain comment con- same night. Ms . Gust-Jenson said cerning, and consider adopting, an the firm needed to act quickly on ordinance amending Section 21.52.- their building and the Salt Lake 010, "B-3" business district, to City Attorney' s Office said this prohibit mechanical repairs and was legal action since the hearing specialty-type service centers for was nonadvertised. automobiles and light trucks. Allen Johnson, planning ACTION: Councilmember Kirk director, said all the concerned moved and Councilmember Godfrey parties had been involved through seconded to close the public the Planning Commission process hearing, which motion carried, all and were aware that the Council members voted aye. was holding this hearing. (P 89-308) Councilmember Hardman moved and Councilmember Kirk seconded to adopt Ordinance 60 of 1989, which UNFINISHED COUNCIL BUSINESS motion carried, all members voted aye. #1. RE: Set a date to hold a public hearing on October 10, DISCUSSION: Allen Johnson, 1989, at 6:20 p.m. to obtain planning director, said this was a public comment concerning, and staff initiated request as a consider adopting, an ordinance result of a recent Board of Ad- regarding the appointment proce- justment case in which the City dures to the Historical Landmark Attorney' s Office rendered a Committee. legal opinion on the definition of a retail establishment. He ACTION: Councilmember Hard- said that after a legal interpre- man moved and Councilmember Hor- tation, certain automotive sales rocks seconded to set the date, and repair facilities were consid- which motion carried, all members ered qualified uses in a B-3 zone voted aye except Councilmember whereas before they had been Stoler who was absent for the conditional under a C-1 zone and vote. allowed under a C-3 zone. (0 89-7) 89-262 PROCEEDINGS OF THE CITY COUNCIL OF SALT LAKE CITY, UTAH TUESDAY, SEPTEMBER 12, 1989 Because of the Board of Councilmember Stoler said new Adjustment case and the attorney' s EPA standards were going to be legal opinion, Mr. Johnson recom- imposed and many neighborhood mended that the B-3 ordinance be service stations would close modified to further define the because it would be too expensive present intent of the B-3 zone, to repair their underground tanks. which was to exclude those uses He asked if the Planning Commis- that were automobile repair ori- sion had considered a possible use ented or oriented toward specialty of this land. Mr. Johnson said servicing such as muffler shops, they hadn' t submitted this issue brake shops and tire establish- to the Planning Commission but he ments. He said it was never the had directed the long-range plan- city's intent to allow these uses ning section in his office to in neighborhood B-3 zones since develop a new B-3 zone and this they were more of a community or was one issue they would address . regional use. He said it was He said even though a business may important to have the Council not be able to afford to replace a approve a definitional clarifica- tank, the EPA would require them tion in the ordinance. to pull it out of the ground. Councilmember Bittner asked Councilmember Stoler said if existing situations would the fire department indicated that remain a conditional use. Mr. as long as the tank was empty and Johnson said that presently in the filled with foam or sand, it could B-3 zone the city didn't have any stay in the ground. Mr. Johnson specialty service-type establish- said the EPA was concerned about ments. He said service stations the plume which would develop off would remain but his office wanted the tank and was also concerned to address the issue of public about fluid migrating into the garages or muffler/brake shops tank. He said if the tank was where they derived more that 50% filled with sand, the fumes would of their income from the sale of stay in the sand and would be a the item and 49% from the cost of danger. He said he thought the EPA installation. He said currently would require owners to pull the there were not any nonconforming tanks. He also said there were a uses. number of neighborhood uses they could retrofit into these older Councilmember Kirk asked buildings but they would have to about this type of business which consider each case on a site-by- had been approved in Foothill site basis. Village. Mr. Johnson said he understood that if Goodyear was Councilmember Horrocks asked successful in locating at 500 East what would happen if an owner and 400 South then they wouldn't couldn't afford to remove the locate in Foothill . He said the tanks and declared bankruptcy. Board of Adjustment approved the Mr. Johnson said the problem would Foothill location based on the rest with whoever had the title to recent legal opinion but the the property. Mr. Horrocks asked Goodyear marketing section didn' t about a case where the title to think the Foothill location would the land was free and clear. Mr. be advantageous since they Johnson thought in this case the couldn' t advertise as extensively property would belong to the as they usually do. county. Roger Cutler, city attorney, said that banks may 89-263 PROCEEDINGS LW THE CITY COUNCIL OF SALT LAKE CITY, UTAH TUESDAY, SEPTEMBER 12, 1989 refuse to foreclose on property caused problems with traffic con- and the county may be unable to gestion and she was concerned take property over through tax about the traffic because of the sales, which would create a situa- small children in the neighbor- tion of property belonging to no hood. one because of the environmental and liability problems. Stan Penfold, 715 2nd Avenue, chair of the Salt Lake Area of Mr. Johnson said that most of Community Councils, said the the existing service stations were executive committee of SLACC nonconforming because of the supported this change and looked building design and not the use. forward to working with the plan- He said this current issue would ning department on rewriting the not create another class of non- B-3 zone. conforming uses and said the present uses became nonconforming Mr. Johnson said that about when the city made the B-3 zone four years the zoning ordinance more sensitive to the neighborhood permitted, as a conditional use in environment. the C-1 and B-3 zones, the conver- sion of a service station into a The following people spoke: "light" repair garage. He said that experiences with about six Rosalee Norwood, 353 East 900 sites convinced the Planning South, said she didn't want to see Commission that this was not in any more service stations in the the community' s best interest and B-3 zone. She said the goal of so the ordinance was repealed the Central City Master Plan was about two and a half years ago. to make the area inviting so He said they had not been granting people would want to live there. conditional uses for light repair She said the city had added three shops in the B-3 zone although neighborhood parks in order to this was still allowed in the C-1 make the area more neighborly and zone. allowing repair shops would defeat the purpose. Councilmember Fonnesbeck asked why they were not more She referred to a shop locat- careful about enforcing the Blair ed on the corner of Blair Street Street site. Mr. Johnson said and 9th South which was a small the city' s philosophy had been to gas station when she first moved enforce the zoning ordinances if into the area. She said new there was a complaint. Council- owners took over the property in member Fonnesbeck asked if they 1981 and obtained a conditional could assume that Mrs. Norwood was use permit which allowed for making a complaint and Mr. repairs of cars and light trucks. Johnson said he would refer this She said one of the conditions was situation to the enforcement that no more than one automobile staff. He said the owners of this was permitted to remain on the site received permission from the premises outside of the building Board of Adjustment to add to but today she counted 21 cars. their building, which would facil- She said she also understood that itate their operations and they now this location had been granted would be required to remove some another variance to add 576 square hard surfacing and install grass. feet to their nonconforming build- (0 89-35) ing. She said this situation 89-264 PROCEEDINGS u1 THE CITY COUNCIL OF SALT ,,AKE CITY, UTAH TUESDAY, SEPTEMBER 12, 1989 #2. RE: A public hearing at The meeting adjourned at 6: 50 6: 30 p.m. to obtain comment con- p.m. cerning, and consider adopting, an ordinance regarding closing "old 700 North" between John Glenn and Eddie Rickenbacker Road within the COUNCIL CHAIR Salt Lake International Center pursuant to Petition No. 400-741- 89 . ACTION: Councilmember God- CITY RECORDER frey moved and Councilmember Hor- rocks seconded to close the public hearing, which motion carried, all members voted aye except Councilmember Hardman who abstained from voting. Councilmember Godfrey moved and Councilmember Kirk seconded to adopt Ordinance 61 of 1989, which motion carried, all members voted aye except Councilmember Hardman who abstained from voting. DISCUSSION: Councilmember Hardman said that since his em- ployer was doing business with one of the companies involved in this issue he would abstain from the discussion. He then left the dais. Bruce Eggleston, planning and zoning, showed a map and outlined the "old 700 North" prescriptive use right of way which transversed Plat 16 in the International Center. He said the petitioner and land owner, Zions Bank, requested that this pre- scriptive use be closed and the staff recommended closure based on the fact that any need had been supplanted by improved highways to the south, east and west of this right of way. He also said the Planning Commission approved the proposal and recommended closure. No one from the audience spoke. (P 89-308) 89-265 1.71 DATE EVENT LOCATION RSVP 9/20 Soviet. Union Medical University Park Hotel Z no YES Officials Reception # �� �; f NO 9/21 Gov's Breakfast Salute Little America Hotel 9/15 YES fb,wh to UP & L NO rk 9/22 STAFF RETREAT. . .—OFFICE CLOSED 9/23 Coalition for Utah's Airport Hilton $15 YES Future/Child Care NO rk Action Forum 9/26 Lt. Gov's Breakfast Marriott YES fb,wh re: 1989 Utah Ski Ball NO 9/27 Delta Airlines Grand 3823 W 1200 N YES fb,rk, Opening wh NO 11/11 Veteran's Day Parade YES Council invited to reviewing stand and,;, NO participate if desired 11/25 NLCT Nat'l Conference YES ws,ah fb,w NO rk 12/6 Clark Financial Xmas Party SL Country Club YES NO 9/19 jhn LC J U;1I1 Q-- d iU Utah Public Employees' Association UPEA 1000 W. Bellwood Lane • Murray, Utah 84123-4494 (801) 264-8732 • (800) 821-8135 September 14 , 1989 Salt Lake City Council Willie Stoler 324 South State, *300 Salt Lake City, Utah 84111 Dear Mr . Stoler : The Utah Public Employees ' Association Is pleased to have the opportunity to host three Soviet Union Medical Officials on September 20 , 1989 , as they come to Utah to share their expertise on emergency medical medicine. In honor of their visit we have arranged for a reception that evening at the University Park Hotel from 7 : 30 p .m . to 9 : 00 p .m . You and your partner are cordially Invited to attend . These gentlemen WIll be In Salt Lake for a brief visit and we want to extend a warm welcome to them . Please plan to Join us . Refreshments will be served . sly , Rhett F . Potter Executive Director RFP/akp c.i4Ve!* !oil) is c JaiZ( sA`-� UnA_zd Veteran's Coun '1 - SALT LAKE CITY & COUNTY Veterans of Foreign Wars The American Legion: Military Order Purple Heart U.S.A. Royal Canadian Legion Voiture N230 et 40-8 Pearl Harbor Survivors 145th Field Artillery W.W.I Ex-Prisoners of War World War I Vets. Utah N.G.Vets.W.W.II&U.S.Wars Disabled American Veterans POW&MIA 14 September 1989 TO : Honorable Palmer De Paul i s Mayor RECEI"r' Salt Lake City , Utah Salt Lake City , Hall SEP 1 b 1989 324 South State Street Salt Lake City, Utah 84111 MAYOR'S ()Mrs_ Dear Sir : This letter is written for a request for the November 11 , 1989 Veterans Day Parade at Salt Lake City , Utah . We would like the same Parade route as last year from the Brigham Young Monument at South Temple and Main Street to 3rd South and Main Street then West to Pioneer Park and disband . We will also want to fire the 57 MM. Gun with the ten gage blanks three times as the Parade starts in Memory of our dead . Also while I am asking for the parade permit we would like to ask the Salt Lake City, Council for our $600 . 00 dollars Veterans Grave Marker Flag Honorium for Memorial Day 1990. And to invite the council members to come and: review the Parade in the reviewing stand that we would like place in front of the Utah Theater on Mains Street . Or if the Mayor or his Council members would like come take part in the Parade . Yours In Justice. Freedom & Patriotism , RO ERT V . CROSSLEY Adjutant United Veterans Council Salt Lake City & County 5403 Avalon Drive Murray , Utah 84107 • OFFICE OF THE 'CITY COUNCIL CITY AND COUNTY BUILDING 451 SOUTH STATE STREET, SUITE 304 SALT LAKE CITY, UTAH 84111 535-7600 MEMORANDUM To: Alan Hardman Date: September 19, 1989 From: Cam Caldwell Subject: CIP Budget You had asked Cindy about the CIP budget and the transfer of $3. 366 million to the Debt Service Fund. This money is equal to about 23% of the total CIP budget for the year. THe total CIP budget is $14, 581, 285. Of the $3. 366 total, $2.727 million comes from the General Fund. The total General Fund portion of the CIP budget is $4. 98 million. After transferring the money in the CIP for the payment of the City/County Building to the Debt Service Fund, there will be $2. 253 million left in the General Fund portion of the CIP budget to fund other City projects. A copy of the CIP budget, showing all expenditures is found on Page 62 of the 1989-90 budget. I have attached a xerox of that page. Please see me if you have additional questions. -1- 1ti1 CAPITAL IMPROVEMENT BUL_..f NON-ENTERPRISE FUND DETAIL PROJECT SCHEDULE 1989-90 BUDGET FED_,STATE GENERAL & COUNTY PROPERTY TOTAL FUND CDBG SOURCES OU:NERS OTHER STREET IMPROVEMENTS Sidewalk SID 210,000 105,000 105,000 Local Streets SID 990,000 490,000 500,000 400 South to 500 South 1,000,000 1,000,000 California Avenue SID 1,250,000 250,000 1,000,000 Cent'l Bus. Dist. Beautification 1,620,000 810,000 810,000 Traffic Safety Management (TSM) 60,000 60,000 Street Light Replacement Fund 135,000 135,000 100% Sidewalk Replacement 200.000 200,000 Argyle/Edmonds 85,000 85,000 Euclid Street 60,000 60,000 500 South-700/900 East 480.000 480,000 Median Island Design 25,000 25,000 Central City Streets 5.000 5,000 East Central Streets 8,000 8,000 Sugarhouse Streets 35.000 35,000 Future Street Redesign 15,000 15,000 Sub-total 6,178,000 790,000 913,000 1,250,000 2,415,000 810,000 DRAINAGE IMPROVEMENTS State Street 425.000 425,000 Main Street 395,000 395.000 South Temple-'M'/'O' Streets 250,000 250.000 500 4est-200/530 North 9,000 9,000 • 1 Sub-total 1,079,000 0 259,000 0 0 820,000 PARKS AND PUBLIC FACILITIES Canterbury Apartments 60,000 60.000 City and County Building 3,366,500 2,726.865 639,635 Miscellaneous Facilities Repair 150,000 150,000 Earthquake Hazard Improvements 100,000 100,000 Sunnyside Recreation Center 1,850,000 0 1,850,000 Tracy Aviary 150,000 150,000 Fire Station ){10 Construction 305,000 305,000 Park Facilities Fund 143,500 143,500 Jordan Park Irrigation/Walkways 95,000 95,000 Athletic Park Phase II 50,000 50,000 Poplar Grove Park Irrigation 73,000 73,000 Fairmont Park Improvement Design 10,000 10,000 Urban Forestry Planting 50,000 50,000 Marmalade Hill Center Rehab. 47,000 47,000 Glendale Youth Center Design 25,000 25,000 Sub-total 6,475,000 3,431,865 350,000 639,635 0 2,053,500 PERCENT FOR ART 16,400 8,250 2,150 6,000 CONTINGENCY 832,885 749,885 83,000 Grand Total $14,581,285 $4,980,000 $1,607,150 $1,889,635 $2,415,000 $3,689,500 62 1 - sy, ,. ,',^ '`4 . SAt a' ` -. _ 3Y , •. �O r e� a GTY�GORP ' INf, CRAIG E. PETERSON DIRECTOR COMMUNITY AND ECONOMIC DEVELOPMENT 451 SOUTH STATE STREET, ROOM 218 SALT LAKE CITY, UTAH 84111 TELEPHONE 535-7777 To: Salt Lake City Council September 8, 1989 Re: Petition No. 400-761 submitted by Sinclair/Little America by R.E. Holding Recommendation: That the City Council schedule a public hearing on October 10, 1989 at 6:30 p.m. to discuss Petition No. 400-761 submitted by Sinclair/Little America. The petitioner is requesting that Salt Lake City Corporation close Walker Place, Carson Street in Block 40 and Eardley Avenue in Block 21, Salt Lake City Survey. Availability of Funds: Not applicable. Discussion and Background: This petition is currently in the system and the necessary paperwork is not available. Due to the time constraints being faced by Sinclair/Little America we are requesting that the public hearing date be scheduled without the paperwork being attached. The paperwork will be in your packet before the October 10 hearing date. I will be meeting with each Council Member to discuss this project. Thank you for your help in this matter. bmitted by: M CHAEL~B.. Z 1 Acting Direc►or Community and Economic Development lf/ LEROY W. HOOTON, JR. DIRECTOR WENDELL E. ENDEN O P.E. �� 1 r l GAY Mann SUPERINTENDENT WATER SUPPLY&WATERWORKS E. TIM DOXEY SUPERINTENDENT DEPARTMENT OF PUBLIC UTILITIES WATER RECLAMATION WATER SUPPLY &WATERWORKS PALMER DEPAULIS JAMES M. LEWIS, C.P.A. WATER RECLAMATION MAYOR CHIEF FINANCE& ACCOUNTING OFFICER 1530 SOUTH WEST TEMPLE GEORGE JORGENSEN, RE. SALT LAKE CITY UTAH 84115 CHIEF ENGINEER August 28, 1989 Mayor Palmer A. DePaulis Room 306, City & County Building Salt Lake City, Utah 84111 Dear Mayor DePaulis: Attached is an interlocal agreement between Salt Lake City Corporation and Salt Lake County for the installation of Watermain Extension 33-C- 1314 located at approximately Warr Road, Wasatch Blvd to 3616 East and Cascade Way, 2900 South to 2945 South. I recommend that the agreement be executed in behalf of Salt Lake City by the Mayor and City Recorder. I further recommend that five copies of the agreement be returned to this office for further processing. Sincerely, iitO LEROY .V HOOTON JAR. Director /srb Attachments File S-11 RESOLUTION NO. OF 1989 AUTHORIZING THE EXECUTION OF AN INTERLOCAL COOPERATION AGREEMENT BETWEEN SALT LAKE CITY CORPORATION AND SALT LAKE COUNTY WHEREAS, Title 11, Chapter 13, U.C.A. , 1953, as amended, allows public entities to enter into cooperative agreements to provide joint undertakings and services; and WHEREAS, the attached agreement has been prepared to accomplish said purposes; THEREFORE, BE IT RESOLVED by the City Council of Salt Lake City, Utah: 1 . It does hereby approve the attached agreement generally described as follows: An Easement Agreement with the County for a water supply pipeline in Warr Road, from Wasatch Boulevard to 3616 East, and Cascade Way from 2900 South to 2945 South. 2. Palmer A. DePaulis, Mayor of Salt Lake City, Utah, is hereby authorized to execute said agreement on behalf of Salt Lake City Corporation and to act in accordance with its terms. Passed by the City Council of Salt Lake City, Utah, this day of , 1989 . SALT LAKE CITY COUNCIL By CHAIRPERSON ATTEST: CITY RECORDER - `1 — RLM:rc EASEMENT FOR PIPELINES THIS AGREEMENT, made and entered into this day of August , 19 89 , by and between the SALT LAKE COUNTY, a body of corporate and politic of the State of Utah, hereinafter referred to as "COUNTY, " and Salt Lake City Corporation Dept tf Ptah]it Liti 1 i t i aq hereinafter called "GRANTEE. " WITNESSET H: WHEREAS, the Grantee is desirous of obtaining from the County an easement to construct, and thereafter maintain and operate pipelines within the right-of-way limits of COUNTY roads and highways within the COUNTY and immediately adjacent thereto for the purpose of water Supply ; and WHEREAS, the COUNTY is willing to grant said easement under the terms and conditions herein set forth, NOW, THEREFORE, it is agreed by and -between the parties hereto as follows: 1. LOCATION OF PIPELINES. (Address) Warr Road, Wasatch Blvd to 3616 East and Cascade way, 2900 South to 2945 South Length of Cut (Feet) 1,275 feet Cod mgdmix, Owner, Corp. , Co. , etc. Address Dept of Puhl it TTti 1 itiPs 1 53(l Snitth West Temple, Salt Take City, Utah 8411 The pipelines to be installed, the diameter of which shall not exceed forty-two (42) inches shall consist of 6-inch Ductile Iron pipe, satisfactory to the COUNTY in all respects. The location of the pipelines within the roads and highways, on one or both sides shall be as near the right-of-way lines as practicable in accordance with the plans, specifications and maps prepared by Dept of Public Utilities Engineers and on file in the offices of the parties hereto. The foregoing description of pipeline location is subject to such changes or variations therefrom as may be required or approved by the County Public Works Department at the time of construction. Following completion of construction the foregoing numbered detail sheets will be furnished showing distance from right-of-way line to pipeline center lines on all roads and highways where said pipelines are installed. 2 . APPROVAL OF CONSTRUCTION. The excavation of trench for said pipelines shall not be commenced by the GRANTEE until and after notice has been given by the GRANTEE, to said County Public Works Department. Construction shall be carried forward to completion in the manner required by said Department. 3 . PROTECTION OF TRAFFIC DURING CONSTRUCTION. The GRANTEE shall so conduct its construction operation that there shall be a minimum of interference with or interruption of highway traffic. The GRANTEE shall conform to such instruction of said Department as may be given with respect to handling of traffic, and shall at all times maintain such watchmen, barricades, lights or other measures for the protection of traffic as may be required to warn and safeguard the public against injury or damage during the operations of the GRANTEE in constructing said pipelines. 4 . COMPACTION OF BACKFILL. The backfill of any trench within the paved portion of the highway, the shoulders thereof, or the portion under or intersecting street or highway shall be thoroughly compacted. Method of compaction shall be as directed by 2 the COUNTY. The GRANTEE shall be liable for any damage which may result to the pavement due to failure to properly compact the backfill. 5. RESTORATION OF EXISTING PAVEMENT. The GRANTEE shall replace, at its expense, any pavement removed or damaged with the same type and depth of pavement as that which is adjoining, including the gravel base material. This pavement shall be constructed in conformity with the standard specifications and shall be subject to the inspection and approval of the Public Works Department of the COUNTY. If weather conditions do not permit immediate placing of permanent pavement, a temporary pavement shall be placed until such time as weather conditions are favorable, at which time the temporary pavement shall be removed and replaced with a permanent pavement. If the gravel surface, gravel shoulders, or gravel surfaced approach roads become fouled with clay or other unsuitable materials, such entire surfacing shall be removed and replaced with a new gravel surfacing material. No cleated or metal crawler type equipment shall be permitted to operate on any COUNTY hard surfaced street. The repairs to pavement or surface shall include pavements which might have been damaged with construction equipment. The COUNTY shall have the option of restoring said roadbed to its original condition in every part of said highway at the expense of the GRANTEE. 6. DISPOSAL OF SURPLUS MATERIAL IN CLEANING UP HIGHWAY. Upon completion of the work, all surplus material shall be removed from within the limits of the highway. The disturbed surface shall be carefully graded to the lines and grades established. Any highway facilities such as signs, culverts, etc. , disturbed or damaged during the progress of the work shall be properly restored to their original condition. 7. MAINTENANCE OF PIPELINES BY GRANTEE The said pipelines and their attached appurtenances, excluding fire hydrants 3 and the connecting system thereof, shall at all times be maintained, _epaired, reviewed and operated by and at the expense of the GRANTEE in such a manner as shall most suitably protect the highway and the traffic thereon, and shall be subject to the approval of the COUNTY. In the event emergency repairs of reconstruction of said pipelines or appurtenances are required as determined by COUNTY, and after notice in writing requiring GRANTEE to perform said repairs or reconstruction within a reasonable time, and upon a failure of GRANTEE to complete said repairs or reconstruction, the COUNTY reserves the right to make such emergency repairs to said pipelines as it may consider necessary and the GRANTEE hereby agrees to reimburse the COUNTY for the cost of such emergency reconstruction or repairs. 8. RECONSTRUCTION OF HIGHWAY. In the event that any of said highways or portion thereof is so reconstructed at any future date as to location, grade or width so as to require the relocation of the waterline or lines thereon, or adjustment of manholes or other facility thereof, including service connections (except for any fire hydrants, including the connecting system thereof) , the Grantee shall assume and pay all costs incident to relocationof the pipeline or adjustment of manholes or other facilities thereof including service connections. 9. CROSSING OF PIPELINE IN EXPANSION OF HIGHWAY SYSTEM. It is expressly understood and agreed by the parties hereto and as part of the consideration for this agreement that the County shall have the right to cross said pipelines at any point necessary in the future construction and expansion of the COUNTY highway system, provided that the COUNTY shall use due care and diligence in the protection of said pipelines in making such crossings. 4 10. LIABILITY. Any supervision or control exercised by the COUNTY, or on its behalf, shall in no way relieve the GRANTEE of any duty or responsibility to the general public, nor relieve said GRANTEE from any liability for loss, damage, or injury to persons or property sustained by reason of the installation, maintenance, repair or removal of the pipelines and its appurtenances, nor of said GRANTEE's LIABILITY for damage to the highway, and the GRANTEE shall protect and indemnify and save harmless the COUNTY from any and all damages, claims or injuries that may occur by reason of the construction, maintenance, repair or removal of said pipelines by the GRANTEE provided. This agreement shall not constitute an admission of any liability as to any third party or give to any third party any greater or further right of cause of action. It is understood and agreed that neither the COUNTY nor the GRANTEE by entering into this agreement acknowledge any liability for any acts of negligence, whether of omission or commission, of any of its agents, servants or employees. 11. AGREEMENT NOT TO BE ASSIGNED. The Grantee shall not assign this agreement or any interest therein without the written consent of the COUNTY. 12 . SUCCESSORS AND ASSIGNS. All covenants and agreements herein contained shall be binding upon the parties hereto, their successors and assigns. 13 . SUBJECT TO. This easement is subject to the right of the COUNTY at all times as the COUNTY deems necessary to construct roads, public buildings, sidewalks, parks or to carry out any other COUNTY purpose over the area covered by this easement, and when the GRANTEE ' s lines, structures and appurtenances or any of them interfere with any COUNTY purpose, the GRANTEE 5 will remove such lines, structures or appurtenances within a reasonable time :.ter notice to do so by the GRANTOR and at the expense of the GRANTEE. IN WITNESS WHEREOF, the COUNTY and the GRANTEE have caused these presents to be signed by their proper officials thereunto duly authorized as of the day and year first above written. SALT LAKE COUNTY By: D. MICHAEL STEWART, Chairman Board of County Commissioners ATTEST: H. DIXON HINDLEY Salt Lake County Clerk GRANTEE: SALT LAKE CITY CORPORATION A1'1'LST: City Recorder MAYOR STATE OF UTAH ) :ss COUNTY OF SALT LAKE) The foregoing instrument was acknowledged before me this day of , 1989, by , who is the of NOTARY PUBLIC, residing in Salt Lake County, State of Utah (SEAL) My Commission Expires: 6 STATE OF UTAH ) County of Salt Lake ) On , personally appeared before me PAMER A. DePAULIS and KATHRYN MARHSALL, who being by me duly sworn, did say that they are the MAYOR and CITY RECORDER, respectively, of SALT LAKE CITY CORPORATION, and said persons acknowledged to me that said corporation executed the same. NOTARY PUBLIC, residing in Salt Lake County, Utah My Commission Expires: sAR!' el our WORPrO. yI ; N[ JOSEPH R. ANDERSON DUANE E. FULLER PUBLIC WORKS DIRECTOR DEPARTMENT OF PUBLIC WORKS SUPERINTENDENT Street Maintenance Division CRAIG POSSELLI 850 SOUTH 300 WEST PARVIZ ROKHVA SALT LAKE CITY, UTAH 84101 GREG RICHARDS (801) 535-6999 ASSISTANT SUPERINTENDENTS TO: Salt Lake City Council REFERENCE: Resolution to execute a cooperative effort between the State of Utah and Salt Lake City Corporation for street sweeping. RECOMMENDATION: That the City Council approve the enclosed agreement as to form and authorize Mayor Palmer A. DePaulis to execute the Cooperative Agreement with the Utah State Department of Transportation. DISCUSSION: The Utah State Department of Transportation has requested that Salt Lake City Corporation accomplish street sweeping on their highways located within the incorporated limits of Salt Lake City. This particular agreement excludes sweepings if the Utah State Department of Transportation has recently seal coated, resurfaced or a major spill from a truck has occurred. If a major spill has occurred it will be the Utah State Department of Transportation's responsibility to either request assistance from Salt Lake City or accomplish the cleanup situation themselves. The street seeping on Utah State highways will be required twice a year; once in early Spring and once in late Fall. Seeping will be accomplished by the Salt Lake City Street Maintenance Department at the rate of $39.04 per curb or island mile. The agreement will be from July 1, 1989 to June 30, 1990 and the estimated total cost is $8,000. All work will be approved and inspected by Utah State Department of Transportation upon completion. CONTACT PERSON: Craig Posselli SUBMITTED BY: Joseph R. Anderson, Public Works Director RESOLUTION NO. OF 1989 AUTHORIZING THE EXECUTION OF AN INTERLOCAL COOPERATION AGREEMENT BETWEEN SALT LAKE CITY CORPORATION AND UTAH DEPARTMENT OF TRANSPORTATION WHEREAS, Title 11, Chapter 13, U.C.A. , 1953, as amended, allows public entities to enter into cooperative agreements to provide joint undertakings and services; and WHEREAS, the attached agreement has been prepared to accomplish said purposes; THEREFORE, BE IT RESOLVED by the City Council of Salt Lake City, Utah: 1 . It does hereby approve the attached agreement generally described as follows: An agreement with UDOT whereby the City agrees to sweep certain streets for which it will be paid by UDOT. 2. Palmer A. DePaulis, Mayor of Salt Lake City, Utah, is hereby authorized to execute said agreement on behalf of Salt Lake City Corporation and to act in accordance with its terms. Passed by the City Council of Salt Lake City, Utah, this day of , 1989 . SALT LAKE CITY COUNCIL By CHAIRPERSON ATTEST: CITY RECORDER RLM:rc ;5}t Laka �, 5c Date) M-89-27 COOPERATIVE AGREEMENT We, the duly authorized officers of the UTAH DEPARTMENT OF TRANSPORTATION, hereby approve the following work to be done by the SALT LAKE CITY CORPORATION for which we agree to pay upon presentation of invoice for said work as follows: (Description of Work) Street sweeping of all areas of Utah Department of Transportation responsibility of highways as shown on attached sheet and within the incorporated limits of Salt Lake City, but excluding sweeping following Utah Department of Transportation resurfacing, seal coating, and major spillages from trucks loosing their loads . The sweeping will be required a minimum of twice, once in early Spring and again in late Fall . Sweeping will be done by Salt Lake City Street Department at the rate of $39.04 per curb mile or island mile. SALT LAKE CITY CORPORATION assumes all responsibility and/or liability of claims arising from work performed and agrees to furnish and maintain their own equipment and operators. Upon completion SALT LAKE CITY STREET DEPARTMENT will notify the UTAH DEPARTMENT OF TRANSPORTATION's District Two Maintenance Office for inspection and approval of work. Invoice is to be submitted upon completion of said sweeping, but not later than June 30th of each year. This Agreement is for a period from July 1 , 1989 to June 30, 1990, at which time it can be renewed if both parties agree. Approximate Total Cost: $8,000.00 SALT LAKE CITY CORPORATION C Recommended by:./ ) By: District Direct()' 6/Y Mayor ATTEST: APPROVED: UTAH DEPARTMENT OF TRANSPORTATION City Recorder By: Director of Transportation APPROVED AS TO FORM: ATTEST: R. Paul Van Dam, Attorney General By: By: Secretary date Title: APPROVED: FINANCE COMMISSION By: Budget Officer By: 026OR Director of Finance M-89-27 UTAH DEPARTMENT OF TRANSPORTATION STREET CLEAN-UP CURB/GUTTER ISLANDS S.R. NO. NORTH-SOUTH STREETS MILES MILES 186 - 89 300 West - from 400 South to 2100 North Beck Street 7 .8 7.8 270 West Temple - 900 South to 400 South 1 .6 0.2 184 - 89 State Street and perimeter at Capitol - 9.8 6.0 500 North to 2100 South 71 700 East - 400 South to 2800 South 7 .2 7 .2 181 1300 East - 500 South to 3000 South 7.4 2 .6 186 Foothill Drive - 500 South & 1300 East to I-80 8.4 7 .8 EAST-WEST STREETS 89 - 186 North Temple - State Street to 1700 West 4.0 1 .8 186 400 & 500 South - 300 West to 1300 East 5.0 5 .0 269 500 South - I-15 to State Street 1 .0 269 600 South - I-15 to State Street 1 .0 201 2100 South - I-15 to State Street 1 .8 1 .4 268 600 North - 300 West to 800 West 1 .4 1 .4 TOTALS 56.4 41 .2 0260R/2 F-4-1, 1 7','- State o � Utah ,, '°I UTAH DEPARTMENT OF TRANSPORTATION Samuel J.Taylor Norman H.Bangerter Chairman Governor Wayne S.Winters Eugene H.Findlay,C.P.A. Vice Chairman Executive Director ,j 2060 South 2400 West R.Lavaun Cox Howard H.Richardson,P.E. ! Salt Lake City.Utah 84104 Todd G.Weston Assistant Director i (801)973-4506 James G.Larkin Gene Sturzenegger,P.E. Elva H.Anderson District Director Secretary July 21 , 1989 Ms. Jackie Faddis Office of the Mayor RECEIVrr Salt Lake City Corporation 324 South State Street - Suite 500 AUG 01 1989 Salt Lake City, Utah 84111 MAYOR'fi fFF;;;r Dear Jackie: I am enclosing six (6) copies of a Cooperative Agreement between the Utah Department of Transportation and Salt Lake City Corporation for work (street sweeping) to be done by Salt Lake City Corporation as outlined in the attachment to the Cooperative Agreement. I would appreciate you obtaining the necessary signatures from Salt Lake City Corporation and returning five (5) copies to my attention. After I get the rest of the signatures , I will return a completed copy for your files. If you have any questions, please feel free to contact me. Sincere , ' ; 4----' \T"\)\__7__ ) Rita Ryan Main enance Secretary 0541 cc : Joseph C. McBride Bob Charlesworth Gloria Hunt an equal opportunity employer 1-4 SALT' \ a.' GITY�0CPR� �.►° . ►Lp j ,, /\ ..��r � � �. C (ice 1• VIV_ TELEPHONE(801)799-3000 315 EAST 200 SOUTH MIKE CHABRIES FAX(801)799-3557 SALT LAKE CITY, UTAH 84111 CHIEF OF POLICE August 18 , 1989 Honorable Palmer A. DePaulis Mayor of Salt Lake City City & County Building Salt Lake City, UT 84111 Dear Mayor DePaulis: - I would like to request that the enclosed contract between the Salt Lake City District Board of Education and the Police Department be processed. This contract will provide for the services of one full-time police officer each assigned to the Northwest Intermediate School and the Glendale Intermediate School during the school year, beginning with 1989-1990 and continuing each year until terminated by either party. The Board of Education will reimburse the city $12,000 for each officer for the 1989- 1990 school year. Beginning with the 1990-1991 school year the reimbursement will be one-half of the gross salary, including taxes and fringe benefits. These officers will be existing personnel of the Police Department . Your assistance in this matter would be appreciated. Sinc rely, j77 G. ED JOHN N, LT. COLONEL Administration /cah Enclosure 315 EAST 200 SOUTH _ TELEPHONE(801)799-3000 .�r+�,'- MIKE CHABRIES FAX(801)799-3557 SALT LAKE CITY, UTAH 84111 CHIEF OF POLICE P 1969 MAYOR'S C1f-I-Wil To: Emily Charles September 5 , 1989 From: Jerry Burton, Police Department RE: Attached packet for council review We have been requested by Cindy of the Council staff to send this packet of information to you for the necessary processing for council review. Included is the cover letter to the mayor, copies of the agreements and a letter from the attorney ' s office. Your help in this matter is appreciated . ROGER F. CUTLER ASSISTANT ATTORNEYS CITY ATTORNEY S,.�.�I,_,1)k j NIT Gj�, _1 MIME RAY L. MNTGOM GRE A. HAWK E Y STEVEN W. ALLRED DEPUTY CITY ATTORNEY LAW DEPARTMENT LARRY V. SPENDLOVE BRUCE R. BAIRD CHERYL D. LUKE CITY AND COUNTY BUILDING FRANK M. NAKAMURA CITY PROSECUTOR 451 SOUTH STATE STREET, SUITE 505 ASSISTANT PROSECUTORS CECELIA M. ESPENOZA SALT LAKE CITY, UTAH 84111 RICHARD G. HAMP TELEPHONE (801) 535-7788 GLEN A. COOK FAX (801) 535-7640 CARLOS ESQUEDA August 25, 1989 TO: Jerry Burton Police Department FROM: Frank M. Nakamur '�_ Assistant City ttorney RE: Contract with Board of Education of Salt Lake City The contract between Salt Lake City and the Salt Lake City District Board of Education requires a Resolution by the City Council approving the interlocal agreement. I am attaching a copy of the Resolution. Therefore, before the agreement is finalized, the Resolution must be passed. Thank you. FMN:cc RESOLUTION NO. OF 1989 AUTHORIZING THE EXECUTION OF AN INTERLOCAL COOPERATION AGREEMENT BETWEEN SALT LAKE CITY CORPORATION AND BOARD OF EDUCATION OF SALT LAKE CITY, UTAH WHEREAS, Title 11 Chapter 13 of the Utah Code Annotated 1953 as amended allows public entities to enter into cooperative agreements to provide joint undertakings and services; and WHEREAS, the attached agreement has been prepared to accomplish said purposes; THEREFORE, be it resolved by the City Council of Salt Lake City, Utah: 1 . That it does hereby approve the attached agreement generally described as follows: An interlocal cooperation agreement providing for the services of a full time police officer for Northwest and Glendale Intermediate Schools in Salt Lake City. 2 . Palmer A. DePaulis , Mayor of Salt Lake City, Utah is hereby authorized to execute said agreement on behalf of Salt Lake City Corporation and to act in accordance with its terms . Passed by the City Council of Salt Lake City this day of , 1989 . SALT LAKE CITY COUNCIL CHAIRPERSON ATTEST: S`O FORM a,,ke City Attorney's Office Gete -29- 4YY CITY RECORDER ` y FMN:cc CO . TRACTT ROUTING FORM REQUESTING DEPARTMENT/DIVISION DATE SLC POLICE DEPARTMENT / ADMINISTRATION 08/18/89 DEPARTMENTAL CONTACT PHONE JERRY BURTON, BUDGET OFFICE 799-3824 NAME OF CONTRACTING PARTY REF # SLC DISTRICT BOARD OF EDUCATION SUBJECT SCHOOL RESOURCE OFFICERS - (1) NORTHEST INTERMEDIATE, (1) GLENDALE INTERMEDIATE Yes No Number of Copies 4 Insurance Required X Expected Completion Insurance Attached RECORDER FINANCE Contract No. ��2 - 9f 0/OCR Vendor No. Account No. 1) -- 66)(N7 /f% '7 5 lT AUG 217989 FINANCE DIVISION Funds Available Funds Not Neede &247 ATTORNEY I� pSo APPROVED AS TO FORM Ij RECEIVED � �� C"' CITY ATTORNEY'S OFFICE Date -27- By Cov4I DATE F. .; COPY DISTRIBUTION Date To AGREEMENT THIS AGREEMENT made this day of 1989 , by and between SALT LAKE CITY CORPORATION, a municipal corporation of the State of Utah, hereinafter referred to as "CITY" and the BOARD OF EDUCATION OF SALT LAKE CITY, UTAH hereinafter referred to as "BOARD" . WITNESSET H: WHEREAS , Board and City have each determined that it would be mutually advantageous for Board to avail itself of the ser- vices of a full-time police officer for Northwest and Glendale Intermediate Schools in Salt Lake City; and WHEREAS , City will make two ( 2 ) fully-trained officers available for said purpose and Board will reimburse City $12 , 000 for each officer for the school year 1989-90 . NOW, THEREFORE, in consideration of the premises and the covenants and promises hereinafter contained, it is agreed by and between the parties hereto as follows : 1 . That City shall furnish to Board two ( 2 ) fully-trained police officers from City police officers from City Police Department ; one officer to be assigned to Northwest Intermediate School and one to be assigned to Glendale Intermediate School . 2 . That said officers shall be so assigned for duty at said schools until and including the completion of school year 1989 and during subsequent school years until this Agreement is terminated by either party upon presentation of thirty days ' written notice to the other. Upon such termination, the Board - 2 - shall pay the city for the services of its officers through the effective date of cancellation. 3 . That Board shall be permitted to screen the officers selected to be used for these purposes , but final selection shall be left to City and its Police Department. 4 . That the hours and days of employment of said officers are to be agreed upon mutually between the Chief of Police of Salt Lake City and the School Board , including overtime hours. 5 . It is specifically understood that the ultimate juris- diction and authority of said officer shall be and remain in City and its Police Department . However , Board and City may, from time to time , agree upon general nature of the duties and func- tions of the officer . 6 . That Board shall reimburse City for the aforesaid service of said officers at the rate of $12 , 000 for each officer during the school year of 1989-90 . Beginning with school year 1990-91 the Board shall reimburse the City for 1/2 of the gross salary of the officers , including all employer taxes and fringe benefits. City shall bill Board during the first week following the end of each quarter, and Board shall pay said bill within 30 days of billing . IN WITNESS WHEREOF, the parties to this agreement have here- unto set their hands and seals the day and year first above written. - 3 - SALT LAKE CITY CORPORATION MAYOR ATTEST: Ey CITY RECORDER BOARD OF EDUCATION OF SALT LAKE CITY, UTAH ATTEST: By Clerk-Treasurer Title: President STATE OF UTAH : ss . County of Salt Lake 1 On the day of , 1989 , personally appeared before me PALMER DEPAULIS and KATHRYN MARSHALL, the signers of the foregoing instrument , who being by me duly sworn, did say that they are the Mayor and City Recorder, respectively, of SALT LAKE CITY CORPORATION, a municipal corporation of the State of Utah, and said persons acknowledged to me that said corporation executed the same . NOTARY PUBLIC , residing in Salt Lake County, Utah My Commission Expires : Funds Av;:ifable Dade 22 9 Encumbered 9g/o O By - 4 - STATE OF UTAH . ss . County of Salt Lake ) On the day of , 1989 , personally appeared before me and who being by me duly sworn, did say that they are the President and Clerk-Treasurer, respectively, of the BOARD OF EDUCATION OF SALT LAKE CITY, UTAH; and that said agreement was executed by them on behalf of said Board by authority of a Resolution ( or bylaws ) of its Board of Directors ; and said persons acknowledged to me that said corporation executed the same . NOTARY PUBLIC , residing in Salt Lake City My Commission Expires : l \ STAFF RECOMMENDATION CANVASS OF PRIMARY ELECTION SEPTEMBER 19, 1989 STAFF RECOMMENDATION BY: Cindy Gust-Jenson ACTION REQUESTED BY COUNCIL: Convene as Board of Canvassers and authorize the City Recorder to prepare abstract of the votes cast (tally) for the primary election. BACKGROUND INFORMATION: This is a technical legal requirement. The Council and Mayor together make up the Board of Canvassers. STAFF ANALYSIS: None. RECOMMENDED ACTION: Convene, adopt motion, recess. SUGGESTED MOTIONS: 1. I move we adjourn as the City Council. (Council Members vote) 2. I move we convene with the Mayor as the Board of Canvassers. (Council Members and Mayor vote) 3. I move we authorize the City Recorder to prepare an abstract of the votes cast in the primary election to be held October 3, 1989, for Council Members of Districts 1, 3, 5, and 7. (Council Members and Mayor vote) 4. I move we recess as the Board of Canvassers until the abstract is complete. (Council Members and Mayor vote) 5. I move we reconvene as the City Council. (Council Members vote) ANTICIPATED OPPOSITION: None RECEIVEr SEP 11 1989 MR YOI '.0 OH ICL S.:\ ' a T�Y.��� ,° e-IOI11 ADMINISTRATIVE SERVICES DEPARTMENT City Recorder KATHRYN MARSHALL 415 CITY AND COUNTY BUILDING PALMER DEPAULIS CITY RECORDER 451 SOUTH STATE STREET MAYOR SALT LAKE CITY, UTAH 84111 (801) 535-7671 September 11, 1989 To: The Mayor and Sal Lake City Council From: Kathryn Marsha ity Recorder Re: Canvass of Primary E1 ction RECOMMENDATION: That the Mayor and City Council convene as the Board of Canvassers on September 19, 1989 at 6:00 p.m. at their regular meeting place to adopt a motion authorizing the City Recorder to prepare an abstract of the votes cast in the primary election to be held October 3, 1989, for Councilmembers of Dis- tricts 1, 3, 5, and 7, and recess the Board until the abstract is complete. DISCUSSION: Pursuant to State Statute 20-5-60, the canvass of the election returns for 1989 must be scheduled within seven days of the election. That statute also provides that the Mayor and City Council will assist the City Recorder as the Board of Can- vassers and that the returns of the election will be opened in the presence of the Board of Canvassers. In the past, the Mayor and Council have convened as the Board of Canvassers and recessed until such time as the Recorder has prepared abstracts of the votes cast for each office. The Mayor and Council will then reconvene to determine that the statement prepared from the abstract of votes is correct and sign a certi- fication which will determine which candidates received the greatest number of votes and, therefore, are nominated. Chapman and Cutler r Draft of 09/14/89 r -f Salt Lake City, Utah September 19, 1989 The Municipal Council of Salt Lake City, Salt Lake County, Utah (the "Municipal Council"), pursuant to due notice met in regular public session on September 19, 1989 at the hour of 6:00 o'clock P.M., at the regular meeting place of the Municipal Council in Room 315 in the City and County Building, 451 South State Street, in Salt Lake City, Utah. The meeting was duly called to order by Councilmember who was conducting, with the following members being present, constituting a quorum of the Municipal Council: W. M. (Willie) Stoler Chair Alan G. Hardman Vice Chair Florence Bittner Councilmember Thomas M. Godfrey Councilmember Sydney R. Fonnesbeck Councilmember L. Wayne Horrocks Councilmember Roselyn Kirk Councilmember Absent: None. There were also present: Palmer A. DePaulis Mayor Kathryn Marshall City Recorder Roger F. Cutler City Attorney. Series 1987 Weekly Adjustable/Fixed Rate Airport Facilities Revenue Bonds, (Delta Air Lines, Inc. Project) The City Recorder presented to the Municipal Council an affidavit evidencing the giving of not less than twenty-four (24) hours public notice of the agenda, date, time, and place of the September 19, 1989, regular meeting of the Municipal Council in compliance with the requirements of Section 52-4-6(2), Utah Code Annotated 1953, as amended, by (1) posting written notice of the meeting at the principal office of the Municipal Council, and (2) providing notice to at least one newspaper of general circulation within the geographic jurisdiction of Salt Lake City, Utah, or to a local media corre- spondent. The affidavit was ordered recorded in the minutes of the meeting and is as follows: -2- STATE OF UTAH ) ) COUNTY OF SALT LAKE ) I, Kathryn Marshall, the duly qualified and acting City Recorder of Salt Lake City, Salt Lake County, Utah, do hereby certify, according to the records of said City in my official possession, and upon my own knowledge and belief, that in accordance with the requirements of Section 52-4-6(2), Utah Code Annotated 1953, as amended, I gave not less than twenty-four (24) hours public notice of the agenda, date, time, and place of the September 19, 1989, regular public meeting held by the Municipal Council of Salt Lake City, Salt Lake County, Utah, by: (a) causing a Notice of Public Meeting to be posted at the principal office of the Municipal Council at Room 315, City and County Building, 451 South State Street, in Salt Lake City, Utah, on September , 1989 at least twenty-four (24) hours before the convening of the meeting, in the form attached hereto as Exhibit A; said Notice of Public Meeting having continuously remained so posted and available for public inspection during regular office hours until the convening of the meeting; and (b) causing a copy of the Notice of Public Meeting in the form attached hereto as Exhibit A to be provided on September , 1989, at least twenty-four (24) hours before the convening of the meeting, to The Salt Lake Tribune and the Deseret News, newspapers of general circulation within the geographic jurisdiction of Salt Lake City, Utah, and to each local media correspondent, newspaper, radio station, or television station which has requested notification of meetings of the Municipal Council. IN WITNESS WHEREOF, I have hereunto subscribed my official signature and impressed hereon the official seal of Salt Lake City, Salt Lake County, Utah, this 19th day of September, 1989. Kathryn Marshall City Recorder Salt Lake City, [SEAL] Salt Lake County, Utah -3- EXHIBIT A [Attach Copy of Meeting Notice] A-1 Thereupon, after the conduct of other business not pertinent to the following, the following resolution was introduced in written form by Councilmember and, pursuant to motion duly made by Councilmember and seconded by Councilmember , was adopted and approved by the following vote: Aye: W. M. (Willie) Stoler Alan G. Hardman Florence Bittner Thomas M. Godfrey Sydney R. Fonnesbeck L. Wayne Horrocks Roselyn Kirk Nay: None Absent: None. The resolution was thereupon presented to and approved and signed by the Mayor in open meeting, was approved as to form and signed by the City Attorney, was signed by the Chairperson of the Municipal Council, and was attested and recorded by the City Recorder in the official records of said City. The resolution is as follows: -4- RESOLUTION NO. OF 1989 A RESOLUTION AUTHORIZING THE EXECUTION AND DELIVERY OF A FIRST SUPPLEMENTAL TRUST INDENTURE BETWEEN THE CITY AND ZIONS FIRST NATIONAL BANK, AS TRUSTEE, AND AN ADDENDUM TO THE PURCHASE CONTRACT BETWEEN DELTA AIR LINES, INC. AND SMITH BARNEY, HARRIS UPHAM do CO. INCORPORATED, AND A REMARKETING MEMORANDUM IN CONNECTION WITH THE REMARKETING AND CONVERSION TO A FIXED INTEREST RATE OF THE $22,000,000, SALT LAKE CITY, SALT LAKE COUNTY, UTAH WEEKLY ADJUSTABLE/FIXED RATE AIRPORT FACILITIES REVENUE BONDS, SERIES 1987 (DELTA AIR LINES, INC. PROJECT) AND OTHER DOCUMENTS REQUIRED IN CONNECTION THEREWITH; AUTHORIZING THE TAKING OF ALL OTHER ACTIONS NECESSARY TO THE CONSUMMATION OF THE TRANSACTIONS CONTEMPLATED BY THIS RESOLUTION; AND RELATED MATTERS. WHEREAS, Salt Lake City, Salt Lake County, Utah (the "City"), a municipal corporation duly organized and existing as a political subdivision of the State of Utah, is authorized by the Utah Industrial Facilities and Development Act, Title 11, Chapter 17 of the Utah Code Annotated 1953, as amended (the "Act"), to issue revenue bonds for the purpose of defraying the cost of any "project", as defined in Section 11-17-2(2) of the Act, and to secure the payment of such revenue bonds as provided in the Act; and WHEREAS, in order to stimulate economic growth of the State and the City, to promote employment and achieve greater industrial development and to protect and promote the health, welfare, and safety of the citizens of the State and the City, the City has heretofore (1) issued its $22,000,000 Weekly Adjustable/Fixed Rate Airport Facilities Revenue Bonds, Series 1987 (Delta Air Lines, Inc. Project) (the "Bonds") pursuant to a Trust Indenture, dated as of June 1, 1987 (the "Indenture"), between the City and Zions First National Bank, as Trustee (the "Trustee"); and (2) caused the proceeds of the sale of the Bonds to be used to finance the costs of certain airport facilities at the Salt Lake City International Airport and leased by the City to Delta Air Lines, Inc. (the "Company") under the terms of an Exempt Facilities Lease Agreement, dated as of June 1, 1987, between the City and the Company; and WHEREAS, the Company has delivered its Option to Convert Notice, as defined in, and pursuant to Section 2.2(b)2. of the Indenture and in connection with such conversion, the Bonds are subject to mandatory tender for purchase by the owners thereof who do not elect to retain such Bonds; and WHEREAS, the Company has requested that the City execute and deliver a First Supplemental Trust Indenture dated as of October 1, 1989 between the Issuer and the Trustee (the "First Supplemental Indenture") to reflect-provisions including, but not limited to the following: -5- (1) changing the periods during which the Bonds will be subject to optional redemption on and after the Fixed Rate Conversion Date; and (2) authorizing a modified form of Bond which reflects the establishment of a Fixed Rate on the Bonds by deleting provisions in the form of Bond which will not be applicable following the Fixed Rate Conversion Date; WHEREAS, the Company has requested the City to execute an addendum to a Purchase Contract between the Company and Smith Barney, Harris Upham & Co., Incorporated (the "Purchase Contract") and to authorize the use of a preliminary Remarketing Memorandum and a final Remarketing Memorandum in connection with any remarketing of the Bonds; and WHEREAS, there have been presented to the Municipal Council at the meeting at which this resolution is adopted the proposed forms of such agreements. NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF SALT LAKE CITY, SALT LAKE COUNTY, UTAH, AS FOLLOWS: SECTION 1. Execution of First Supplemental Indenture; Form of Bonds. The First Supplemental Indenture, in substantially the form attached hereto as Annex A, is hereby authorized and approved, and the Mayor is hereby authorized, empowered and directed to execute and deliver the First Supplemental Indenture on behalf of the City, and the City Recorder is hereby authorized, empowered and directed to attest such execution and to countersign, and to affix the corporate seal of the City to the First Supplemental Indenture, with such changes to the First Supplemental Indenture from the form attached hereto as are approved by the Mayor, his execution thereof to constitute conclusive evidence of such approval. The form of the Bonds contained in the First Supplemental Indenture is hereby approved. SECTION 2. Execution of Addendum to Purchase Agreement. The addendum to the Purchase Contract, in substantially the form attached hereto as Annex B, is hereby authorized and approved, and the Mayor is hereby authorized, empowered and directed to execute and deliver, on behalf of the City, and the City Recorder is hereby authorized, empowered and directed to attest such execution and to countersign, and to affix the corporate seal of the City to the addendum to the Purchase Contract, all with such changes therein from the form attached hereto as are approved by the Mayor, his execution thereof to constitute conclusive evidence of such approval. SECTION 3. Distribution of Remarketing Memorandum. Distribution of the preliminary Remarketing Memorandum is hereby approved and the Mayor is hereby authorized to execute a final Remarketing Memorandum, in substantially the form attached hereto as Annex C, to be circulated in connection with the remarketing of the Bonds and to be in substantially the form to be approved by the Mayor; provided, that this authorization does not apply to the information with respect to the Company contained in the preliminary Remarketing Memorandum or the final Remarketing Agreement, but nothing herein shall be construed as prohibiting the inclusion of such information pursuant to authorization from the Company. -6- SECTION 4. Related Actions Authorized. The officers and employees of the City shall take all action necessary or reasonably required to carry out, give effect to, and consummate the remarketing of the Bonds, including, without limitation, the execution and delivery of any closing certificates, opinions and other documents required to be delivered in connection therewith pursuant to the Purchase Contract or otherwise. If the Mayor or the City Recorder shall be unavailable to execute such documents that they are hereby authorized to execute, the same may be executed by any other member of the Municipal Council or by any Deputy City Recorder, respectively. SECTION 5. City Recorder to Record Resolution and First Supplemental Indenture. A copy of this resolution and a copy of the First Supplemental Indenture, following its execution and delivery, shall be recorded by the City Recorder in the records of the City. SECTION 6. Resolution Irrepealable. Following the execution and delivery of the First Supplemental Indenture and subject to any supplements or amendments hereto, this resolution shall be and remain irrepealable until the Series 1987 Bonds and the interest thereon shall have been fully paid, canceled, and discharged. SECTION 7. Severability. If any section, paragraph, clause, or provision of this resolution shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section, paragraph, clause, or provision shall not affect any of the remaining provisions of this resolution. SECTION 8. Effective Date. This resolution shall be effective im- mediately upon its approval and adoption. ADOPTED AND APPROVED by the Municipal Council of Salt Lake City, Salt Lake County, Utah, this 19th day of September, 1989. SALT LAKE CITY, SALT LAKE COUNTY, UTAH [SEAL] By W.M. (Willie) Stoler ATTEST: Chair of the Municipal Council, Salt Lake City, Salt Lake County, Utah By Kathryn Marshall City Recorder, Salt Lake City, Salt Lake County, Utah -7- APPROVED: By Palmer A. DePaulis Mayor APPROVED as to form: By Roger F. Cutler City Attorney -8- (Other business not pertinent to the above appears in the minutes of the meeting.) Upon the conclusion of all business and upon motion duly made and carried, the meeting of the Municipal Council was adjourned. W.M. (Willie) Stoler Chair ATTEST: Kathryn Marshall City Recorder [SEAL] -9- STATE OF UTAH ) COUNTY OF SALT LAKE ) I, Kathryn Marshall, the duly qualified and acting City Recorder of Salt Lake City, Salt Lake County, Utah, do hereby certify, according to the records of said City in my official possession, that the above and foregoing constitutes a true and correct copy of excerpts from the minutes of a regular public meeting of the Municipal Council of Salt Lake City, Salt Lake County, Utah, held on September 19, 1989, including a resolution adopted at said meeting, as said minutes and resolution are officially of record in my possession. IN WITNESS WHEREOF, I have hereunto subscribed my official signature and impressed hereon the corporate seal of Salt Lake City, Salt Lake County, Utah, this 19th day of September, 1989. Kathryn Marshall City Recorder Salt Lake City, Salt Lake County, Utah [SEAL] RJS/W RD/jgl/857334-pro -10- ANNEX A [Insert Form of First Supplemental Trust Indenture] -11- Chapman and Cutler Draft of 09/14/89 FIRST SUPPLEMENTAL TRUST INDENTURE between SALT LAKE CITY, SALT LAKE COUNTY, UTAH and ZIONS FIRST NATIONAL BANK As Trustee Dated as of October 1, 1989 FIRST SUPPLEMENTAL TRUST INDENTURE FIRST SUPPLEMENTAL TRUST INDENTURE (the "First Supplemental Indenture") dated as of October 1, 1989, between SALT LAKE CITY, SALT LAKE COUNTY, UTAH (the "Issuer"), and ZIONS FIRST NATIONAL BANK, Salt Lake City, Utah, as trustee (the "Trustee") WHEREAS, the Issuer is a municipal corporation duly organized and validly existing as a political subdivision of the State of Utah and the Issuer is authorized by the Utah Industrial Facilities and Development Act, Chapter 17, Title 11, Utah Code Annotated 1953, as amended, to issue revenue bonds for the purposes authorized by the Act; and WHEREAS, the Issuer has heretofore issued its $22,000,000 Weekly Adjustable/Fixed Rate Airport Facilities Revenue Bonds, Series 1987 (Delta Air Lines, Inc. Project) (the "Series 1987 Bonds") pursuant to the Trust Indenture as of June 1, 1987 (the "Indenture") between the Issuer and the Trustee; and WHEREAS, Delta Air Lines, Inc. (the "Company") has delivered its Option to Convert Notice (as defined in the Indenture) pursuant to Section 2.2(b)2. of the Indenture; and WHEREAS, pursuant to Section 2.2(b)2. of the Indenture, a new Fixed Rate of % has been established by the Remarketing Agent; and WHEREAS, it is necessary and desirable to amend the Indenture in connection with the conversion of the interest rate borne by the Series 1987 Bonds to a Fixed Rate (1) to provide for a new optional redemption schedule for the Series 1987 Bonds, and (2) to provide for a simplified form of bond with respect to any Series 1987 Bond delivered on and after October 4, 1989 (the "Fixed Rate Conversion Date") in exchange or replacement for outstanding Series 1987 Bonds; and WHEREAS, in satisfaction of the requirements of Article X of the Indenture, the holders of all of the outstanding Series 1987 Bonds, the Bank (as defined in the Indenture) and the Company have consented to the execution and delivery of this First Supplemental Indenture; and WHEREAS, all interest due and payable on the Series 1987 Bonds has been or will be paid as of the Fixed Rate Conversion Date; NOW, THEREFORE, in consideration of the premises and for other good and valuable consideration the receipt of which is hereby acknowledged, it is hereby agreed as follows: Section 1. Amendment of Section 3.1(b) of the Indenture. The first paragraph of Section 3.1(b) of the Indenture is hereby amended to read as follows: (b) Subsequent to the Fixed Rate Conversion Date, the Series 1987 Bonds shall be subject to optional redemption, as a whole at any time, or in part from time to time on any Interest Payment Date on and after June 1, 1999, at a redemption price equal to one hundred percent (100%) of the principal amount of each Series 1987 Bond to be redeemed plus the accrued interest thereon to the redemption date plus a redemption premium expressed as a percentage of the principal amount of Series 1987 Bonds redeemed, as set forth in the table below: Period During Which Redeemed (Both Dates Inclusive) Redemption Premium June 1, 1999 through May 31, 2000 2% June 1, 2000 through May 31, 2001 1% June 1, 2001 and thereafter 0% Section 2. Form of Series 1987 Bond. On and after the Fixed Rate Conversion Date, each Series 1987 Bond delivered in exchange or as a replacement for another Series 1987 Bond (or portion thereof) in accordance with the provisions of the Indenture shall be in substantially the form attached hereto as Exhibit A. Section 3. Miscellaneous. (a) This First Supplemental Indenture may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. (b) Except as amended and supplemented by this First Supplemental Indenture, all of the provisions of the original Indenture shall remain in full force and effect. (c) In executing and delivering this First Supplemental Indenture, the Trustee shall be entitled to all of the privileges and immunities afforded to the Trustee under the terms and provisions of the Indenture. (d) All of the terms defined in the original Indenture shall have the same meanings herein, except as otherwise provided herein or unless the context otherwise so indicates, and, upon the execution and delivery of this First Supplemental Indenture, the term "Indenture" shall include and incorporate this First Supplemental Indenture. (e) If any provision of this First Supplemental Indenture shall be determined to be unenforceable, that shall not affect any other provision of this First Supplemental Indenture. (f) The captions in this First Supplemental Indenture are for convenience only and do not define or limit the scope or intent of any provisions or Sections of this First Supplemental Indenture. -2- IN WITNESS WHEREOF, the Issuer and the Trustee have caused this First Supplemental Indenture to be executed and sealed in their behalf by their duly authorized representatives, and their corporate seals to be affixed and attested hereunto, all as of the date first above written. SALT LAKE CITY, SALT LAKE COUNTY, UTAH By: Mayor [SEAL] ATTEST AND COUNTERSIGN: By: City Recorder ZIONS FIRST NATIONAL BANK, as Trustee By: Trust Officer ATTEST: By: Trust Officer -3- EXHIBIT A FORM OF SERIES 1987 BOND UNITED STATES OF AMERICA SALT LAKE CITY, SALT LAKE COUNTY, UTAH WEEKLY ADJUSTABLE/FIXED RATE AIRPORT FACILITIES REVENUE BOND, SERIES 1987 (DELTA AIR LINES, INC. PROJECT) NUMBER AMOUNT R- $ FIXED INTEREST FIXED RATE RATE: CONVERSION DATE: MATURITY DATE: CUSIP: October 4, 1989 June 1, 2017 795576 BV 8 REGISTERED OWNER: PRINCIPAL AMOUNT: KNOW ALL MEN BY THESE PRESENTS that Salt Lake City, Salt Lake County, Utah (the "Issuer"), a municipal corporation and a political subdivision of the State of Utah (the "State"), hereby acknowledges itself obligated to, and promises to pay to the Registered Owner (identified above), or registered assigns, but only out of the special funds pledged for that purpose as hereinafter provided, and not otherwise, the Principal Amount (identified above) on the Maturity Date (identified above) and to pay interest from the same sources on the unpaid balance of such Principal Amount from the date hereof at the rate per annum set forth above. This Bond has been converted to bear interest at the Fixed Interest Rate from and after the Fixed Rate Conversion Date, each as identified above. Following the Fixed Rate Conversion Date, the interest rate on the Bonds may not be changed to a Weekly Rate. Reference is hereby made to the further provisions of this Bond set forth on the reverse hereof, which further provisions shall for all purposes have the same effect as if set forth at this place. THIS BOND IS A LIMITED OBLIGATION OF THE ISSUER. THIS BOND SHALL NOT CONSTITUTE NOR GIVE RISE TO A GENERAL OBLIGATION OR LIABILITY OF THE ISSUER OR A CHARGE AGAINST ITS GENERAL CREDIT OR TAXING POWERS. THIS BOND SHALL NOT CONSTITUTE THE DEBT OR INDEBTEDNESS OF THE ISSUER WITHIN THE MEANING OF ANY PROVISION OR LIMITATION OF THE CONSTITUTION OR LAWS OF THE STATE. NEITHER THE FAITH AND CREDIT NOR THE TAXING POWER OF THE ISSUER, THE STATE OR ANY POLITICAL SUBDIVISION THEREOF IS PLEDGED TO THE PAYMENT OF THE PRINCIPAL OF THIS BOND OR THE PREMIUM, IF ANY, OR INTEREST THEREON OR OTHER COSTS INCIDENT THERETO. -4- This Bond shall not be valid or become obligatory for any purpose, or be entitled to any security or benefit under the Indenture until the Certificate of Authentication, hereon endorsed, shall have been executed by the Registrar and Paying Agent. All acts, conditions and things required by the Constitution and laws of the State and by the rules and regulations of the Issuer to happen, exist and be performed precedent to and in the issuance of this Bond, have happened, do exist and have been performed as so required. The principal of this Bond is payable at maturity or upon redemption at the principal corporate trust office of Zions First National Bank, Salt Lake City, Utah, as Registrar and Paying Agent appointed under the Indenture or any successor thereto under the Indenture. The interest on this Bond is payable by check drawn by the Registrar and Paying Agent and mailed on the Interest Payment Date to the person in whose name this Bond is registered on the Record Date. Payment of the principal of, premium, if any, and interest on this Bond shall be in any coin or currency of the United States of America as, at the respective times of payment, shall be legal tender for the payment of public and private debts. IN WITNESS WHEREOF, SALT LAKE CITY, SALT LAKE COUNTY, UTAH, has caused this Bond to be executed in its name and on its behalf by the facsimile signatures of its Mayor and City Recorder, and its seal to be hereunto affixed by facsimile. SALT LAKE CITY, SALT LAKE COUNTY, UTAH [SEAL] [facsimile signature] Mayor Attest and Countersign: [facsimile signature] City Recorder [FORM OF REVERSE OF SERIES 1987 BOND] This Bond is one of a series of Bonds entitled "Salt Lake City, Salt Lake County, Utah Weekly Adjustable/Fixed Rate Airport Facilities Revenue Bonds, Series 1987 (Delta Air Lines, Inc. Project)" in the aggregate principal amount of $22,000,000 (the "Bonds"), of like tenor except as to numbers and denominations, issued under and pursuant to the Constitution and laws of the State, particularly the Utah Industrial Facilities and Development Act, Chapter 17, Title 11, Utah Code Annotated 1953, as amended, and the Trust Indenture, dated as of June 1, 1987 (which, as amended from time to time, is referred -5- to herein as the "Indenture"), between the Issuer and Zions First National Bank, Salt Lake City, Utah, as trustee (the "Trustee"), and resolutions of the Municipal Council of the Issuer adopted on July 7, and June 9, 1987, for the purpose of providing funds to finance the cost of acquiring, constructing, improving, equipping and furnishing certain airport facilities for lease and use by Delta Air Lines, Inc., a Delaware corporation, or its assigns (the "Company"), and paying expenses incidental thereto. Such airport facilities are hereinafter referred to as the "Exempt Facilities" as defined in the Indenture. The Exempt Facilities have been leased by the Issuer to the Company under the terms of an Exempt Facilities Lease Agreement, dated as of June 1, 1987, between the Issuer and the Company (which agreement, as from time to time supplemented and amended, is hereinafter referred to as the "Lease"). A fully executed counterpart of the Lease is on file at the principal corporate trust office of the Trustee in Salt Lake City, Utah, and reference is hereby made to the Lease for the provisions thereof. This Bond and the series of which it forms a part are special and limited obligations of the Issuer and are payable solely and only from the rents, revenues and other amounts derived from the leasing of the Exempt Facilities by the Issuer to the Company, as further provided for in the Indenture and the Lease. Pursuant to the provisions of the Lease, rental payments for the prompt payment when due of the principal of, premium, if any, and interest on the Bonds are to be paid by the Company to the Trustee for the account of the Issuer and deposited as provided in the Indenture, and such rental payments and other revenues under the Lease have been duly pledged for that purpose, and the rights of the Issuer under the Lease have been assigned by the Issuer to the Trustee (with the exception of certain unassigned rights), all to secure payment of such principal, premium, if any, and interest. Interest accrued on the Bonds from and after October 4, 1989 (the "Conversion Date" or the "Fixed Rate Conversion Date") shall be computed upon the basis of a 360-day year, consisting of twelve 30-day months. Interest shall be payable as provided in the Indenture and as described below on each Interest Payment Date. The term "Interest Payment Date" shall mean, after the Conversion Date, December 1, 1989 and each June 1 and December 1 thereafter. The term "Authorized Denomination" shall mean, from and after the Conversion Date, Bonds in the denomination of $5,000 each or any integral multiple thereof. The term "Record Date" shall mean, the fifteenth day of the month prior to each Interest Payment Date, or, if such day shall not be a Business Day, the next preceding Business Day. Interest on Bonds issued upon the transfer or exchange of Bonds shall be payable from the Interest Payment Date preceding their date of authentication, unless the date of authentication is an Interest Payment Date, in which case interest on such Bonds shall be payable from such date, or unless their date of authentication is prior to the first Interest Payment Date, in which case interest on such Bonds shall be payable from date of authentication and delivery, or unless the date of authentication is after a Record Date with respect to an Interest Payment Date but prior to such Interest Payment Date, in which case interest on such Bonds shall be payable from such Interest Payment Date; provided, however, that if, as shown by the records of the Registrar and Paying Agent, interest on the Bonds shall be in default, interest on Bonds issued in exchange for Bonds surrendered for -6- transfer or exchange shall be payable from the date to which interest has been paid in full on the Bonds or, if no interest has been paid on the Bonds, the date of the first authentication and delivery of Bonds under the Indenture. Optional Redemption of the Bonds. The Bonds are subject to redemption prior to maturity by the Issuer in Authorized Denominations upon the exercise by the Company of any of its options to prepay all or a part of the rental payments required by the Lease on and after June 1, 1999, as a whole at any time, or in part from time to time on any Interest Payment Date, at a redemption price equal to 100% of the principal amount of each Bond to be redeemed plus the interest accrued thereon to such redemption date plus a redemption premium expressed as a percentage of the principal amount of Bonds redeemed, as set forth on the table below: Period During Which Redeemed (Both Dates Inclusive) Redemption Premium June 1, 1999 through May 31, 2000 2% June 1, 2000 through May 31, 2001 1% June 1, 2001 and thereafter 0% Any notice of such optional redemption shall state that such redemption shall be conditional upon the receipt of moneys sufficient to pay the principal of, premium, if any, and interest on the Bonds to be redeemed by the Trustee by 2:00 p.m., New York City time, on the date fixed for redemption, unless the Trustee shall have received such moneys prior to giving such notice. If such moneys shall not have been so received such notice shall be of no force and effect, the Issuer shall not redeem such Bonds and the Trustee shall give notice that such moneys were not so received and such redemption did not take place. Extraordinary Optional Redemption of Bonds. The Bonds shall be subject to redemption prior to maturity at the option of the Issuer, upon the direction of the Company, in whole at any time, or in part by lot from time to time, at a redemption price equal to 100% of the principal amount of such Bonds, together with accrued interest, if any, on such Bonds to the date fixed for redemption, upon receipt by the Trustee not less than 35 days prior to such redemption date of a written direction from the Company stating that any of the following events has occurred and that the Company intends to exercise its option to prepay rental payments under the Lease and thereby effect redemption of such Bonds: (i) the Company shall have determined that the continued construction or operation of all or a part of the Exempt Facilities is impracticable, uneconomical, or undesirable for any reason, (ii) all or part of the Exempt Facilities shall have been damaged, destroyed, condemned, confiscated, appropriated or taken by eminent domain, or (iii) the construction or operation of the Exempt Facilities shall have been enjoined or shall have otherwise been prohibited by, or shall conflict with, any order, decree, rule, or regulation of any court or of any federal, State or local regulatory body, administrative agency or other governmental body. -7- Mandatory Redemption of the Bonds after Determination of Taxability. The Bonds shall be subject to mandatory redemption by the Issuer in whole at any time or in part by lot from time to time at a redemption price of 100% of the principal amount thereof plus accrued interest, if any, to the redemption date within 180 days following the occurrence of a "Determination of Taxability" as provided in the Indenture. CERTIFICATE OF AUTHENTICATION This Bond is one of the Bonds authorized, described or provided for in the within-mentioned Indenture. Registrar and Paying Agent Date of Authentication: By: Authorized Signatory ABBREVIATIONS The following abbreviations, when used in the inscription on the face of this certificate, shall be construed as though they were written out in full according to applicable laws or regulations: UNIF GIFT MIN ACT-- TEN COM -- as tenants in common Custodian TEN ENT -- as tenants by the entireties (Cust) (Minor) JT TEN -- as joint tenants with right Under Uniform Gifts to of survivorship and not as Minors Act tenants in common (State) Additional abbreviations may also be used though not in the above list. -8- ASSIGNMENT FOR VALUE RECEIVED, the undersigned sells, assigns and transfers unto PLEASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF ASSIGNEE (Please Print or Type Name and Address of Assignee) the within Bond, and all rights thereunder, and hereby does irrevocably constitute and appoint , Attorney, to transfer the within Bond on the books kept for the registration thereof, with full power of substitution in the premises. Dated: NOTICE: The signature to this assignment must with the name as it appears upon the face of the within Bond in every particular, without alteration or enlargement or any change whatsoever. Signature guarantee: NOTICE: Signature(s) must be guaranteed by a member firm of The New York Stock Exchange, Inc. or a commercial bank or trust company. -9- CONSENT OF DELTA AIR LINES, INC. In satisfaction of the requirements of Article X of the Indenture, Delta Air Lines, Inc. hereby consents to the execution, delivery and effectiveness of the foregoing First Supplemental Indenture dated as of October 1, 1989, and hereby waives any notice thereof. DELTA AIR LINES, INC. By: Its: -10- CONSENT OF BAYERISCHE VEREINSBANK AG (UNION BANK OF BAVARIA) In satisfaction of the requirements of Article X of the Indenture, Bayerische Vereinsbank AG (Union Bank of Bavaria) hereby consents to the execution, delivery and effectiveness of the foregoing First Supplemental Indenture dated as of October 1, 1989, and hereby waives any notice thereof. BAYERISCHE VEREINSBANK AG (UNION BANK OF BAVARIA) By: Its: -11- CONSENT OF THE HOLDERS OF THE SERIES 1987 BONDS In satisfaction of the requirements of Article X of the Indenture, Smith Barney, Harris Upham & Co. Incorporated, as holder of all of the outstanding Series 1987 Bonds, hereby consents to the execution, delivery and effectiveness of the foregoing First Supplemental Indenture dated as of October 1, 1989, and hereby waives any notice thereof. SMITH BARNEY, HARRIS UPHAM & CO. INCORPORATED By: Its: RJS/W RD/jgl/857334-fsi -12- ANNEX B [Insert Form of Purchase Contract] -12- ANNEX C [Insert Form of Remarketing Memorandum] -13- Chapman and Cutler Draft of 09/14/89 Salt Lake City, Utah September 19, 1989 The Municipal Council of Salt Lake City, Salt Lake County, Utah (the "Municipal Council"), pursuant to due notice met in regular public session on September 19, 1989 at the hour of 6:00 o'clock P.M., at the regular meeting place of the Municipal Council in Room 315 in the City and County Building, 451 South State Street, in Salt Lake City, Utah. The meeting was duly called to order by Councilmember who was conducting, with the following members being present, constituting a quorum of the Municipal Council: W. M. (Willie) Stoler Chair Alan G. Hardman Vice Chair Florence Bittner Councilmember Thomas M. Godfrey Councilmember Sydney R. Fonnesbeck Councilmember L. Wayne Horrocks Councilmember Roselyn Kirk Councilmember Absent: None. There were also present: Palmer A. DePaulis Mayor Kathryn Marshall City Recorder Roger F. Cutler City Attorney. Series 1993 Airport Revenue Refunding Bonds The City Recorder presented to the Municipal Council an affidavit evidencing the giving of not less than twenty-four (24) hours public notice of the agenda, date, time, and place of the September 19, 1989, regular meeting of the Municipal Council in compliance with the requirements of Section 52-4-6(2), Utah Code Annotated 1953, as amended, by (1) posting written notice of the meeting at the principal office of the Municipal Council, and (2) providing notice to at least one newspaper of general circulation within the geographic jurisdiction of Salt Lake City, Utah, or to a local media corre- spondent. The affidavit was ordered recorded in the minutes of the meeting and is as follows: -2- STATE OF UTAH ) COUNTY OF SALT LAKE ) I, Kathryn Marshall, the duly qualified and acting City Recorder of Salt Lake City, Salt Lake County, Utah, do hereby certify, according to the records of said City in my official possession, and upon my own knowledge and belief, that in accordance with the requirements of Section 52-4-6(2), Utah Code Annotated 1953, as amended, I gave not less than twenty-four (24) hours public notice of the agenda, date, time, and place of the September 19, 1989, regular public meeting held by the Municipal Council of Salt Lake City, Salt Lake County, Utah, by: (a) causing a Notice of Public Meeting to be posted at the principal office of the Municipal Council at Room 315, City and County Building, 451 South State Street, in Salt Lake City, Utah, on September 15, 1989 at least twenty-four (24) hours before the convening of the meeting, in the form attached hereto as Exhibit A; said Notice of Public Meeting having continuously remained so posted and available for public inspection during regular office hours until the convening of the meeting; and (b) causing a copy of the Notice of Public Meeting in the form attached hereto as Exhibit A to be provided on September 15, 1989, at least twenty-four (24) hours before the convening of the meeting, to The Salt Lake Tribune and the Deseret News, newspapers of general circulation within the geographic jurisdiction of Salt Lake City, Utah, and to each local media correspondent, newspaper, radio station, or television station which has requested notification of meetings of the Municipal Council. IN WITNESS WHEREOF, I have hereunto subscribed my official signature and impressed hereon the official seal of Salt Lake City, Salt Lake County, Utah, this 19th day of September, 1989. Kathryn Marshall City Recorder Salt Lake City, [SEAL] Salt Lake County, Utah -3- EXHIBIT A [Attach Copy of Meeting Notice] A-1 Thereupon, after the conduct of other business not pertinent to the following, the following resolution was introduced in written form by Councilmember and, pursuant to motion duly made by Councilmember and seconded by Councilmember , was adopted and approved by the following vote: Aye: W. M. (Willie) Stoler Alan G. Hardman Florence Bittner Thomas M. Godfrey Sydney R. Fonnesbeck L. Wayne Horrocks Roselyn Kirk Nay: None Absent: None. The resolution was thereupon presented to and approved and signed by the Mayor in open meeting, was approved as to form and signed by the City Attorney, was signed by the Chairperson of the Municipal Council, and was attested and recorded by the City Recorder in the official records of said City. The resolution is as follows: -4- RESOLUTION NO. OF 1989 A RESOLUTION AUTHORIZING THE ISSUANCE AND SALE OF NOT MORE THAN $22,750,000 AGGREGATE PRINCIPAL AMOUNT OF AIRPORT REVENUE REFUNDING BONDS OF SALT LANE CITY, SALT LANE COUNTY, UTAH; AUTHORIZING SUCH BONDS TO BE ISSUED IN ONE OR MORE SERIES FOR DELIVERY IN 1993 TO THE INITIAL PURCHASERS THEREOF; FIXING THE MAXIMUM AGGREGATE PRINCIPAL AMOUNT OF SUCH BONDS, THE MAXIMUM NUMBER OF YEARS OVER WHICH SUCH BONDS MAY MATURE, THE MAXIMUM INTEREST RATE THAT SUCH BONDS MAY BEAR AND THE MAXIMUM DISCOUNT FROM PAR AT WHICH SUCH BONDS MAY BE SOLD; PROVIDING FOR THE PUBLICATION OF A NOTICE OF BONDS TO BE ISSUED; PROVIDING FOR THE RUNNING OF A CONTEST PERIOD; AND RELATED MATTERS. *** *** *** WHEREAS, the Municipal Council of Salt Lake City, Salt Lake County, Utah (the "Municipal Council"), considers it desirable and necessary and for the benefit of Salt Lake City, Salt Lake County, Utah (the "City"), and the users of the Salt Lake City International Airport to refund all or part of the City's outstanding Airport Revenue Bonds, Series 1983 (the "Prior Bonds") for the purpose of achieving interest cost savings; and WHEREAS, the Prior Bonds were originally issued in the aggregate principal amount of $25,500,000, and $22,750,000 aggregate principal amount of the Prior Bonds mature or are subject to optional redemption on June 1, 1993; and WHEREAS, the Municipal Council desires to authorize the issuance by the City of not more than $22,750,000 aggregate principal amount of Airport Revenue Refunding Bonds in one or more series (the "Refunding Bonds") for the purpose of refunding all or part of the Prior Bonds; and WHEREAS, favorable market conditions currently exist permitting the sale of the Refunding Bonds at favorable interest rates; and WHEREAS, the Prior Bonds are not subject to call for redemption prior to June 1, 1993, and, under the provisions of the Internal Revenue Code of 1986 (the "Code") tax- exempt refunding bonds may not be issued more than 90 days prior to the redemption or maturity of the Prior Bonds; and WHEREAS, arrangements are being made for purchasers of the Refunding Bonds to deposit the purchase price for the Refunding Bonds in an escrow account, such purchase price to be held and invested until delivery of the Refunding Bonds in 1993, provided that the Municipal Council now authorizes the issuance of the Refunding Bonds for delivery in 1993 pursuant to appropriate contractual arrangements with the initial purchasers of the Refunding Bonds; and -5- WHEREAS, Section 11-27-4, Utah Code Annotated 1953, as amended, provides for the publication of a Notice of Bonds to be Issued, and the Municipal Council desires to publish such a notice at this time in compliance with such Section 11-27-4; and WHEREAS, the Municipal Council desires to authorize the issuance of the Refunding Bonds and the publication of a Notice of Bonds to be Issued; NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF SALT LAKE CITY, SALT LAKE COUNTY, UTAH, AS FOLLOWS: SECTION 1. The Municipal Council hereby finds and determines that it is in the best interest of the residents of the City and the users of the Salt Lake City International Airport for the City to issue not more than Twenty-Two Million Seven Hundred Fifty Thousand Dollars ($22,750,000) aggregate principal amount of its Airport Revenue Refunding Bonds (the "Refunding Bonds"). The Refunding Bonds may be issued in one or more series provided that the aggregate principal amount of all such series does not exceed the amount stated above. In order to satisfy the requirements of the Code, the Refunding Bonds shall be issued and delivered to the initial purchasers thereof on a date acceptable to them not more than 90 days prior to June 1, 1993. SECTION 2. The Refunding Bonds shall be issued and shall bear interest at a rate or rates of not to exceed eight and one-half percent per annum, shall mature in not more than twenty (20) years from their date or dates and shall be sold at a discount from par, expressed as a percentage of principal amount, of not to exceed two percent (exclusive of any original issue discount), and the Municipal Council hereby declares its intention to issue the Refunding Bonds according to the provisions of this Resolution. The Refunding Bonds will be issued pursuant to the Resolution No. 45 of 1989 Providing for the Issuance of Airport Revenue Bonds (the "Master Resolution") adopted by the Municipal Council on April 11, 1989, and a supplemental resolution (the "Supplemental Resolution") authorizing the issuance and confirming the sale of the Bonds, to be adopted by the Municipal Council at a future date pursuant to and in compliance with the Master Resolution. A copy of the Master Resolution is attached hereto as Annex A and a draft of the Supplemental Resolution, in substantially final form, is attached hereto as Annex B. SECTION 3. The Municipal Council hereby authorizes and approves the issuance of the Refunding Bonds pursuant to the provisions of this resolution, the Master Resolution and the Supplemental Resolution, with such changes to the Supplemental Resolution as shall be approved by the Municipal Council upon the adoption thereof, provided that the principal amount of the Refunding Bonds shall not exceed the maximum principal amount set forth in Section 1 hereof and the interest rates, final maturity, and discount shall not exceed the respective maximums set forth in Section 2 hereof. SECTION 4. In accordance with the provisions of Section 11-27-4, Utah Code Annotated 1953, as amended, the City Recorder shall cause the following "Notice of Bonds to be Issued" to be published one time in the Deseret News and The Salt Lake Tribune, newspapers published and of general circulation in the City, and shall cause a copy of this resolution (together with all exhibits hereto) to be kept on file in her office for public examination during the regular business hours of the Municipal Council until at least thirty (30) days from and after the date of publication thereof. The Deseret News and The Salt Lake Tribune are each hereby designated as an "official newspaper" of the City for purposes -6- of any notices to be published in accordance with the Utah Refunding Bond Act, Chapter 27 of Title 11, Utah Code Annotated 1953, as amended. The "Notice of Bonds to be Issued" shall be in substantially the following form: NOTICE OF BONDS TO BE ISSUED NOTICE IS HEREBY GIVEN pursuant to the provisions of Section 11-27-4, Utah Code Annotated 1953, as amended, that on September 19, 1989, the Municipal Council of Salt Lake City, Salt Lake County, Utah (the "Municipal Council"), adopted a resolution (the "Resolution") in which it authorized and approved the issuance by Salt Lake City, Salt Lake County, Utah (the "City") of its Airport Revenue Refunding Bonds (the "Refunding Bonds"). The Refunding Bonds may be issued in one or more series provided that the aggregate principal amount of all of the Refunding Bonds shall not exceed Twenty-Two Million Seven Hundred Fifty Thousand Dollars. The Refunding Bonds shall bear interest at a rate or rates of not to exceed eight and one-half percent per annum, shall mature in not more than twenty years from their date or dates, and shall be sold at a discount from par, expressed as a percentage of principal amount, of not to exceed two percent (exclusive of any original issue discount). The Refunding Bonds are to be issued for the purpose of refunding all or part of the City's outstanding Airport Revenue Bonds, Series 1983 (the "Prior Bonds"), and for the purpose of paying all costs incident to the authorization and issuance of the Refunding Bonds, including legal and fiscal adviser's fees and costs incident to such refunding. The Prior Bonds were originally issued in the aggregate principal amount of $25,500,000, and $22,750,000 aggregate principal amount of the Prior Bonds mature or are subject to optional redemption on June 1, 1993. Because under the Federal Internal Revenue Code of 1986 tax- exempt refunding bonds may not be issued more than 90 days prior to maturity or redemption of the Prior Bonds, arrangements are being made for the issuance and delivery of the Refunding Bonds to the initial purchasers thereof in 1993 on a date not more than 90 days prior to June 1, 1993. However, the terms of the sale of the Refunding Bonds will be established as provided in the Resolution at current market rates which the Municipal Council has determined to be favorable and will provide interest cost savings to the City. The Refunding Bonds are to be issued and sold by the City pursuant to the Resolution, including as part of the Resolution (1) a copy of the Resolution No. 45 of 1989 Providing for the Issuance of Airport Revenue Bonds adopted by the Municipal Council on April 11, 1989 (the "Master Resolution"), and (2) a draft of a supplemental resolution (the "Supplemental Resolution") authorizing the issuance and confirming the sale of the Refunding Bonds. The Supplemental Resolution was before the Municipal Council and attached to the Resolution in substantially final form at the time of the adoption of the Resolution, and the Supplemental Resolution is to be adopted by the Municipal Council in such form, with such changes thereto as shall be approved by the Municipal Council upon the adoption thereof, provided that the separate and combined aggregate principal amounts, and the interest rate, maturity and discount for the Refunding Bonds will not exceed the respective maximums set forth above. A copy of the Master Resolution was also before the Municipal Council and was attached to the Resolution. A copy of the Resolution (including a copy of the Master Resolution and a draft of the Supplemental Resolution) is on file in the office of the City Recorder at the City and County Building, 451 South State Street, in Salt Lake City, Utah, where it may be examined -7- during regular business hours of the City Recorder from 8:00 o'clock A.M. to 5:00 o'clock P.M. The Resolution (including the Master Resolution and Supplemental Resolution) shall be so available for inspection for a period of at least thirty days from and after the date of the publication of this notice. NOTICE IS FURTHER GIVEN that pursuant to law for a period of thirty days from and after the date of the publication of this notice, any person in interest shall have the right to contest the legality of the Resolution, the Supplemental Resolution, or the Refunding Bonds, or any provisions made for the security and payment of the Refunding Bonds, and that after such time, no person shall have any cause of action to contest the regularity, formality or legality thereof for any cause. DATED this 19th day of September, 1989. Is/ Kathryn Marshall City Recorder, Salt Lake City, Salt Lake County, Utah SECTION 5. For a period of thirty days after publication of the Notice of Bonds to be Issued, any person in interest shall have the right to contest the legality of this resolution and any other proceedings pursuant to which the Refunding Bonds are to be issued, or of the Refunding Bonds thereby authorized or any provisions made for the security and payment of the Refunding Bonds. After such time, no person shall have any cause of action to contest the regularity, formality or legality of this resolution or any other proceedings or the Refunding Bonds for any cause whatsoever. SECTION 6. If any section, paragraph, clause, or provision of this resolution shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section, paragraph, clause, or provision shall not affect any of the remaining provisions of this resolution. SECTION 7. This resolution shall be effective immediately upon its approval and adoption. -8- ADOPTED AND APPROVED by the Municipal Council of Salt Lake City, Salt Lake County, Utah, this 19th day of September, 1989. SALT LAKE CITY, SALT LAKE COUNTY, UTAH [SEAL] By W.M. (Willie) Stoler ATTEST: Chair of the Municipal Council, Salt Lake City, Salt Lake County, Utah By Kathryn Marshall City Recorder, Salt Lake City, Salt Lake County, Utah APPROVED: By Palmer A. DePaulis Mayor APPROVED as to form: By Roger F. Cutler City Attorney -9- (Other business not pertinent to the above appears in the minutes of the meeting.) Upon the conclusion of all business and upon motion duly made and carried, the meeting of the Municipal Council was adjourned. W.M. (Willie) Stoler Chair ATTEST: Kathryn Marshall City Recorder [SEAL] -10- STATE OF UTAH ) ) COUNTY OF SALT LAKE ) I, Kathryn Marshall, the duly qualified and acting City Recorder of Salt Lake City, Salt Lake County, Utah, do hereby certify, according to the records of said City in my official possession, that the above and foregoing constitutes a true and correct copy of excerpts from the minutes of a regular public meeting of the Municipal Council of Salt Lake City, Salt Lake County, Utah, held on September 19, 1989, including a resolution adopted at said meeting, as said minutes and resolution are officially of record in my possession. IN WITNESS WHEREOF, I have hereunto subscribed my official signature and impressed hereon the corporate seal of Salt Lake City, Salt Lake County, Utah, this 19th day of September, 1989. Kathryn Marshall City Recorder Salt Lake City, Salt Lake County, Utah [SEAL] RJS/RAC/jgl/859199-res -11- ANNEX A [Insert Copy of Master Resolution] -12- ANNEX B [Insert Draft of Supplemental Resolution] -13- Chapman and Cutler Draft of 09/14/89 SALT LAKE CITY, SALT LAKE COUNTY, UTAH Supplemental Resolution No. of 1989 Authorizing the Issuance and Sale of Airport Revenue Refunding Bonds, Series 1993 $ Series 1993A Bonds $ Series 1993B Bonds Adopted , 1989 TABLE OF CONTENTS ARTICLE I DEFINITIONS Section Page 101. Definitions 2 102. Authority for Series 1993 Supplemental Resolution 5 ARTICLE II AUTHORIZATION, TERMS AND ISSUANCE OF SERIES 1993 BONDS 201. Authorization of Bonds, Principal Amount, Designation and Series 5 202. Finding and Purpose 5 203. Maturities and Interest Rates 6 204. Registered Bonds; Denomination and Numbers 7 205. Paying Agent 7 206. Sinking Fund and Optional Redemption 8 207. Sale of Series 1993 Bonds 9 208. Execution of Series 1993 Bonds 10 209. Delivery of Series 1993 Bonds 10 210. Initial Purchase Agreement 10 211. Further Authority 10 212. Book-Entry System; Limited Obligation of City 11 213. Representation Letter 12 214. Transfers Outside Book-Entry System 12 215. Payments to Cede 12 ARTICLE III ESTABLISHMENT OF SERIES 1993 PROJECT COST OF ISSUANCE FUND, APPLICATION OF SERIES 1993 BOND PROCEEDS AND OTHER MONEYS 301. Series 1993 Cost of Issuance Fund 13 302. Application of Proceeds of Series 1993 Bonds and Certain Other Moneys 13 303. Series 1993 Bond Service Subaccount 13 304. Series 1993 Debt Service Reserve Subaccount 14 -i- ARTICLE IV DEFEASANCE AND REDEMPTION OF REFUNDED BONDS 401. Defeasance of Refunded Bonds 14 402. Redemption of Refunded Bonds 14 403. Escrow Agreement 15 ARTICLE V FORM OF SERIES 1993 BONDS 501. Form of Series 1993 Bonds 15 ARTICLE VI COMPLIANCE WITH REBATE AND OTHER REQUIREMENTS OF THE CODE 601. Authorization and Covenants 23 602. Additional Payments 24 603. Investments To Be Legal 24 604. Opinion of Bond Counsel; Amendments 24 605. Additional Covenants; Agreements 24 ARTICLE VII SERIES 1993 RESERVE INSTRUMENT 701. Authorization 24 702. Draws on Series 1993 Reserve Instrument 25 703. Remedies of Series 1993 Reserve Instrument Issuer 25 704. No Assignment of Series 1993 Debt Service Reserve Instrument or Revenues 26 705. Consent of (Bond Insurer) for Other Reserve Instruments 26 -ii- ARTICLE VIII SERIES 1993 SECURITY INSTRUMENT 801. Authorization 26 802. Payments to Series 1993 Bondholders; Subrogation 26 803. Limitation on Issuance of Additional Bonds 27 804. Limitation on Rights of Bondholders under Article VIII of the Resolution 28 805. Access to Registration Books 28 806. Supplemental Resolution Transcript 28 807. Additional Conditions for Defeasance 28 808. Notice 28 809. Reports and Information 29 810. Series 1993 Reserve Instrument Issuer as Third-Party Beneficiary 29 ARTICLE IX MISCELLANEOUS 901. System of Registration 29 902. Article and Section Headings 30 903. Partial Invalidity 30 904. Effective Date 30 -iii- SUPPLEMENTAL RESOLUTION NO. of 1989 authorizing the issuance and confirming the Sale of $ Airport Revenue Refunding Bonds, Series 1993 (consisting of $ Airport Revenue Refunding Bonds, Series 1993A and $ Airport Revenue Refunding Bonds, Series 1993B), of Salt Lake City, Salt Lake County, Utah; providing for the refunding and redemption of a portion of the City's Outstanding Airport Revenue Bonds, Series 1983; authorizing the execution and delivery of an Agreement to enter into Escrow and Forward Purchase Agreement, an Escrow and Forward Purchase Agreement, an Escrow Agreement, and related documents and certificates; authorizing the preparation and distribution of a preliminary and final offering circular; and related matters. WHEREAS, the City has previously acquired improvements and extensions to the public utility of the City comprising its City Airports, and has financed the cost thereof by the issuance of the City's airport revenue bonds pursuant to Resolution No. 81 Providing for the Issuance of Airport Revenue Bonds, adopted October 17, 1978, as supplemented; and WHEREAS, favorable market conditions currently exist permitting the sale of the City's airport revenue refunding bonds to refund a portion of the airport revenue bonds referred to above, and thereby achieve interest cost savings; and WHEREAS, the bonds to be refunded are not subject to call for redemption prior to June 1, 1993, and, under the provisions of the Internal Revenue Code of 1986, tax- exempt refunding bonds may not be issued more than 90 days prior to the redemption or maturity of the bonds being refunded; and WHEREAS, arrangements have been made for purchasers of the City's airport revenue refunding bonds to deposit the purchase price for such refunding bonds in an escrow account, such purchase price to be held and invested until delivery of such refunding bonds in 1993, provided that the City now authorizes the issuance and delivery of such refunding bonds and enters into appropriate contracts pursuant to which the City will deliver such refunding bonds in 1993; and WHEREAS, the Municipal Council of the City adopted Resolution No. 45 of 1989 Providing for the Issuance of Airport Revenue Bonds on April 11, 1989, pursuant to which such refunding bonds may be issued; and WHEREAS, in order to refund a portion of the City's outstanding airport revenue bonds for the purpose of achieving interest cost savings, it is deemed necessary and advisable for the City to issue its airport revenue refunding bonds pursuant to such Resolution No. 45 of 1989 and this Supplemental Resolution No. of 1989; NOW, THEREFORE, Be It Resolved by the Municipal Council of Salt Lake City, Salt Lake County, Utah, as follows: ARTICLE I DEFINITIONS Section 101. Definitions. (a) Except as provided in Section 101(b), all defined terms contained in the Resolution shall have the same meanings when used in this Series 1993 Supplemental Resolution as set forth in the Resolution. (b) As used in this Series 1993 Supplemental Resolution, the following terms shall have the following meanings, unless the context otherwise requires: "Bank" means West One Bank, Utah of Salt Lake City, Utah. "Bond Counsel" means Chapman and Cutler, or other counsel of nationally recognized standing in matters pertaining to the tax-exempt status of interest on obligations issued by states and their political subdivisions, duly admitted to the practice of law before the highest court of any state of the United States. ["(Bond Insurer)" means , and its successors and assigns.] "Cede" means Cede & Co., the nominee of DTC, and any successor nominee of DTC with respect to the Series 1993 Bonds pursuant to Section 212 hereof. "Closing Date" means the date of the delivery of the Series 1993 Bonds to the purchasers thereof pursuant to the Forward Purchase Agreement. "DTC" means The Depository Trust Company, New York, New York, and its successors and assigns. "Escrow Agent" means West One Bank, Utah of Salt Lake City, Utah. "Escrow Agreement" means the Refunding Escrow Agreement dated as of 1, 1989, by and between the City and the Escrow Agent providing for payment of the redemption price and interest on the Refunded Bonds on or prior to their retirement pursuant to call for redemption. "Escrow Account" means the Escrow Account established in the Escrow Agreement. "Forward Purchase Agreement" means the Escrow and Forward Purchase Agreement, dated as of , 1989, among the City, the Underwriters and the Bank, pursuant to which the Series 1993 Bonds are to be sold by the City. "Initial Purchase Agreement" means the Agreement to Enter Into Escrow and Forward Purchase Agreement dated , 1989, among the City and the Underwriters. "Participants" means those broker-dealers, banks and other financial institutions from time to time for which DTC holds Series 1993 Bonds as securities depository. -2- "Person" means natural persons, firms, partnerships, associations, corporations, trusts, public bodies and other entities. "Record Date" means the fifteenth day of the month next preceding any interest payment date. "Refunded Bonds" means the Series 1983 Bonds maturing on and after June 1, 1994, in the aggregate principal amount of $22,750,000 bearing interest at the rates and falling due on June 1 of each of the years as follows: Year Amount Interest Rate 1994 $ 750,000 9.20% 1995 750,000 9.20 1996 750,000 9.20 1997 1,000,000 9.30 1998 1,000,000 9.40 1999 1,000,000 9.50 2000 1,000,000 9.60 2001 1,000,000 9.70 2002 1,500,000 9.75 2003 1,500,000 9.80 2004 1,500,000 9.80 2005 1,500,000 9.90 2006 1,800,000 9.90 2007 3,500,000 9.90 2008 4,200,000 9.90 "Representation Letter" means the Letter of Representations from the City to DTC dated as of "Resolution" means Resolution No. 45 of 1989 Providing for the Issuance of Airport Revenue Bonds, adopted on April 11, 1989, as from time to time amended or supplemented by Supplemental Resolutions, including Supplemental Resolution No. 46 of 1989, adopted on April 11, 1989, and this Series 1993 Supplemental Resolution. "Series 1983 Bonds" means the City's Airport Revenue Bonds, Series 1983, issued pursuant to a Resolution No. 81 Providing for the Issuance of Airport Revenue Bonds, adopted on October 17, 1978, and Supplemental Resolution No. 44 of 1983, adopted on May 24, 1983. "Series 1993 Bond Service Subaccount" means the Series Subaccount in the Bond Service Account established in Section 303. "Series 1993 Bonds" means, collectively, the Series 1993A Bonds and the Series 1993B Bonds. "Series 1993A Bonds" means the $ aggregate principal amount of the Series 1993 Bonds designated as the Series 1993A Bonds in Article II hereof. "Series 1993B Bonds" means the $ aggregate principal amount of the Series 1993 Bonds designated as the Series 1993B Bonds in Article II hereof. -3- "Series 1993 Cost of Issuance Fund" means the Series 1993 Cost of Issuance Fund established in Section 301 of this Series 1993 Supplemental Resolution. ["Series 1993 Credit Enhancement Costs" means the premium, fees, expenses and other costs payable to the Series 1993 Reserve Instrument Issuer for the Series 1993 Reserve Instrument and to the Series 1993 Security Instrument Issuer for the Series 1993 Security Instrument.] "Series 1993 Debt Service Reserve Requirement" means the amount of $ [(being the average annual Debt Service on the Series 1993 Bonds).] "Series 1993 Debt Service Reserve Subaccount" means the Series Subaccount in the Debt Service Reserve Account established in Section 304 of this Series 1993 Supplemental Resolution. ["Series 1993 Reserve Instrument" means the issued by the Series 1993 Reserve Instrument Issuer pursuant to the Series 1993 Reserve Instrument Agreement.] ["Series 1993 Reserve Instrument Agreement" means the dated as of , 1989 between the City and . ["Series 1993 Reserve Instrument Issuer" means , as issuer of the Series 1993 Reserve Instrument.] ["Series 1993 Reserve Instrument Repayment Obligations" means, as of any date of calculation and with respect to the Series 1993 Reserve Instrument Agreement, those outstanding amounts payable by the City under such Series 1993 Reserve Instrument Agreement necessary to repay the Series 1993 Reserve Instrument Issuer for payments previously or concurrently made by it pursuant to and designated as Reserve Instrument Repayment Obligations in Section 701(b).] ["Series 1993 Security Instrument" means the issued by the Series 1993 Security Instrument Issuer.] ["Series 1993 Security Instrument Issuer" means , as issuer of the Series 1993 Security Instrument.] "Series 1993 Supplemental Resolution" means this Supplemental Resolution No. of 1989 of the City adopted on , 1989, authorizing the issuance and sale of the Series 1993 Bonds. ["Series 1993 Term Bonds" means Series 1993 Bonds maturing on .] "Tax-Exemption Certificate" means (a) the Tax Exemption Certificate between the City and the Trustee, and (b) any other agreement or certificate executed and delivered by the City in order to assure the tax-exempt status of interest received on the Series 1993 Bonds. "Trustee" means West One Bank, Utah, and its successors and permitted assigns under the Resolution. -4- "Underwriters" means Shearson Lehman Hutton, Inc., Smith Barney, Harris Upham- & Co. Incorporated, and A. G. Edwards & Sons, Inc. The terms "hereby", "hereof", "hereto", "herein", "hereunder", and any similar terms as used in this Series 1993 Supplemental Resolution, refer to this Series 1993 Supplemental Resolution. Section 102. Authority for Series 1993 Supplemental Resolution. This Series 1993 Supplemental Resolution is adopted pursuant to the provisions of the Act and the Resolution. ARTICLE II AUTHORIZATION, TERMS AND ISSUANCE OF SERIES 1993 BONDS Section 201. Authorization of Bonds, Principal Amount, Designation and Series. In order to provide sufficient funds for the refunding of the Refunded Bonds and in accordance with and subject to the terms, conditions and limitations established in the Resolution, including this Series 1993 Supplemental Resolution, a Series of Airport Revenue Bonds is hereby authorized to be issued in the aggregate principal amount of $ Such Series of Bonds shall be designated "Airport Revenue Refunding Bonds, Series 1993." As provided in Section 203, $ aggregate principal amount of the Series 1993 Bonds shall be designated as the "Airport Revenue Refunding Bonds, Series 1993A Bonds" and $ aggregate principal amount of the Series 1993 Bonds shall be designated as the "Airport Revenue Refunding Bonds, Series 1993B Bonds". For all purposes of the Resolution except , the Series 1993A Bonds and the Series 1993B Bonds shall constitute only one Series of Bonds. Section 202. Finding and Purpose. (a) The City hereby finds, determines and declares: (i) In order to achieve interest cost savings, it is necessary and desirable and for the benefit of the City and the users of the Airport to refund the Series 1983 Bonds as contemplated by this Series 1993 Supplemental Resolution and the Escrow and Forward Purchase Agreement, and as permitted by the Act and the Resolution. (ii) Except for the Series 1989 Bonds, the City has no outstanding bonds, notes or other obligations issued pursuant to the Resolution. Except for the Prior Lien Bonds and the Series 1989 Bonds, there are no outstanding bonds, notes or other obligations payable from and secured by a pledge of Revenues of the City Airports. (iii) For each Fiscal Year beginning with the Fiscal Year ending June 30, 1993, and ending with the Fiscal Year including June 30, 2008, the maximum amount of Aggregate Debt Service on the Series 1993 Bonds is no greater than the maximum amount of Aggregate Debt Service on the Refunded Bonds, as required by Section 2.04(c)(1)(A) of the Resolution. (iv) the requirements of Sections 2.02 and 2.04 of the Resolution will have been complied with upon the delivery of the Series 1993 Bonds. -5- [(v) the Series 1993 Bonds are bonds as described in Section 1313(a) of the Internal Revenue Code of 1986 because (A) the Refunded Bonds were issued before August 16, 1986, (B) the amount of the Series 1993 Bonds does not exceed the outstanding amount of the Refunded Bonds and (C) the average maturity of the Series 1993 Bonds does not exceed 120 percent of the average reasonably expected economic life of such facilities being financed with the proceeds of the Series 1993 Bonds (determined under Section 147(b) of the Internal Revenue Code of 1986), such average reasonably expected economic life of such facilities being years, pursuant to Revenue Procedure 83-35.] (b) The Series 1993 Bonds are hereby authorized to be issued pursuant to Section 2.04 of the Resolution for the purpose of refunding and defeasing the Refunded Bonds pursuant to Section 11.01 of the Prior Lien Resolution by [purchasing obligations of the United States of America] for deposit into the Escrow Account pursuant to the Escrow Agreement and providing a beginning deposit on demand sufficient to provide for the payment of the Refunded Bonds upon call for redemption. Section 203. Maturities and Interest Rates. (a) $ aggregate principal amount of the Series 1993 Bonds, maturing on the dates and in the principal amounts shown below and bearing interest at the rates shown below, are hereby designated as the Series 1993A Bonds: 1 Amount Interest of the Year Maturing Rate 1994 $ % 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 (b) $ aggregate principal amount of the Series 1993 Bonds, maturing on the dates and in the principal amounts shown below and bearing interest at the rates shown below, are hereby designated as the Series 1993B Bonds: -6- 1 Amount Interest of the Year Maturing Rate 1994 $ % 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 (c) The Series 1993 Bonds shall be dated as of , 1993, which is hereby designated as the Issue Date. The Series 1993 Bonds shall constitute Current Interest Bonds under the Resolution, shall bear interest from 1, 1993, payable 1, 1993, and semi-annually thereafter on 1 and 1 in each year. Each Series 1993 Bond shall bear interest from the interest payment date next preceding the date of registration and authentication thereof unless it is registered as of an interest payment date, in which event it shall bear interest from the date thereof, or unless it is registered prior to the first interest payment date, in which event it shall bear interest from its date, or unless, as shown by the records of the Trustee, interest on the Series 1993 Bonds shall be in default, in which event it shall bear interest from the date to which interest has been paid in full. Section 204. Registered Bonds; Denomination and Numbers. The Series 1993 Bonds shall be issued solely as fully registered Bonds, without coupons, in the denomination of $5,000 or any integral multiple thereof; provided that no individual Series 1993 Bond shall represent more than one maturity of Series 1993 Bonds. The Series 1993A Bonds shall be numbered from one (1) consecutively upwards with the prefix "RA" preceding each number. The Series 1993B Bonds shall be numbered from one (1) consecutively upwards with the prefix "RB" preceding each number. Section 205. Paying Agent. West One Bank, Utah, of Salt Lake City, Utah, is hereby appointed the Paying Agent for the Series 1993 Bonds, pursuant and subject to Section 7.02 of the Resolution. Principal and Redemption Price on the Series 1993 Bonds when due shall be payable at the principal corporate trust office of the Trustee, or of its successor as Paying Agent. Payment of interest on the Series 1993 Bonds shall be made to the registered Holder thereof and shall be paid (1) by check or draft mailed to the person who is the registered Holder of record as of the close of business on the Record Date at his address as it appears on the registration books of the Trustee or at such other address as is furnished in writing by such registered Holder to the Trustee prior to the Record Date or (2) with respect to units of $1,000,000 or more of Bonds, by wire transfer to the registered Holder thereof upon written notice by such Holder to the Trustee given not later than the Record Date prior to an interest payment date. -7- [Section 206. Sinking Fund and Optional Redemption.* (a) The Series 1993 Term Bonds shall be subject to redemption in part by operation of Sinking Fund Installments as provided in the Resolution, upon notice as provided in Section 4.03 of the Resolution and Section 206(c) at a Redemption Price equal to the Principal amount of each Series 1993 Term Bond or portion thereof to be redeemed, together with accrued interest to the date of redemption. The Series 1993 Term Bonds maturing on , shall be subject to redemption in part by operation of Sinking Fund Installments on 1, and on each of each year thereafter to and including 1. The amounts and due dates of the Sinking Fund Installments for the Series 1993 Term Bonds maturing on are set forth in the following table: 1 of the Year Amount (b) The Series 1993 Bonds maturing on or after 1, are subject to optional redemption on or after 1, , at the election of the City, in whole on any date, or in part on any interest payment date, and if in part, in inverse order of maturities (and within each maturity as selected by the Trustee), upon notice as provided in Section 4.03 of the Resolution and Section 206(c) hereof, and at the Redemption Price (expressed as a percentage of the principal amount of each Series 1993 Bond to be so redeemed) set forth in the following table, plus accrued interest to the redemption date: Redemption Date Redemption (Both Dates Inclusive) Price 1, through 1, through 1, and thereafter 96 Before any notice of optional redemption of Series 1993 Bonds pursuant to this Section 2.06(b) shall be given, the City shall pay to, the Trustee for deposit into the Series 1993 Bond Service Subaccount moneys sufficient to pay the principal of, and premium, if any, and interest on, the Series 1993 Bonds to be redeemed on the redemption date. (c) In addition to the notice described in Section 4.03 of the Resolution, further notice of any redemption of the Series 1993 Bonds shall be given by the Trustee as set out below, but no defect in such further notice nor any failure to give all or any portion of such further notice shall in any manner defeat the effectiveness of a call for redemption if notice thereof is given as described in Section 4.03 of the Resolution. (1) Each further notice of redemption given hereunder shall contain (i) the CUSIP numbers of all Series 1993 Bonds being redeemed; (ii) the date of issue of the Series 1993 Bonds as originally issued; (iii) the rate of interest borne by each Series 1993 Bond being redeemed; (iv) the maturity date of each Series 1993 Bond being redeemed; and (v) any other descriptive information needed to identify accurately the Series 1993 Bonds being redeemed. * Separate redemption provisions for Series 1993A Bonds and Series 1993B Bonds may be inserted, as required. -8- (2) Each further notice of redemption shall be sent at least 35 days before the redemption date by registered or certified mail or overnight delivery service to: (i) the following registered securities depositories (if at the time of such notice such depositaries are then in the business of holding substantial amounts of obligations of types comprising the Series 1993 Bonds): Depository Trust Company of New York, New York, Midwest Securities Trust Company of Chicago, Illinois, Pacific Securities Depository Trust of San Francisco, California and Philadelphia Depository Trust Company of Philadelphia, Pennsylvania; (ii) Moody's Municipal and Government and Standard and Poor's Called Bond Record; and (iii) any other such depositaries or national information services that disseminate notices of redemption of obligations such as the Series 1993 Bonds, designated by the City to receive such notice. (3) Each such further notice shall be published one time in the Bond Buyer of New York, New York or, if such publication is impractical or unlikely to reach a substantial number of the Holders of the Series 1993 Bonds, in some other financial newspaper or journal which regularly carries notice of redemption of other obligations similar to the Series 1993 Bonds, such publication to be made at least 30 days prior to the date fixed for redemption. (4) Upon the payment of the redemption price of the Series 1993 Bonds being redeemed, each check or other transfer of funds issued for such purpose shall bear the CUSIP number identifying, by issue and maturity, the Series 1993 Bonds being redeemed with the proceeds of such check or other transfer.] Section 207. Sale of Series 1993 Bonds. (a) The Series 1993A Bonds authorized to be issued herein are hereby sold to the purchasers thereof pursuant to the Forward Purchase Agreement at an aggregate price of $ (being %* of the principal amount of the Series 1993A Bonds, plus accrued interest, if any, on the Series 1993A Bonds from , 1993, to the date of delivery of and payment for the Series 1993A Bonds, on the terms and conditions set forth in the Forward Purchase Agreement and upon the basis of the representations therein set forth. (b) The Series 1993B Bonds authorized to be issued herein are hereby sold to the purchasers thereof pursuant to the Forward Purchase Agreement at an aggregate price of $ (being %* of the principal amount of the Series 1993B Bonds, plus accrued interest, if any, on the Series 1993B Bonds from , 1993, to the date of delivery of and payment for the Series 1993B Bonds, on the terms and conditions set forth in the Forward Purchase Agreement and upon the basis of the representations therein set forth. (c) To evidence the acceptance of the Forward Purchase Agreement, the Mayor is hereby authorized to execute and deliver, and the City Recorder is hereby authorized to seal, attest and countersign, the Forward Purchase Agreement in substantially the form presented at the meeting at which this Series 1993 Supplemental Resolution is adopted. Such sale of the Series 1993 Bonds and the execution and delivery of the Forward Purchase Agreement is hereby ratified, approved and confirmed. It is recognized that the * Each maturity may be sold at a different purchase price, depending on market conditions. -9- full purchase price for the Series 1993 Bonds may not be available pursuant to the Forward Purchase Contract to purchase all of the Series 1993 Bonds. In such event, there shall be delivered to the purchasers of the Series 1993 Bonds only those Series 1993 Bonds for which the purchase price is paid in full in accordance with the terms and provisions of the Forward Purchase Contract. (d) The final Offering Statement of the City in substantially the form presented at the meeting at which this Series 1993 Supplemental Resolution is adopted, with such changes, omissions, insertions and revisions as the Mayor shall deem advisable, is hereby authorized and the Mayor shall sign and deliver such final Offering Statement to the Underwriters for distribution to prospective purchasers of the Series 1993 Bonds and other interested persons. Such approval of any such changes shall be conclusively established by the Mayor's signing of one or more copies of the final Offering Statement. The prior distribution of the preliminary Offering Statement is hereby in all respects authorized, ratified and approved. (e) The City agrees that it will not issue any bonds, refunding bonds or other obligations payable from the Revenues of the City Airports within a period of at least 31 days before and after the date of adoption of this Supplemental Resolution and before and after the date of delivery of the Series 1993 Bonds to the purchasers thereof pursuant to the Forward Purchase Agreement. Section 208. Execution of Series 1993 Bonds. The Series 1993 Bonds shall be executed on behalf of the City by the Mayor by his manual or facsimile signature, and attested and countersigned by the City Recorder by her manual or facsimile signature, and the City's seal shall be affixed to, or a facsimile thereof imprinted upon, the Series 1993 Bonds. Series 1993 Bonds shall then be delivered to the Trustee and held by it for authentication and delivery in accordance with the provisions of the Forward Purchase Contract. Section 209. Delivery of Series 1993 Bonds. The Trustee is hereby authorized and directed to manually authenticate and deliver the Series 1993 Bonds in accordance with the provisions of the Forward Purchase Agreement upon receipt by the Trustee of (a) an opinion of Bond Counsel in substantially the form attached to the Forward Purchase Agreement, as executed and delivered, (b) , and (c) the purchase price of the Series 1993 Bonds as contemplated by Section 207 hereof. Section 210. Initial Purchase Agreement. The Mayor is hereby authorized to execute and deliver, and the City Recorder is hereby authorized to seal, attest and countersign, the Initial Purchase Agreement in substantially the form presented at the meeting at which this Series 1993 Supplemental Resolution is adopted. Section 211. Further Authority. The Mayor, the Director of Airports, the Director of Finance, the City Recorder, the City Treasurer, or other officers of the City are, and each of them is, hereby authorized and directed to do or perform all such acts and to execute all such certificates, documents and other instruments as may be necessary or advisable to provide for the issuance, sale and delivery of the Series 1993 Bonds and the consummation by the City of the transactions contemplated by the Initial Purchase Agreement, the Forward Purchase Agreement, and the Offering Statement. Without limiting the foregoing, it is recognized that such transactions includes (a) certain -10- transactions related to the deposit by the purchasers of the Series 1993 Bonds of the purchase price with the Bank pursuant to the Forward Purchase Agreement on or before , 1989, and (b) certain transactions related to the issuance and delivery of the Series 1993 Bonds on or around , 1993. The authorization and direction contained in this Section 211 and elsewhere in this Series 1993 Resolution shall apply to each person holding the office authorized or directed to perform the act or execute a certificate, document or instrument at the time such act is to be performed or such certificate, document or instrument is to be executed or delivered, irrespective of who holds such office on the date this Series 1993 Supplemental Resolution is adopted. Section 212. Book-Entry System; Limited Obligation of City. The Series 1993 Bonds shall be initially issued in the form of a separate single certificated fully registered bond for each maturity, respectively, of the Series 1993A Bonds and the Series 1993B Bonds. Upon initial issuance, the ownership of such Series 1993 Bonds shall be registered in the registration books kept by the Trustee in the name of Cede, as nominee of DTC. Except as provided in Section 214 hereof, all of the outstanding Series 1993 Bonds shall be registered in the registration books kept by the Trustee in the name of Cede, as nominee of DTC. With respect to Series 1993 Bonds registered in the registration books kept by the Trustee in the name of Cede, as nominee of DTC, the City, the Trustee and the Paying Agent shall have no responsibility or obligation to any Participant or to any Person on behalf of which a Participant holds an interest in the Series 1993 Bonds. Without limiting the immediately preceding sentence, the City, the Trustee and the Paying Agent shall have no responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede or any Participant with respect to any ownership interest in the Series 1993 Bonds, (ii) the delivery to any Participant or any other Person, other than a Bondholder, as shown in the registration books kept by the Trustee, of any notice with respect to the Series 1993 Bonds, including without limitation any notice of redemption or (iii) the payment to any Participant or any other Person, other than a Bondholder, as shown in the registration books kept by the Trustee, of any amount with respect to principal of, premium, if any, or interest on the Series 1993 Bonds. The City, the Trustee and the Paying Agent may treat and consider the Person in whose name each Series 1993 Bond is registered in the registration books kept by the Trustee as the holder and absolute owner of such Series 1993 Bond for the purpose of payment of principal, premium and interest with respect to such Series 1993 Bond, for the purpose of giving notices of redemption and other matters with respect to such Series 1993 Bond, for the purpose of registering transfers with respect to such Series 1993 Bond, and for all other purposes whatsoever. The Paying Agent shall pay all principal of and interest on the Series 1993 Bonds only to or upon the order of the respective Bondholders, as shown in the registration books kept by the Trustee, or their respective attorneys duly authorized in writing, as provided in Section 205 hereof, and all such payments shall be valid and effective to fully satisfy and discharge the City's obligations with respect to payment of principal of, premium, if any, and interest on the Series 1993 Bonds to the extent of the sum or sums so paid. No Person other than a holder of a Series 1993 Bond, as shown in the registration books kept by the Trustee, shall receive a certificated Series 1993 Bond evidencing the obligation of the City to make payments of principal, premium, if any, and interest pursuant to this Series 1993 Supplemental Resolution. Upon delivery by DTC to the City of written notice to the effect that DTC has determined to substitute a new nominee in place of Cede, the word "Cede" in this Series 1993 Supplemental Resolution shall refer to such new nominee of DTC. Upon receipt of such a notice, the City shall promptly deliver a copy of the same to the Trustee and the Paying Agent. -11- Section 213. Representation Letter. The Representation Letter in substantially the form before the Council at the meeting at which this Series 1993 Supplemental Resolution is adopted, with such changes, omissions, insertions and revisions as the Mayor of the City shall approve, is hereby authorized and the Mayor of the City shall execute and deliver, and the City Recorder of the City shall seal, countersign and attest, such Representation Letter. The approval of the Mayor of the City of any such changes, omissions, insertions and revisions shall be conclusively established by his execution of the Representation Letter. The City's execution and delivery of the Representation Letter shall not in any way limit the provisions of Section 212 hereof or in any other way impose upon the City any obligation whatsoever with respect to Persons having interests in the Series 1993 Bonds other than the Bondholders, as shown on the registration books kept by the Trustee. In the written acceptance of each Paying Agent referred to in Section 7.02 of the Resolution, such Paying Agent shall agree to take all action necessary for all representations of the City in the Representation Letter with respect to the Paying Agent to at all times be complied with. The Trustee shall signify in writing its agreement to take all actions necessary for all representations of the City in the Representation Letter with respect to the Trustee to at all times be complied with. So long as any Series 1993 Bond is registered in the name of Cede, as nominee of DTC, all payments with respect to principal of, premium, if any, and interest on such Series 1993 Bond and all notices with respect to such Series 1993 Bond shall be made and given, respectively, in the manner provided in the Representation Letter. Section 214. Transfers Outside Book-Entry System. In the event that (a) the City determines that DTC is incapable of discharging or is unwilling to discharge its responsibilities described herein and in the Representation Letter, (b) DTC determines to discontinue providing its service as securities depository with respect to the Series 1993 Bonds at any time as provided in the Representation Letter or (c) the City determines that it is in the best interests of the beneficial owners of the Series 1993 Bonds that they be able to obtain certificated Series 1993 Bonds, the City shall notify DTC and direct DTC to notify the Participants of the availability through DTC of certificated Series 1993 Bonds and the Series 1993 Bonds shall no longer be restricted to being registered in the registration books kept by the Trustee in the name of Cede, as nominee of DTC. At that time, the City may determine that the Series 1993 Bonds shall be registered in the name of and deposited with such other depository operating a universal book-entry system as may be acceptable to the City, or such depository's agent or designee, and if the City does not select such alternate universal book-entry system, then the Series 1993 Bonds shall no longer be restricted to being registered in the registration books kept by the Trustee in the name of Cede, as nominee of DTC, but may be registered in whatever name or names Bondholders transferring or exchanging Series 1993 Bonds shall designate, in accordance with the provisions of Article III of the Resolution. Section 215. Payments to Cede. Notwithstanding any other provision of this Series 1993 Supplemental Resolution to the contrary, so long as any Series 1993 Bond is registered in the name of Cede, as nominee of DTC, all payments with respect to principal of, premium, if any, and interest on such Series 1993 Bond and all notices with respect to such Series 1993 Bond shall be made and given, respectively, in the manner provided in the Representation Letter. -12- ARTICLE III ESTABLISHMENT OF SERIES 1993 PROJECT COST OF ISSUANCE FUND, APPLICATION OF SERIES 1993 BOND PROCEEDS AND OTHER MONEYS [Section 301. Series 1993 Cost of Issuance Fund. There is hereby established a separate fund designated as the "Series 1993 Cost of Issuance Fund" to be held by the Trustee. Moneys in the Series 1993 Cost of Issuance Fund shall, to the extent available, be used for the payment of costs of issuance of the Series 1993 Bonds, including the initial Series 1993 Credit Enhancement Costs. Any moneys remaining in the Series 1993 Cost of Issuance Fund on the earlier of (a) , 1993, or (b) the date of the full and final payment of all costs of issuance of the Series 1993 Bonds shall be transferred promptly by the Trustee and deposited into the Bond Service Account. Costs of issuance of the Series 1993 Bonds for which moneys are not available in the Series 1993 Cost of Issuance Fund shall be paid as an Operation and Maintenance Cost.] Section 302. Application of Proceeds of Series 1993 Bonds and Certain Other Moneys. From the proceeds of the Series 1993 Bonds, there shall be paid to the Trustee for deposit as follows: (1) Into the Bond Service Account, the amount of interest, if any, accrued from 1, 1993, to the date of delivery of the Series 1993 Bonds; (2) Into the Debt Service Reserve Account, $ (3) $ from the proceeds of the sale of the Series 1993 Bonds shall, simultaneously with the delivery of the Series 1993 Bonds, be deposited in trust with the Escrow Agent and invested in the manner and to the extent required by the Escrow Agreement and in accordance with the provisions of Section 11-27-3, Utah Code Annotated 1953, as amended, and Section 11.01(b) of the Resolution; [provided, however, that if an amount less than the full $ is required to provide for the refunding and payment of the Refunded Bonds upon call for redemption, as provided in the Resolution and the Escrow Agreement, the amount not required for such purpose and specified in the Written Request of the City signed by the Mayor or the City Treasurer and delivered contemporaneously with the issuance of the Series 1993 Bonds shall be deposited into the Series 1993 Cost of Issuance Fund;] and (4) Into the Series 1993 Cost of Issuance Fund, the balance of the proceeds of the Series 1993 Bonds. Section 303. Series 1993 Bond Service Subaccount. Pursuant to Section 5.07(a) of the Resolution, there is hereby established a subaccount in the Bond Service Account in the Principal and Interest Fund designated as the "Series 1993 Bond Service Subaccount". Moneys shall be deposited into and paid from the Series 1993 Bond Service Subaccount in accordance with Section 5.07 of the Resolution to pay Debt Service on the Series 1993 Bonds. -13- Section 304. Series 1993 Debt Service Reserve Subaccount. (a) Pursuant to Section 5.08(a) of the Resolution, there is hereby established a subaccount in the Debt Service Reserve Account designated as the "Series 1993 Debt Service Reserve Subaccount." Moneys shall be paid from the Series 1993 Debt Service Reserve Subaccount, if, when and as required by the Resolution, to remedy deficiencies in the Series 1993 Bond Service Subaccount in accordance with Section 5.08 of the Resolution. [Moneys shall be deposited into the Series 1993 Debt Service Reserve Subaccount pursuant to Section 5.06(a)(1)(B) of the Resolution to pay the Series 1993 Reserve Instrument Repayment Obligations in accordance with Section 702(c) hereof. The City shall cause the Series 1993 Debt Service Reserve Requirement to be satisfied by delivery to the Trustee of the Series 1993 Reserve Instrument and maintaining the Reserve Instrument Coverage under the Series 1993 Reserve Instrument in an amount at least equal to the Series 1993 Debt Service Reserve Requirement. Trustee shall draw on the Series 1993 Reserve Instrument in accordance with the provisions of Section 702 of this Series 1993 Supplemental Resolution.] [(b) The City reserves the right to adopt proceedings and implement a schedule for accumulating Revenues in a fund sufficient to substitute such fund when fully funded into the Debt Service Reserve Account in lieu of the Series 1993 Reserve Instrument; provided, however, that if the City elects to proceed under this Section 304(b), any moneys accumulated in such fund shall be invested at a yield that does not exceed the yield on the Series 1993 Bonds unless the City delivers to the Trustee an opinion from Bond Counsel to the effect that investment of such moneys at a yield greater than the yield on the Series 1993 Bonds will not cause the Series 1993 Bonds to constitute "arbitrage bonds" within the meaning of Section 103 of the Code.] ARTICLE IV DEFEASANCE AND REDEMPTION OF REFUNDED BONDS Section 401. Defeasance of Refunded Bonds. In accordance with the provisions of Section 11.01 of the Prior Lien Resolution, it is hereby found and determined that, pursuant to the Escrow Agreement, moneys and Investment Securities permitted under Section 11.01(b) of the Prior Lien Resolution, the principal of and the interest on which, when due, will provide moneys which shall be sufficient to pay, when due, the redemption price and interest due and to become due on the Refunded Bonds on the redemption date of June 1, 1993, will have been deposited with the Trustee, as Escrow Agent, [and that upon compliance with the provisions of Section 11.01(b)(1) of the Prior Lien Resolution as provided for in the Escrow Agreement, all Refunded Bonds shall be deemed to have been paid within the meaning and with the effect expressed in Section 11.01 of the Prior Lien Resolution]. Section 402. Redemption of Refunded Bonds. The Refunded Bonds, consisting of $22,750,000 aggregate principal amount of the Series 1983 Bonds, due June 1 of each of the years 1994 to 2008, inclusive, are hereby called for redemption on June 1, 1993. Notice of redemption shall be given as provided in Section 11.01(b)(1) of the Prior Lien Resolution, in accordance with the provisions and requirements of the Escrow Agreement. [Insert provisions, if necessary, for a partial redemption.] -14- Section 403. Escrow Agreement. The Mayor and City Recorder shall, and are hereby authorized to, enter into the Escrow Agreement substantially in the form presented at this meeting with the Escrow Agent establishing the Escrow Account from which principal or redemption price, if applicable, and interest on the Series 1983 Bonds shall be paid. After [all] the Series 1983 Bonds shall have become due and payable upon call for redemption, any investments remaining in the Escrow Account shall be liquidated and any proceeds of liquidation over and above the amount necessary to be retained for the payment of any Series 1983 Bonds not yet presented for payment, including interest due and payable, shall be paid over to the City to be used for any lawful purpose which shall not adversely affect the tax-exempt status of the Series 1993 Bonds. ARTICLE V FORM OF SERIES 1993 BONDS Section 501. Form of Series 1993 Bonds. Subject to the provisions of the Resolution, each Series 1993 Bond shall be in substantially the following form, with such insertions or variations as to any redemption or amortization provisions and such other insertions or omissions, endorsements and variations as may be required or permitted by the Resolution: [FORM OF BOND] REGISTERED REGISTERED No. R-[A][B] $ SALT LAKE CITY, SALT LAKE COUNTY, UTAH AIRPORT REVENUE REFUNDING BOND, SERIES 1993[A][B] SEE REVERSE SIDE FOR INTEREST RATE MATURITY DATE DATED DATE CUSIP: ADDITIONAL PROVISIONS % 1, 1, 1993 Registered Owner: Principal Amount: DOLLARS KNOW ALL MEN BY THESE PRESENTS that Salt Lake City, Salt Lake County, Utah (the "City"), a duly organized and existing municipal corporation and political subdivision of the State of Utah, located in Salt Lake County, Utah, acknowledges itself indebted and for value received hereby promises to pay, in the manner and from the source hereinafter provided, to the registered owner identified above, or registered assigns, on the maturity date identified above, unless this Bond shall have been called for redemption and -15- payment of the redemption price shall have been duly made or provided for, upon presentation and surrender hereof, the principal amount identified above, and to pay, in the manner and from the source hereinafter provided, the registered owner hereof interest on the balance of said principal amount from time to time remaining unpaid from the interest payment date next preceding the date of registration and authentication of this Bond, unless this Bond is registered and authenticated as of an interest payment date, in which event this Bond shall bear interest from such interest payment date, or unless this Bond is registered and authenticated prior to the first interest payment date, in which event this Bond shall bear interest from the dated date specified above, or unless, as shown by the records of the hereinafter referred to Trustee, interest on the hereinafter referred to Series 1993 Bonds shall be in default, in which event this Bond shall bear interest from the date to which interest has been paid in full, at the rate per annum specified above (calculated on the basis of a year of 360 days comprised of twelve 30-day months), payable in each year on 1 and 1, beginning 1, 1993, until payment in full of such principal amount, except as the provisions hereinafter set forth with respect to redemption prior to maturity may become applicable hereto. This Bond, as to principal and redemption price when due, will be payable at the principal corporate trust office of West One Bank, Utah, of Salt Lake City, Utah, a Paying Agent of the City, or its successor as such Paying Agent, in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts; provided, however, that payment of the interest hereon shall be made to the registered owner hereof and shall be paid (1) by check or draft mailed to the person who is the registered owner of record as of the close of business on the fifteenth day of the month next preceding each interest payment date (the "Record Date") at his address as it appears on the registration books of the Trustee or at such other address as is furnished in writing by such registered owner to the Trustee prior to the Record Date or (2) with respect to units of $1,000,000 or more of Bonds, by wire transfer to the registered owner thereof upon written notice by such owner to the Trustee given not later than the Record Date prior to an interest payment date. THE CITY IS OBLIGATED TO PAY PRINCIPAL OF, REDEMPTION PRICE OF, AND INTEREST ON THIS BOND SOLELY FROM THE REVENUES AND OTHER FUNDS OF THE CITY PLEDGED THEREFOR REMAINING AFTER PAYMENT OF ALL OBLIGATIONS DUE PURSUANT TO THE PRIOR LIEN RESOLUTION (AS SUCH TERM IS DEFINED IN THE BOND RESOLUTION HEREINAFTER REFERRED TO) WITH RESPECT TO CERTAIN OUTSTANDING PRIOR LIEN BONDS (AS SUCH TERM IS DEFINED IN THE BOND RESOLUTION) UNDER THE TERMS OF THE BOND RESOLUTION. THIS BOND IS NOT A DEBT OF THE CITY WITHIN THE MEANING OF ANY CONSTITUTIONAL OR STATUTORY LIMITATION OF INDEBTEDNESS. PURSUANT TO THE BOND RESOLUTION, SUFFICIENT REVENUES (AS SUCH TERM IS DEFINED IN THE BOND RESOLUTION) HAVE BEEN PLEDGED AND WILL BE SET ASIDE INTO SPECIAL FUNDS BY THE CITY TO PROVIDE FOR THE PROMPT PAYMENT OF THE PRINCIPAL OF AND INTEREST ON THIS BOND AND ALL BONDS OF THE SERIES OF WHICH IT IS A PART. This Bond and the issue of Bonds of which it is a part are issued in conformity with and after full compliance with the Constitution of the State of Utah and pursuant to the provisions of the Utah Refunding Bond Act, Chapter 27 of Title 11, Utah Code Annotated 1953, as amended (the "Act"), and all other laws applicable thereto. -16- THE TERMS AND PROVISIONS OF THIS BOND ARE CONTINUED ON THE REVERSE SIDE HEREOF AND SUCH CONTINUED TERMS AND PROVISIONS SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS THOUGH FULLY SET FORTH AT THIS PLACE. [The language contained in this paragraph may be deleted for Bonds issued in form and the language to be contained on the reverse side of definitive Bonds may be inserted here.] It is hereby certified and recited that all conditions, acts and things required by the Constitution or statutes of the State of Utah or by the Act or the Bond Resolution to exist, to have happened or to have been performed precedent to or in the issuance of this Bond exist, have happened and have been performed and that the issue of Bonds, together with all other indebtedness of the City, is within every debt and other limit prescribed by said Constitution and statutes. This Bond shall not be valid until the Certificate of Authentication hereon shall have been signed by the Trustee. [ (" ") has issued its (the "Policy") with respect to the principal of and interest on the Bonds which is due for payment. Certain provisions of the Policy are set forth on the reverse hereof. BY ACCEPTANCE OF THIS BOND, THE OWNER HEREOF AGREES TO THE ASSIGNMENT TO OF CERTAIN RIGHTS OF SUCH OWNER TO ENFORCE THE PROVISIONS OF THE BOND RESOLUTION OR TO INSTITUTE ACTION TO ENFORCE THE PLEDGE OR COVENANTS MADE THEREIN OR TO TAKE ACTIONS WITH RESPECT TO AN EVENT OF DEFAULT UNDER THE BOND RESOLUTION OR TO INSTITUTE, APPEAR IN, OR DEFEND ANY SUIT OR OTHER PROCEEDING WITH RESPECT THERETO, WHICH RIGHTS ARE EXERCISABLE BY AS PROVIDED IN THE BOND RESOLUTION.] IN WITNESS WHEREOF, SALT LAKE CITY, SALT LAKE COUNTY, UTAH, has caused this Bond to be signed in its name and on its behalf by the signature of its Mayor, and a of its corporate seal to be imprinted hereon, and attested and countersigned by the signature of its City Recorder, all as of the dated date specified above. SALT LAKE CITY, SALT LAKE COUNTY, UTAH By [Manual or Facsimile Signature] Mayor ATTEST AND COUNTERSIGNED: By [Manual or Facsimile Signature] City Recorder [FACSIMILE SEAL] -17- [FORM OF TRUSTEE'S CERTIFICATE OF AUTHENTICATION] This Bond is one of the Bonds described in the within mentioned Bond Resolution and is one of the Airport Revenue Refunding Bonds, Series 1993[A][B], of Salt Lake City, Salt Lake County, Utah. Date of registration and authentication: • WEST ONE BANK, UTAH, as Trustee By Authorized Officer [FORM OF REVERSE OF BOND] This Bond is a special obligation of the City and is one of the Airport Revenue Bonds of the City (the "Bonds") issued under and by virtue of the Act and under and pursuant to Resolution No. 45 of 1989 Providing for the Issuance of Airport Revenue Bonds, adopted on April 11, 1989 (the "Resolution"), as from time to time amended or supplemented by further resolutions of the City, including Supplemental Resolution No. 46 of 1989, adopted on April 11, 1989, and Supplemental Resolution No. of 1989 adopted on 1989 authorizing the issuance and sale of this Series of Bonds (the "Series 1993 Supplemental Resolution"), (such Resolution No. 45 of 1989, Supplemental Resolution No. 46 of 1989, Resolution No. of 1989 and any and all such further resolutions being herein collectively called the "Bond Resolution"), for the purpose of providing funds to refund certain outstanding Bonds of the City, and to pay all expenses incident thereto and to the issuance of the Series 1993 Bonds. As provided in the Bond Resolution, Bonds may be issued from time to time in one or more series in various principal amounts, may mature at different times, may bear interest at different rates, and may otherwise vary as provided in the Bond Resolution, and the aggregate principal amount of Bonds which may be issued is not limited. All Bonds issued and to be issued under the Bond Resolution are and will be equally and ratably secured by the pledge and covenants made therein, except as otherwise expressly provided or permitted in or pursuant to the Bond Resolution. This Bond is one of a Series of Bonds designated as "Airport Revenue Refunding Bonds, Series 1993 [A][B]" (herein called the "Series 1993 Bonds"), limited to the aggregate principal amount of $ , dated as of the dated date identified above, and duly issued under and by virtue of the Act and under and pursuant to the Bond Resolution. $ aggregate principal amount of the Series 1993 Bonds have been designated as the Series 1993A Bonds and $ aggregate principal amount of the Series 1993 Bonds have been designated as the Series 1993B Bonds. This Bond is one of the Series 1993 [A][B] Bonds. -18- Copies of the Bond Resolution are on file at the office of the City Recorder in Salt Lake City, Utah, and at the principal corporate trust office of West One Bank, Utah, in Salt Lake City, Utah, as trustee under the Bond Resolution (said trustee and any successors thereto under the Bond Resolution being herein called the "Trustee"), and reference to the Bond Resolution and the Act is made for a description of the pledge and covenants securing the Series 1993 Bonds, the nature, manner and extent of enforcement of such pledge and covenants, the terms and conditions upon which the Series 1993 Bonds are issued and additional Bonds may be issued thereunder, and a statement of the rights, duties, immunities and obligations of the City and of the Trustee. Such pledge and other obligations of the City under the Bond Resolution may be discharged at or prior to the maturity or redemption of the Series 1993 Bonds upon the making of provision for the payment thereof on the terms and conditions set forth in the Bond Resolution. To the extent and in the respects permitted by the Resolution, the Bond Resolution may be modified or amended by action on behalf of the City taken in the manner and subject to the conditions and exceptions prescribed in the Bond Resolution. The holder or owner of this Bond shall have no right to enforce the provisions of the Bond Resolution or to institute action to enforce the pledge or covenants made therein or to take any action with respect to an Event of Default under the Bond Resolution or to institute, appear in, or defend any suit or other proceeding with respect thereto, except as provided in the Bond Resolution. This Bond is transferable, as provided in the Bond Resolution, only upon the books of the City kept for that purpose at the principal corporate trust office of the Trustee, by the registered owner hereof in person or by his attorney duly authorized in writing, upon surrender hereof together with a written instrument of transfer satisfactory to the Trustee, duly executed by the registered owner or such duly authorized attorney, and thereupon the City shall issue in the name of the transferee a new registered Bond or Bonds of the same aggregate principal amount and series, designation, maturity and interest rate as the surrendered Bond, all as provided in the Bond Resolution and upon the payment of the charges therein prescribed. The City and the Trustee may treat and consider the person in whose name this Bond is registered as the holder and absolute owner hereof for the purpose of receiving payment of, or on account of, the principal or redemption price hereof and interest due hereon and for all other purposes whatsoever. The Series 1993 Bonds are issuable solely in the form of fully registered Bonds, without coupons, in the denomination of $5,000, or any integral multiple of $5,000. [The Series 1993 Bonds maturing on 1, , are subject to redemption at a price equal to the principal amount thereof, together with interest thereon accrued to the date of redemption, on 1, , and on each 1 thereafter to and including 1, , by operation of Sinking Fund Installments as provided in the Bond Resolution. The Bond Resolution requires funds to be provided on 1, , and on each 1 thereafter to and including 1, , sufficient to redeem the following principal amounts of such Series 1993 Bonds: -19- 1 of the Year Amount The Series 1993 Bonds maturing on or after 1, , are subject to optional redemption at the election of the City on or after 1, , in whole on any date, or in part on any interest payment date, and if in part, in inverse order of maturities, upon notice given as hereinafter set forth, at a redemption price equal to the principal amount of each Series 1993 Bond to be redeemed, plus redemption premiums (expressed as a percentage of such principal amount) set forth in the following table plus accrued interest to the redemption date: Redemption Date Redemption (Both Dates Inclusive) Price 1, through , % 1, through , % 1, and thereafter %] If less than all of the Series 1993 Bonds are to be redeemed, the particular Series 1993 Bonds to be redeemed shall be selected as provided in the Bond Resolution. Notice of redemption shall be given in accordance with the provisions of the Bond Resolution by first class mail not less than 30 nor more than 45 days prior to the redemption date, to the registered owner of each Series 1993 Bond being redeemed, at his address as it appears on the bond registration books of the Trustee or at such address as he may have filed with the Trustee for that purpose. If notice of redemption shall have been given as aforesaid, the Bonds or portions thereof specified in said notice shall become due and payable at the applicable redemption price on the redemption date therein designated, and if on the redemption date moneys for the payment of the redemption price of all the Bonds to be redeemed, together with interest to the redemption date, shall be available for such payment on said date, then from and after the redemption date interest on such Bonds shall cease to accrue and become payable. Less than all of a Bond in a denomination in excess of $5,000 may be so redeemed, and in such case, upon the surrender of such Bond, there shall be issued to the registered owner thereof, without charge therefor, for the unredeemed balance of the principal amount of such Bond, at the option of such owner, registered Bonds of any of the authorized denominations, all as more fully set forth in the Bond Resolution. Except as otherwise provided herein and unless the context clearly indicates otherwise, words and phrases used herein shall have the same meanings as such words and phrases in the Bond Resolution. -20- [[FORM OF STATEMENT OF INSURANCE] STATEMENT OF INSURANCE (" ") has issued a policy containing the following provisions with respect to the Airport Revenue Refunding Bonds, Series 1993 (the "Bonds") of Salt Lake City, Salt Lake County, Utah (the "City"), such policy being on file at the principal office of the Trustee named in the Bond, as paying agent (the "Paying Agent"): hereby unconditionally and irrevocably agrees to pay for disbursement to the Bondholders that portion of the principal of and interest on the Bonds which is then due for payment and which the City shall have failed to provide. Due for payment means, with respect to the principal, the stated maturity date or mandatory sinking fund redemption date thereof, but not any earlier date on which the payment of principal of the Bonds is due by reason of acceleration, and with respect to interest, the stated date for payment of such interest. Upon receipt of telephonic or telegraphic notice, subsequently confirmed in writing, or written notice by registered or certified mail, from a Bondholder or the Paying Agent to that the required payment of principal or interest has not been made by the City to the Paying Agent, on the due date of such payment or within one business day after receipt of notice of such nonpayment, whichever is later, will make a deposit of funds, in an account with , or its successor as its agent (the "Fiscal Agent"), sufficient to make the portion of such payment not paid by the City. Upon presentation to the Fiscal Agent of evidence satisfactory to it of the Bondholder's rights to receive such payment and any appropriate instruments of assignment required to vest all of such Bondholder's rights to such payment in , the Fiscal Agent will disburse such amount to the Bondholder. As used herein the term "Bondholder" means the person other than the City who at the time of nonpayment of a Bond is entitled under the terms of such Bond to payment thereof. The policy is non-cancellable for any reason. ] -21- [FORM OF ASSIGNMENT] The following abbreviations, when used in the inscription on the face the within Bond shall be construed as though they were written out in full according to applicable laws or regulations: TEN COM- as tenants in UNIF GIFT MIN ACT- Custodian common (Cust) (Minor) TEN ENT- as tenants by the entireties under Uniform Gifts to Minors JT TEN- as joint tenants with right of sur- Act vivorship and not as (State) tenants in common Additional abbreviations may also be used though not in the list above. For value received hereby sells, assigns and transfers unto INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF ASSIGNEE 1 I (Please Print or Typewrite Name and Address of Assignee) the within Bond of SALT LAKE CITY, SALT LAKE COUNTY, UTAH, and hereby irrevocably constitutes and appoints Attorney to register the transfer of said Bond on the books kept for registration thereof, with full power of substitution in the premises. Dated: Signature: Signature Guaranteed: NOTICE: Signature(s) must be guaranteed by a member firm of The New York Stock Exchange or a commercial bank or trust company. NOTICE: The signature to this assignment must correspond with the name as it appears upon the face of the within Bond in every particular, without alteration or enlargement or any change whatever. -22- ARTICLE VI COMPLIANCE WITH REBATE AND OTHER REQUIREMENTS OF THE CODE Section 601. Authorization and Covenants. (a) The Mayor, Director of Airports, City Treasurer and City Recorder of the City are hereby authorized and directed to execute such Tax Exemption Certificates as shall be necessary to establish that (i) the Series 1993 Bonds are not "arbitrage bonds" within the meaning of Section 148 of the Code and applicable regulations, (ii) all applicable requirements of the Code are and will be met, (iii) the covenants of the City contained in this Article will be complied with, and (iv) interest on the Series 1993 Bonds, at the time of their issuance, is not and will not become includible in gross income of the owners thereof for federal income tax purposes under the Code and applicable regulations. (b) The City covenants and certifies to and for the benefit of the owners from time to time of the Series 1993 Bonds that: (i) it will at all times comply with the provisions of any Tax Exemption Certificates; (ii) it will at all times comply with the rebate requirements contained in Section 148(f) of the Code (or successor provision) including, without limitation, entering into any necessary rebate calculation agreement to provide for the calculations of amounts required to be rebated to the United States, the keeping of records necessary to enable such calculations to be made and the timely payment to the United States of all amounts, including any applicable penalties and interest, required to be rebated; (iii) no use will be made of the proceeds of the issue and sale of the Series 1993 Bonds, or any funds or accounts of the City which may be deemed to be proceeds of the Series 1993 Bonds, pursuant to Section 148 of the Code (or successor provision) and applicable regulations (proposed or promulgated) which use, if it had been reasonably expected on the date of issuance of the Series 1993 Bonds, would have caused the Series 1993 Bonds to be classified as "arbitrage bonds" within the meaning of Section 148 of the Code (or successor provision); (iv) it will not take any action that would cause interest on the Series 1993 Bonds to be or to become ineligible for the exclusion from gross income of the owners of the Series 1993 Bonds as provided in Section 103 of the Code (or successor provision), nor will it omit to take or cause to be taken, in timely manner, any action, which omission would cause interest on the Series 1993 Bonds to be or to become ineligible for the exclusion from gross income of the owners of the Series 1993 Bonds as provided in Section 103 of the Code (or successor provision). (c) Notwithstanding anything in the Resolution to the contrary and in accordance with the City's covenants in this Article, all moneys and investments held in the Funds and Accounts established and administered under the Resolution shall be subject to the requirements of the Tax Exemption Certificates relating to the rebate of certain excess amounts computed in accordance with Section 148(f) of the Code (or successor provision) held therein to the United States at the times and in the amounts determined in accordance with the applicable provisions of the Tax Exemption Certificates to maintain the -23- excludability of interest on the Series 1993 Bonds from gross income of the owners thereof for federal income tax purposes. (d) Pursuant to the foregoing covenants, the City obligates itself to comply throughout the term of the issue of the Series 1993 Bonds with the requirements of Section 103 of the Code (or successor provision) and the regulations proposed or promulgated thereunder. Section 602. Additional Payments. The City hereby agrees to pay to the United States from legally available moneys of the City (whether or not such available moneys are on deposit in any fund or account related to the Series 1993 Bonds) any amount which is required to be paid to the United States as rebate pursuant to Section 148(f) of the Code (or successor provision), but which is not available in a fund or account related to the Series 1993 Bonds or payment to the United States. This obligation shall not be construed as constituting a debt or liability of the City within the meaning of any constitutional limitation upon the incurrence of indebtedness by the City. Section 603. Investments to Be Legal. All investments subject to rebate shall be made to the extent permitted by law and shall comply with the investment provisions contained in the Tax Exemption Certificates. Section 604. Opinion of Bond Counsel; Amendments. The provisions of this Article and the provisions of any Tax Exemption Certificates need not be observed and the provisions of this Article and any Tax Exemption Certificates may be amended or supplemented at any time by the City without the consent of the Trustee or any Bondholder if the Trustee receives an opinion of Bond Counsel to the effect that the failure to comply with such provisions, and the terms of such amendment or supplement, will not adversely affect the exclusion from federal income taxes of interest on the Series 1993 Bonds. Section 605. Additional Covenants; Agreements. The City hereby covenants to make, execute and enter into (and to take such actions, if any, as may be necessary to enable it to do so) any Supplemental Resolution or Tax Exemption Certificate necessary to comply with any changes in law or regulations in order to preserve the exemption from federal income taxation of interest on the Series 1993 Bonds to the extent that the City may lawfully do so. The City further covenants to (a) impose such limitations on the investment or use of moneys or investments related to the Series 1993 Bonds, (b) make such payments to the United States Treasury, (c) maintain such records, (d) perform such calculations and (e) perform such other acts as may be necessary to preserve the exclusion from federal income taxation of interest on the Series 1993 Bonds and which the City may lawfully do. [ARTICLE VII SERIES 1993 RESERVE INSTRUMENT Section 701. Authorization. (a) The use of the Series 1993 Reserve Instrument is hereby authorized. So long as the Series 1993 Reserve Instrument shall be in effect and there is no default in the payment obligations on the Series 1993 Security Instrument, the City and the Trustee shall comply with the provisions of the Series 1993 Reserve Instrument. The Mayor is hereby authorized to execute and deliver, and the City Recorder is hereby authorized to countersign and attest, the Series 1993 Reserve Instrument Agreement in substantially the form presented at the meeting at which the Series 1993 -24- Supplemental Resolution is adopted, with such changes, omissions, insertions and revisions as the Mayor shall deem advisable. (b) The obligation of the City to pay the Series 1993 Reserve Instrument Issuer the amounts specified by paragraph of the Series 1993 Reserve Instrument Agreement shall constitute Reserve Instrument Repayment Obligations under the Resolution and Series 1993 Reserve Instrument Repayment Obligations hereunder. For all purposes of the Resolution, the amounts payable under paragraph of the initial Series 1993 Reserve Instrument Agreement and Section 702(c)(1) hereof shall be allocable as principal of the Series 1993 Reserve Instrument Repayment Obligations and the amounts payable under paragraph of the initial Series 1993 Reserve Instrument Agreement and Section 702(c)(2) hereof shall be allocable as interest on the Series 1993 Reserve Instrument Repayment Obligations. The City has no obligation to pay any amount which would constitute Reserve Instrument Costs. Section 702. Draws on Series 1993 Reserve Instrument. (a) At least two business days before each interest payment date, the Trustee shall ascertain the necessity for a draw on the Series 1993 Reserve Instrument and provide notice to the Series 1993 Reserve Instrument Issuer in accordance with the terms of the Series 1993 Reserve Instrument. (b) The Trustee shall, on or before any payment date for the Series 1993 Bonds on which there are insufficient funds available in the Series 1993 Bond Service Subaccount to make the payment due on such payment date, draw upon the Series 1993 Reserve Instrument in accordance with its terms, to the extent necessary, and shall apply moneys received as a result of such drawing, to pay Principal Installments of and interest on the Series 1993 Bonds, whether upon redemption, at maturity or upon acceleration of maturity. If and to the extent that cash has also been deposited in the Debt Service Reserve Series 1993 Subaccount, all such cash shall be used (or investments purchased with such cash shall be liquidated and the proceeds applied as required) prior to any drawing under the Series 1993 Reserve Instrument. (c) If the Series 1993 Reserve Instrument Issuer makes any payments to the Trustee pursuant to a draw on the Series 1993 Reserve Instrument as contemplated by Section 702(b), the City shall (1) repay the Series 1993 Reserve Instrument Issuer such amount and related reasonable expenses incurred by the Series 1993 Reserve Instrument Issuer, and the City (2) shall pay interest thereon at a rate equal to the lower of (i) the prime rate of Morgan Guaranty Trust Company of New York in effect from time to time plus 2% per annum or (ii) the highest rate permitted by law. Repayment of such draws, expenses and accrued interest are hereby designated as Series 1993 Reserve Instrument Repayment Obligations and shall commence in the first month following each draw, and each such monthly payment shall be in an amount at least equal to 1/12 of the aggregate of such Series 1993 Reserve Instrument Repayment Obligations related to such draw by the City by transferring and depositing such amount in the Series 1993 Debt Service Reserve Subaccount, subject to the provisions of Section 5.06(a)(1)(B) of the Resolution. The Trustee shall promptly pay such amounts to the Series 1993 Reserve Instrument Issuer in accordance with its instructions. Section 703. Remedies of Series 1993 Reserve Instrument Issuer. So long as the Series 1993 Reserve Instrument shall be in effect and there is no default in the payment obligation on the Series 1993 Reserve Instrument, if the City shall fail to repay any Policy Costs in accordance with Section 702(c) hereof the Series 1993 Reserve Instrument Issuer -25- shall be entitled to exercise any and all remedies available at law or under the Resolution other than (i) acceleration of the maturity of the Series 1993 Bonds or (ii) remedies which would adversely affect holders of any Bonds. Section 704. No Assignment of Series 1993 Debt Service Reserve Instrument or Revenues. The Trustee shall not sell, assign or otherwise transfer the Series 1993 Reserve Instrument, except to a successor Trustee under this Series 1993 Supplemental Resolution and in accordance with the terms of the Series 1993 Reserve Instrument. The Trustee is authorized to comply with the provisions of the Series 1993 Reserve Instrument. Section 705. Consent of (Bond Insurer) for Other Reserve Instruments. As long as the Series 1993 Reserve Instrument shall be in effect and shall not be in payment default, the City shall not obtain, without the consent of (Bond Insurer), any Reserve Instrument relating to the Series 1993 Bonds other than the Series 1993 Reserve Instrument.] [ARTICLE VIII SERIES 1993 SECURITY INSTRUMENT Section 801. Authorization. The use of the Series 1993 Security Instrument to secure the Series 1993 Bonds is hereby authorized. So long as the Series 1993 Security Instrument shall be in effect and there is no default in the payment obligation on the Series 1993 Security Instrument, the City and the Trustee shall comply with the provisions of the Series 1993 Security Instrument and the provisions of this Article VIII. The City has no obligation to pay any amount which would constitute Reserve Instrument Costs and no obligation to pay any amount which would constitute Security Instrument Costs (provided that this sentence shall not be construed as limiting the City's obligation to pay amounts due on Series 1993 Bonds to which the Series 1993 Security Instrument Issuer has been subrogated). Section 802. Payments to Series 1993 Bondholders; Subrogation. (a) If, on the third business day preceding any interest payment date for the Series 1993 Bonds there is not on deposit with the Trustee sufficient moneys available to pay all Principal Installments of and interest on the Series 1993 Bonds due on such date, the Trustee shall immediately notify the Series 1993 Security Instrument Issuer and its designated agent (the "Fiscal Agent") of the amount of such deficiency. If, on said interest payment date, the City has not provided the amount of such deficiency, the Trustee shall simultaneously make available to the Series 1993 Security Instrument Issuer and to the Fiscal Agent the registration books for the Series 1993 Bonds maintained by the Trustee. In addition: (i) The Trustee shall provide the Series 1993 Security Instrument Issuer with a list of the Series 1993 Bondholders entitled to receive Principal Installments or interest payments from the Series 1993 Security Instrument Issuer under the terms of the Series 1993 Security Instrument and shall make arrangements with the Series 1993 Security Instrument Issuer and its Fiscal Agent (1) to mail checks or drafts to Series 1993 Bondholders entitled to receive full or partial interest payments from the Series 1993 Security Instrument Issuer and (2) to pay Principal Installments of the Series 1993 Bonds surrendered to the Fiscal Agent by the Series 1993 Bondholders entitled to receive full or partial Principal Installments payments from the Series 1993 Security Instrument Issuer; and -26- (ii) The Trustee shall, at the time it makes the registration books available to the Series 1993 Security Instrument Issuer pursuant to (a) above, notify Series 1993 Bondholders entitled to receive the payment of Principal Installments of or interest on the Series 1993 Bonds from the Series 1993 Security Instrument Issuer (1) as to the fact of such entitlement, (2) that the Series 1993 Security Instrument Issuer will remit to them all or part of the interest payments coming due, (3) that, except as provided in paragraph (b) below, in the event that any Series 1993 Bondholder is entitled to receive full payment of the principal amount of a Series 1993 Bond from the Series 1993 Security Instrument Issuer, such Series 1993 Bondholder must tender his Series 1993 Bond with the instrument of transfer in the form provided on the Series 1993 Bond executed in the name of the Series 1993 Security Instrument Issuer, and (4) that, except as provided in paragraph (b) below, in the event that such Series 1993 Bondholder is entitled to receive partial payment of the principal amount of a Series 1993 Bond from the Series 1993 Security Instrument Issuer, such Series 1993 Bondholder must tender his Series 1993 Bond for payment first to the Trustee, which shall note on such Series 1993 Bond the portion of principal paid by the Trustee, and then, with the form of transfer executed in the name of the Series 1993 Security Instrument Issuer, to the Fiscal Agent, which will then pay the unpaid portion of principal to the Series 1993 Bondholder. (b) In the event that the Trustee has notice that any payment of principal of or interest on a Series 1993 Bond has been recovered from a Series 1993 Bondholder pursuant to the United States Bankruptcy Code by a trustee in bankruptcy in accordance with the final, nonappealable order of a court having competent jurisdiction, the Trustee shall, at the time it provides notice to the Series 1993 Security Instrument Issuer, notify all Series 1993 Bondholders that in the event that any Series 1993 Bondholder's payment is so recovered, such Series 1993 Bondholder will be entitled to payment from the Series 1993 Security Instrument Issuer to the extent of such recovery, and the Trustee shall furnish to the Series 1993 Security Instrument Issuer its records evidencing the payments of principal of and interest on the Series 1993 Bonds which have been made by the Trustee and subsequently recovered from the Series 1993 Bondholders, and the dates on which such payments were made. (c) The Series 1993 Security Instrument Issuer shall, to the extent it makes payment of principal of or interest on the Series 1993 Bonds, become subrogated to the rights of the recipients of such payments in accordance with the terms of the Series 1993 Security Instrument and, to evidence such subrogation, (1) in the case of subrogation to claims for past due interest, the Trustee shall note the Series 1993 Security Instrument Issuer's rights as subrogee on the registration books maintained by the Trustee upon receipt from the Series 1993 Security Instrument Issuer of proof of the payment of interest thereon to the holders of such Series 1993 Bonds and (2) in the case of subrogation as to claims for past due principal, the Trustee shall note the Series 1993 Security Instrument Issuer's right as subrogee on the registration books for the Series 1993 Bonds maintained by the Trustee upon receipt of proof of the payment of principal thereof to the holders of such Series 1993 Bonds. Section 803. Limitation on Issuance of Additional Bonds. So long as the Series 1993 Security Instrument shall be in effect and there is no default in the payment obligations on the Series 1993 Security Instrument, the City covenants that Variable Rate Bonds shall not be issued in an aggregate Principal amount exceeding 40% of the then Outstanding Principal amount of Bonds and Prior Lien Bonds unless the Trustee shall be provided with an Accountant's Certificate certifying that Net Revenues for the preceding -27- two Fiscal Years equaled at least 125% of Aggregate Debt Service on the Bonds Outstanding and the proposed Bonds for such period, assuming Variable Rate Bonds Outstanding and proposed to be issued bore interest during such period at the maximum interest rate such Variable Rate Bonds may bear. Section 804. Limitation on Rights of Bondholders under Article VIII of the Resolution. So long as the Series 1993 Security Instrument is in full force and effect and not in default on any payment obligation, no Holder of a Series 1993 bond may exercise any rights under Sections 9.02 or 9.05 of the Resolution without the prior written consent of the Series 1993 Security Instrument Issuer. Section 805. Access to Registration Books. Upon the occurrence of an Event of Default which would require the Series 1993 Security Instrument Issuer to make payments under the Series 1993 Security Instrument, the Series 1993 Security Instrument Issuer and its designated agent shall be provided with access to the Bond registration books of the City maintained by the Trustee. Section 806. Supplemental Resolution Transcript. The Series 1993 Security Instrument Issuer shall be provided with a full transcript of all proceedings relating to the execution of any supplemental resolution, regardless of whether consent of the Series 1993 Security Instrument Issuer was required for such execution. Section 807. Additional Conditions for Defeasance. (a) Series 1993 Bonds shall, prior to the maturity or redemption date thereof, be deemed to have been paid within the meaning and effect of Section 11.01(a) of the Resolution upon satisfaction of the conditions specified in Section 11.01(b) of the Resolution provided that (a) the Government Obligations deposited with the Trustee pursuant to Section 11.01(b) of the Resolution are direct non- callable obligations of the United States of America or other Government Obligations approved by the Series 1993 Security Instrument Issuer, and (b) the Trustee shall have received a verification report from an independent nationally recognized public accountant experienced in the preparation of such reports to the effect that funds from such Government Obligations and other available cash deposited with the Trustee will be available in sufficient amounts to satisfy the requirements of Section 11.01 of the Resolution. (b) Amounts paid by the Series 1993 Security Instrument Issuer under the Series 1993 Security Instrument shall not be deemed paid pursuant to Section 11.01(b) of the Resolution and shall continue to be due and owing under the Resolution and hereunder until actually paid by the City. Section 808. Notice. (a) The Security Instrument Issuer shall have the right to receive all notices under the Resolution that are given to the holders of any of the Series 1993 Bonds. All demands, notices, approvals, consents, requests, opinions and other communications hereunder to the Series 1993 Security Instrument Issuer shall be in writing and shall be deemed to have been given when delivered in person or mailed by first class registered or certified mail, postage prepaid, addressed to , Attention: . The Series 1993 Security Instrument Issuer may, by notice to the City and the Trustee, designate any further or different addresses to which subsequent demands, notices, approvals, consents, requests, opinions or other communications shall be sent or persons to whose attention the same shall be directed. -28- Section 809. Reports and Information. The Series 1993 Security Instrument Issuer shall be provided with the following information: (i) Budget for each year and annual audited financial statements, preferably within 120 days after the end of the City's fiscal year; (ii) Official statement, if any, prepared in connection with the issuance of additional debt; (iii) Concurrently with the audited financials, a. Annual traffic data: i. Number of enplane ments/deplanements ii. Number of airlines operating and percentage of enplane- ments/deplanements which each comprises, b. Number and names of airlines which maintain maintenance facilities at the airport, c. Current landing fees rates ($/1000 lbs.), d. Current terminal space rental rate ($/sq.ft.), and e. Expansion and improvements projects planned or undertaken since last reporting date; (iv) Notice of the redemption, other than mandatory sinking fund redemption, of any of the Series 1993 Bonds including the principal amounts, maturities and CUSIP numbers thereof; and (v) Such additional information as the Series 1993 Security Instrument Issuer may reasonably request from time to time. Section 810. Series 1993 Reserve Instrument Issuer as Third-Party Beneficiary. The Series 1993 Reserve Instrument Issuer is a third-party beneficiary of the contract created by the Resolution and the obligations of the City thereunder, and the terms, conditions and obligations of the Resolution are specifically enforceable by the Series 1993 Reserve Instrument Issuer.] ARTICLE IX MISCELLANEOUS Section 901. System of Registration. The Resolution shall constitute a system of registration within the meaning and for all purposes of the Registered Public Obligations Act, Chapter 7 of Title 15, Utah Code Annotated 1953, as amended. -29- Section 902. Article and Section Headings. The headings or titles of the several articles and sections hereof, and any table of contents appended to copies hereof, shall be solely for convenience of reference and shall not affect the meaning, construction or effect of this Series 1993 Supplemental Resolution. Section 903. Partial Invalidity. If any one of more of the covenants or agreements, or portions thereof, provided in this Series 1993 Supplemental Resolution to be performed shall be contrary to law, then such covenant or covenants, such agreement or agreements, or such portions thereof, shall be null and void and shall be deemed separable from the remaining covenants and agreements or portions thereof and shall in no way affect the validity of this Series 1993 Supplemental Resolution or of the Series 1993 Bonds; but the holders of the Series 1993 Bonds, any Security Instrument Issuer and any Reserve Instrument Issuer shall retain all the rights and benefits accorded to them under the Act or any other applicable provisions of law. Section 904. Effective Date. This Series 1993 Supplemental Resolution shall take effect immediately. ADOPTED AND APPROVED this day of , 1989. SALT LAKE CITY, SALT LAKE COUNTY, UTAH Mayor [SEAL] COUNTERSIGN AND ATTEST: City Recorder Approved as to form: City Attorney RJS/jgl/859199-sr -30- 1111111 STAFF RECOMMENDATION BUDGET AMENDMENT NO. 2 SEPTEMBER 15, 1989 STAFF RECOMMENDATION: LEE KING ACTION REQUESTED OF COUNCIL: Amend Salt Lake City Ordinance No. 36 of 1989 adopting the budget of Salt Lake City, Utah, for the fiscal year beginning July 1, 1989 and ending June :30, 1990, BACKGROUND INFORMATION: The City Council will hold a public hearing on September 19, 1989 to receive comments pertaining to budget amendment number 2 for the fiscal year 1989-90 operating budget. The primary purpose of this amendment will be to reappropriate fund balances for CDBG grant operating funds and CIP projects. The total dollar amount of this amendment is $13,617,412. STAFF ANALYSIS: I have reviewed the changes with the various department personnel. Based on this review, I generally categorized the changes as carryovers from prior fiscal years, new items, and housekeeping items for accounting purposes. Because there are so many proposed changes, you may have additional questions or concerns that I have not addressed here. Department representatives will be present at the public hearing to answer specific questions. CARRYOVERS: Carryovers are the reappropriations of CDBG operating fund project balances for ongoing projects, appropriation of fund balance in Fleet to cover purchase orders written before the end of the prior fiscal year, and reappropriation of fund balances to cover the cost of CIP projects and equipment in Public Utilities. NEW PROJECTS: New projects include the funding for the Airport Ground Transportation Operation that was recently discussed during Committee of the Whole. Appropriation of $20,000 is requested to complete a consultant study of downtown parking, with total fund funding to come from RDA and UTA. Capital Planning is requesting appropriation of $519, 256 for CIP projects. Three projects: City/County Landfill, 400 West (North Temple - 400 South), and Main Street Curb & Gutter are new CIP projects. Sources of funds are outlined on page 8 of the schedule sheets. The Administration is also requesting that $50,000 be transferred from CIP Contingency to the East Central Street design project (500 S. to 500-700 East). Public Utilities is requesting to reappropriate $2,738,403 t.o cover the cost of outstanding CIP projects and $2,762,000 from fund balance, grants revenue, and Metropolitan Water District. Loan t.o construct new water supply lines and expand Phase 1 of Parley's Water Treatment Plant. $135,000 is requested from fund balance for new CIP projects for the Sewer division. Specific projects are listed on pages 4-5b in the detail summary that is attached. Human Resources is requesting $28,400 for municipal elections, $14,500 is to cover the cost changing voting district polling locations to make them consistent with permanent county locations for state and federal elections. The remaining $13,900 is requested to cover the anticipated shortfall in printing and distribution of Olympics Referendum ballots. Funding for these two changes will come from the General Fund Contingency, leaving a balance of $212,031 in contingency. The CBID is requesting a transfer of $20,00 from their fund balance to participate in a "Projects for Open Space" study. HOUSEKEEPING: The housekeeping transfers are mostly for accounting purposes. They include transfer of $3,366,500 from the General Fund CIP to the Debt Service Fund to better account for the bond payments for the City/County Building. The Fire Department is requesting transfer of the remaining $36,255 in the Central Fire Dispatch Fund to pay the maintenance contract for dispatch equipment. These costs were previously covered under the equipment warranty that has since expired. The Airport is requesting a transfer of $32, 900 from fund balance to fund a full-time Buyer II for Airport Contracting. This amount will cover the cost of salary and equipment necessary to operate an on-sight contracting office. This item was discussed during the Finance Department's budget presentation in May. Council supported the concept with the understanding that the Airport was not operating a separate contracting office but was under the control of the City"s Contracting Office. The FTE and dollars associated to support the program were inadvertently left out of the recommended budget. Human Resources Management recently implemented a vision program for employees. The $33,000 is merely an appropriation to cover the cost of the program with premiums to be paid by the participating employees. Public Works is requesting an appropriation of fund balance to cover purchase orders for garbage can replacement, an appropriation of funds from property owners for the Concrete Program, and an appropriation of grants funds from the state to cover the cost of connecting Foothill Blvd. traffic signals. RECOM'II1ENDED ACTION; Approve Budget Amendment No. 2 as proposed. RECO1ENDED MOTION: I move that we close the public hearing. I move that we amend Salt Lake City Ordinance No. 36 of 1989 adopting the budget of Salt Lake City for fiscal year 1989-90 beginning July 1, 1989 and ending June 30, 1990, as proposed. ANTICIPATED OPPOSITION: None • '� D • C.^ LINDA HAMILTON ...I "_.Z atill � L ` MA�19IJ PALMER DEPAULIS DIRECTOR OF FINANCE - MAYOR FINANCE DEPARTMENT Policy and Budget Division 451 SOUTH STATE STREET, ROOM 248 SALT LAKE CITY, UTAH 84111 TELEPHONE (801) 535-7810 August 28, 1989 TO: W. M. "Willie" Stoler Chairman, Salt Lake City Council RE: SET DATE FOR PUBLIC HEARING - SEPTEMBER 19, 1989 BUDGET AMENDMENT NO. 2 I respectfully request that the City Council set a date for a Budget Amendment Public Hearing during their September 5 meeting. I request that the hearing to amend the Fiscal Year 1989-90 Budget be set for September 19, 1989 . The primary purpose of the amendment will be to reappropriate fund balances in the CDBG grant operating fund and other grant funds, and to appropriate fund balance of enterprise and internal service funds necessary to cover outstanding purchase orders of June 30, 1989 . Thank you for your assistance. Sincerely, Linda Hamilton Director of Finance LH/SF:lc • SALT LAKE CITY ORDINANCE NO. OF 1989 (Amending the Budget of Salt Lake City, Utah) AN ORDINANCE AMENDING SALT LAKE CITY ORDINANCE NO. 36 OF 1989 ADOPTING THE BUDGET OF SALT LAKE CITY, UTAH, FOR THE FISCAL YEAR BEGINNING JULY 1 , 1989 AND ENDING JUNE 30, 1990 . PREAMBLE On June 13 , 1989 , the Salt Lake City Council (the "City Council" ) adopted the budget of Salt Lake City, Utah for the fiscal year beginning July 1, 1989 and ending June 30, 1990, in accordance with the requirements of Section 118, Chapter 6 , Title 10, of the Utah Code Annotated, and said budget was approved by the Mayor of Salt Lake City, Utah. The Director of Finance, acting as the City' s Budget Officer, prepared and filed with the City Recorder proposed amendments to said duly adopted budget, copies of which are attached hereto, for consideration by the City Council and inspection by the public. The City Council fixed a time and place for a public hearing to be held on September 19 , 1989 to consider the attached proposed amendments to the budget and ordered notice thereof be published as required by law. Notice of said public hearing to consider the amendments to said budget was duly published and a public hearing to consider the attached amendments to said budget was held on September 19 , 1989 in accordance with said notice at which hearing all interested parties for and against the budget amendment proposals were heard and all comments were duly considered by the City Council . All conditions precedent to amend said budget have been accomplished. Be it ordained by the City Council of Salt Lake City, Utah: SECTION 1 . Purpose. The purpose of this Ordinance is to amend the budget of Salt Lake City, Utah as adopted by Salt Lake City Ordinance 36 of 1989 . SECTION 2 . Adoption of Amendments . The budget amendments attached hereto and made a part of this Ordinance be, and the same hereby are adopted and incorporated into the budget of Salt Lake City, Utah for the fiscal year beginning July 1, 1989 and ending June 30, 1990, in accordance with requirements of Section 128, Chapter 6 , Title 10, of the Utah Code Annotated. SECTION 3 . Certification to Utah State Auditor. The Director of the City' s Finance Department, acting as the City' s Budget Officer, is authorized and directed to certify and file a copy of said budget amendments with the Utah State Auditor. SECTION 4 . Filing of Copies of the Budget Amendments . The said Budget Officer is authorized and directed to certify and file a copy of said budget amendments in the office of said Budget Officer and in the office of the City Recorder, which amendments shall be available for public inspection. SECTION 5 . Effective Date . This Ordinance shall take effect on its first publication. -2- Passed by the City Council of Salt Lake City, Utah, this day of , 1989 . SALT LAKE CITY COUNCIL By CHAIRPERSON ATTEST: CITY RECORDER Approved by the Mayor this day of 1989 . MAYOR ATTEST: CITY RECORDER FMN:cc (SEAL) Bill No . of 1989 Published -3- 1990 Budget Amendment #2 September 19, 1989 page 1 of 2 I MAJOR FUND CLASSIFICATIONS I INTERNAL CAPITAL EXPLANATION AGENCY/ GENERAL ENTERPRISE SERVICE IMPROVEMENT SPECIAL REVENUE FUNDS OTHER PROJECT OR DEPARTMENT OF DEPARTMENT FUND FUNDS FUNDS FUND GRANT OTHER FUNDS FUND CLASS TOTALS AMENDMENT REQUEST Airport 32.900 Buyer II Recommendation: To increase administrative fees budget to General Fund to pay for full-time Buyer II postion added in purchasing, a new FAX machine and computer equipment for the Airport, but associated with the Buyer II postion. Funding will come from uncommitted reserves(fund balance). 97,100 Ground Trans. Recommendation: To increase Airport staffing by 5.00 Starter Service FTE for full-time operations officers to provide supervision of the ground transportation operations. 130,000 Finance 22,600 Airport Buyer Recommendation: To add 1.00 FTE (Buyer II) to Purch- asing budget. Revenue will come from the Airport to pay for 100% of the cost of the position. 22,600 Fire 36,255 Dispatch equip. Recommendation: During the budget approval was maintenance received to fund the maintenance agreement on the dispatch equipment which had been on warranty. The budget did not get added and they are asking that this oversight be corrected. After closing the books on the Central Fire Dispatch fund there is enough remaining fund balance to cover this expenditure in the current fiscal year. Next year the cost will be borne by General Fund revenue. 36,255 Human Resource 13,900 Olympic Referendum Recommendation: Additional funds are needed because Management and the State has informed us that they will not pay for Administrative the cost of printing/distribution of the ballots,and Services the newspaper misquoted the cost of advertisement. 14,500 Fall election Recommendation: The City Council requested that the election budget of the Recorder's office be increased after a policy decision to change our vot- ing district polling locations to one consistent with those of the permanent SL County locations for /�('�1 State and Federal elections. 1,514,875 C-ifi 1 Fleet Vehicle Recommendation: To appropriate fund balance to cover ������JJ"""- Replacement purchase orders written before fiscal year end. By law appropriations of ISF lapse and must be re- f� j budgeted to cover outstanding purchase orders. 33,000 �- Vision program Recommendation: To budget funds to cover the cost of ---.4\kNO\s/l0V4-1 the recently introduced vision plan for employees. At the timew of budget this cost was not fully known. Costs of the plan were estimated and built into the premium rates being charged. 1,576,275 Non-Departmental 20,000 Downtown Prkng Recommendation: Add additional funds, S5,000 from UTA and S15,000 from RDA, to complete a consultant study of downtown parking. 221,000 FY90 Renter Recommendation: Add new grant funds for the Rehab. 1989-90 year Renter Rehabilitation project. 647,442 Carryovers Recommendation: To reappropriate remainin y fund balances in the following grant projects: 1988- 89 Renter Rehab.(295,000(, 1987-88 Renter Rehab. (165,223), McKinney Shelter(62,000), Urban Homestead (125,000), and Homeless Mentally 111(219). 1,255,801 Carryovers Recommendation: To reappropriate CDBG Operating fund remaining project balances. See attached for detail. page 2 of 2 I MAJOR FUND CLASSIFICATIONS I INTERNAL CAPITAL EXPLANATION AGENCY/ GENERAL ENTERPRISE SERVICE IMPROVEMENT SPECIAL REVENUE FUNDS OTHER PROJECT OR DEPARTMENT OF DEPARTMENT FUND FUNDS FUNDS FUND GRANT OTHER FUNDS FUND CLASS TOTALS AMENDMENT REQUEST Non-Departmental 20,000 CBID Recommendation: To fund from the CBID fund balance (cant'd) the CBID boards request to participate in the Projects for Public Spaces study. This study looks at people in a public envoronment and makes a comp- rehensive study as to what could occur, which would make a downtown area more viable and appealing to the public-at-large. 3,366,500 Debt Service Recommendation: It is financially prudent to budget as a transfer from the CIP fund those project costs which will repay the debt service on the City/Cnty Building. This adjustment is being requested only to comply better with accounting rule. -28,400 Contingency Recommendation: Transfer of funds to cover the request from the City Recorder and City Council. 36,255 Central Fire Recommendation: Transfer of funds to the General Dispatch Fund to cover the dispatch equipment maintenance. 5,538,598 Public Works 13,705 State Energy Recommendation: Appropriate grant funds to Transp Grant tations budget to cover the cost of funds expended to connect Foothill Blvd. traffic signals to the City's computer. 111,000 Materials Only Recommendation: This program has 'taken off' and it Concrete Program is necessary to budget for materials in order to replace the materials used. Funds from the old program was sufficient to cover the staff needs but there was not enough to cover materials. Funds from property owner's will be received to cover this cost 34,320 Garbage cans Recommendation: To appropriate fund balance to cover purchase orders written before fiscal year end. By law appropriations of EF lapse and must be re- budgeted to cover outstanding purchase orders. 519,256 CIP Recommendation: To add the following CIP projects: 400 W. Street(N. Temple-400 S.) S40,000 from RDA, State Street Storm Drain(N. Temple-400 S.) 5,000 from RDA, Main Street Curb/Gutter)N. Temple-400 S. 20,000 from LDS Church, Transfer station at landfill 450,000 from SL County. and add 50,000 from CDBG-CIP contingency to the E. Central St. design(500 S./ 500-700 E.), and add 4,256 from UDOT to the CIP contingency for reimbursement of prior projects, and reduce State Street storm drain project and add 29,000 to the Main Street storm dra n(S. Temple- 300 S.) project. Net adjustment equals 519,256. 678,281 Public Utilities 5,635,403 P.U. CIP G new Recommendation: To reappropriate fund balance to cover the cost of outstanding CIP projects and equipment. (2,738,403) To appropriate 262,000 of fund balance, 2,025,000 of Grants revenue, and 475,000 loan from Metro. Water Dist. to construct new water supply lines and expand Parley's Treatme. Plant, Phase I of III. To appropriate 135,000 of fund balance to new CIP projects for the Sewer division. 5,635,403 Total recommended 183,560 5,799,723 1,547,875 519,256 2,144,243 56,255 3,366,500 13,617.412 amend.sept.90.M GENERAL FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenue Taxes: Property Taxes $25,042,046 $ - $25,042,046 Sales and Use Taxes 21,345,156 - 21,345,156 Franchise Taxes 14,634,736 - 14,634,736 Total Taxes 61,021,938 0 61,021,938 Other Current Revenue: Licenses and Permits 4,115,630 - 4,115,630 Fines and Forfeitures 3,183,640 - 3,183,640 Interest 2,621,670 - 2,621,670 Charges for Services 2,123,672 111,000 2,234,672 State Beer/Liquor Tax 450,000 - 450,000 Intergovernmental Revenue 1,640,399 13,705 1,654,104 Parking Meter Collections 1,282,862 - 1,282,862 Interfund Reimbursement 3,859,221 22,600 3,881,821 Other Revenue 153,500 - 153,500 Total Other Current Revenue 19,430,594 147,305 19,577,899 Other Sources Bond Reserves - - - Transfer-in From Other Funds 2,229,863 36,255 2,266,118 From Reserve/Fund Balance - - - Total Other Sources 2,229,863 36,255 2,266,118 Total Resources $82,682,395 $183,560 $82,865,955 Uses Expenditures Attorney $1,177,213 $ - $1,177,213 City Council 572,764 - 572,764 Community and Economic Dev. 3,498,585 - 3,498,585 Finance 4,251,790 22,600 4,274,390 Fire 17,744,425 36,255 17,780,680 Human Res. Mgt. & Ad. Serv. 3,920,486 28,400 3,948,886 Mayor 894,658 - 894,658 Non Departmental 3,609,448 - 3,609,448 Parks 5,664,271 - 5,664,271 Police 19,091,428 - 19,091,428 Public Works 14,140,281 124,705 14,264,986 Total Expenditures 74,565,349 211,960 74,777,309 Other Uses Interfund Transfers: Street Lighting Fund 102,668 - 102,668 Capital Projects Fund 4,980,000 - 4,980,000 Refuse Collection Fund 555,915 - 555,915 Fleet Replacement Fund 2,139,500 - 2,139,500 Demolition Fund 20,000 - 20.000 Weed Abatement Fund 15,000 - 15,000 Governmental Immunity 63,532 - 63,532 To Reserve/Fund Balance - - - Contingency 240,431 -28,400 212,031 Total Other Uses 8,117,046 -28,400 8,088,646 Total Uses $82,682,395 $183,560 $82,865,955 1 AIRPORT AUTHORITY ENTERPRISE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenues Landing Fees $6,330,000 $ - $6,330,000 Terminal Rental 11,892,400 - 11,892,400 Automobile Rental 3,130,000 - 3,130,000 Automobile Parking 4,350,000 - 4,350,000 Aviation Fuel Tax 4,650,400 - 4,650,400 Terminal Concession Fees 2,771,200 - 2,771,200 Flight Kitchens 1,872,900 - 1,872,900 Other Revenue 4,969,500 - 4,969,500 Total Revenues 39,966,400 0 39,966,400 Other Sources Interest 988,000 - 988.000 AIP/Other Contributions 12,061,000 - 12,061,000 Bond Proceeds 26,700,000 - 26,700,000 From Reserves/Fund Balance 7,727,300 130,000 7,857,300 Total Other Sources 47,476,300 130,000 47,606,300 Total Resources $87,442,700 $130,000 $87,572,700 Uses Expenditures Personal Services $8,079,143 $97,100 $8,176,243 Operating and Maintenance 1,228,500 - 1,228,500 Travel/Training 68,200 - 68,200 Utilities 2,422,900 - 2,422,900 Contractual Services 520,400 - 520,400 Airline Rebate 2,397,000 - 2,397,000 Janitorial Contract 1,224,500 - 1,224,500 Interfund Charges 2,388,957 32,900 2,421,857 Other Charges and Services 1,026.100 - 1,026.100 Total Expenditures 19,355,700 130,000 19,485,700 Other Uses Capital Outlay 1,087,600 - 1,087,600 Capital Improvements Budget 59,105.000 - 59,105,000 Debt Service: Principal 2,980,000 - 2,980,000 Interest 4,914,400 - 4,914,400 Total Other Uses 68,087,000 0 68,087,000 Total Uses $87,442,700 $130,000 $87,572,700 2 REFUSE COLLECTION ENTERPRISE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenue Charges for Services $2,168,059 $ - $2,168,059 Other Revenue - - - Total Revenue 2,168,059 0 2,168,059 Other Sources Interest - - - Transfer from General Fund 555,915 - 555,915 From Reserves/Fund Balance - 34,320 34,320 Total Other Sources 555,915 34,320 590,235 Total Resources $2,723,974 $34,320 $2,758,294 Uses Expenditures Personal Services $632,667 $ - $632,667 Materials and Supplies 11,300 - 11,300 Data Processing Services 144,900 - 144,900 Fleet Maintenance Services 394,618 - 394,618 Waste Disposal 345,000 - 345,000 Equipment Lease from MBA 785,000 - 785,000 Admin. Service Fees-G.F. 163,824 - 163,824 Processing Billings-Pub. Utl 140,000 - 140,000 Other Charges and Services 20,089 - 20,089 Total Expenditures 2,637,398 0 2,637,398 Other Uses Contingency - - - Capital Outlay 10,695 34,320 45,015 To Reserve/Fund Balance 55,881 - 55,881 Interest 20,000 - 20,000 Total Other Uses 86,576 34,320 120,896 Total Uses $2,723,974 $34,320 $2,758,294 3 SEWER UTILITY ENTERPRISE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenues Sales/Charges for Service Old Rate $4,800,000 $ - $4,800,000 1981 Rate Increase 996,000 - 996,000 201 Rate Increase 3,100,000 - 3,100,000 Interest 1,674,000 - 1,674,000 Total Revenues 10,570,000 0 10,570,000 Other Sources Aid to Construction-Private - - - Other Income 1,302,300 - 1,302,300 Reserve for Improvements 9,912,760 921,703 10,834,463 Total Other Sources 11,215,060 921,703 12,136,763 Total Resources $21,785,060 $921,703 $22,706,763 Uses Expenditures Personal Services 3,571,757 $ - 3,571,757 Operating and Maintenance 681,430 - 681,430 Travel/Training 25,660 - 25,660 Utilities 461,756 - 461,756 Professional & Tech. Service 738,800 - 738,800 Contractual Services 46,550 - 46,550 Interfund Charges: Data Processing 171,500 - 171,500 Fleet Maintenance 202,220 - 202,220 Risk Management 70,000 - 70,000 Gen.Fund Admin.Service Fee 239,831 - 239,831 Other Charges & Services 39,803 - 39,803 Total Expenditures 6,249,307 0 6,249,307 Other Uses Capital Outlay 666,650 253,103 919,753 Capital Improvements Budget 14,167,803 668,600 14,836,403 Debt Service: Principal 253.100 - 253,100 Interest 448,200 - 448,200 To Reserve/Fund Balance - - - Total Other Uses 15,535,753 921,703 16,457,456 Total Uses $21,785,060 $921,703 $22,706,763 4 PUBLIC UTILITIES SEWER UTILITY FUND PROPOSED DETAIL FOR PROPOSED BUDGET ADJUSTMENT FOR YEAR 1989 -1990 1989-90 1989-90 DEPARTMENT / PROJECT CAPITAL PROPOSED AMENDED PUBLIC UTILITIES IMPROVEMENTS AMENDMENT BUDGET TOTAL CARRYOVER PROJECTS LIFT STATION 5300 W.N. TEMPLE 69,000 69,000 COLLECTION LINE 2024 PRINCTON 55,000 55,000 MAPPING N.W. QUADRANT 40,500 40,500 ASBESTOS REMOVAL & REINSULATION 25,000 25,000 FILTER PUMPS IMPROVEMENTS 5,000 5,000 SEAL CONCRETE FLOORS 20,000 20,000 STORAGE BUILDING 45,000 45,000 TSFC BALANCE ON CONTRACT 50,000 50,000 TFSC ENGINEERING 4,100 4,100 TOTAL FOR CARRYOVER PROJECTS 0 313,600 313,600 NEW PROJECTS MODULAR STORAGE SYSTEM 40,000 40,000 AUTO CAD WORK STATION 35,000 35,000 BUILDING FOR RAG RAKE (ODOR CONTROL) 60,000 60,000 TOTAL FOR NEW PROJECTS 0 135,000 135,000 BUDGETED 1989-90 PROJECTS BUILDINGS B.MITCHELL LIFT STATION 50,000 50,000 PIONEER ROAD LIFT STATION 50,000 50,000 AIRPORT L.STATION 4000 WN TEMPLE 25,000 25,000 BONNEVILL LIFT STATION 20,000 20,000 1805 INDEPENDENCE BLVD.L.STATION 20,000 20,000 NW QUADRANT LIFT STATION 500,000 500,000 4130 S CENTENNIAL PARK 50,000 50,000 350 NORTH 4800 WEST L.STATION 50,000 50,000 AMINISTRATION BLDG 500,000 500,000 TOTAL BUILDINGS 1,265,000 0 1,265,000 TREATMENT PLANT MODIFICATION CHLORINATION SYS. 50,000 50,000 SERVICE WATER FILTRATION 10,000 10,000 FREEWAY IRRIGATION DEMO. 125,000 125,000 IMPROV.PRIMARY SCUM REMOVAL 50,000 50,000 IMPROVEMENT TO INFLUENT GATE 25,000 25,000 REPLACE GRIT SCUM-MAIN PLANT 25,000 25,000 CORRECT ROOF TIE PROBLEMS FOR SEISMIC PROTECTION 100,000 100,000 EARTHQUAKE LIQUEFATION STUDY 50,000 50,000 4a PUBLIC UTILITIES SEWER UTILITY FUND PROPOSED DETAIL FOR PROPOSED BUDGET ADJUSTMENT FOR YEAR 1989 -1990 1989-90 1989-90 DEPARTMENT / PROJECT CAPITAL PROPOSED AMENDED PUBLIC UTILITIES IMPROVEMENTS AMENDMENT BUDGET TOTAL IMPROV.TO PROTECT PLANT FROM EARTHQUAKE 50,000 50,000 LABORATORY ADDITIONS 200,000 245,000 445,000 PRETREAT PLANT FUEL TANK MOD. 10,000 10,000 FUEL SYSTEM CONTROL-ENERGY 0 RECOVERY SYSTEM 20,000 20,000 SLUDGE DRYING BEDS 2,000,000 2,000,000 WETLAND ENHANCEMENT 300,000 300,000 EXPANDING SLUDGE MANAGE.PROGRAM 10,000 10,000 ODOR CONTROL PROJECT 100,000 300,000 400,000 DIGESTER MODIFICATION 10,000 10,000 POWER STUDY 15,000 15,000 EMERGENCY BYPASS PUMPING 200,000 200,000 RAG DEWATERING PRETREAT.PLANT 30,000 30,000 ENGINEERING FOR SLUDGE BEDS 120,000 120,000 ENGINEERING FOR MAINT.BLDG. 30,000 30,000 REHAB MAINT.STOREHOUSE & ADDITION TO LABORATORY 500,000 -225,000 275,000 SITE CURBING 15,000 15,000 DIGESTER VENTILATION 25,000 -25,000 0 COVER GRIT CHANNEL 50,000 -50,000 0 INFLUENT GATE MODIFICATION 25,000 -25,000 0 FIBERGLASS GRATING 15,000 15,000 FAN HOUSE RADIATOR 10,000 10,000 TOTAL TREATMENT PLANT 4,170,000 220,000 4,390,000 SEWER COLLECTION LINES 1100 E 300-400 S 790 FT 8IN 45,000 45,000 400 W 225-300 S 650 FT BIN 45,000 45,000 LAKE ST LOVELAND AVE 1000 FT 8IN 55,000 55,000 MEAD AVE EMERY ST 300 FT 12IN 40,000 40,000 ALLEY 900 S 700-800 W 780 FT 50,000 50,000 200 W FAYETTE,BROOKLINE WASHINTON 1300 FT 10IN 80,000 80,000 ALPINE PLACE,GILMER DR 350 FT 35,000 35,000 ALLEY 100 S EUCLID 100-1100 W 65,000 65,000 700 S I-15 700 FT 5IN 55,000 55,000 500 S I-15 600 W 1100 FT 24IN 115,000 115,000 800 S 300-400 W 8900 FT 24IN 75,000 75,000 600S 800-900 W 800 FT 30IN 95,000 95,000 BALTIC COURT 360 FT BIN 45,000 45,000 300 W (E.SIDE)442-500 N 35,000 35,000 W.TEMPLE,1080-1180 SOUTH 45,000 45,000 MAIN ST.(E.SIDE)200-300 NORTH 45,000 45,000 500 N (N.SIDE)240-295 WEST 35,000 35,000 600 W. ,700-800 S 24IN 60,000 60,000 600 S. ,100-1100 W 21IN 75,000 75,000 600 S.,1100-1170 W 211N 50,000 50,000 EMERY ST. ,700-1000 S 15IN 75,000 75,000 VARIOUS COLL.LINES REPLACEMENT 200,000 200,000 1400 N BECK ST 600 FT 641N 4b 200,000 200,000 PUBLIC UTILITIES SEWER UTILITY FUND PROPOSED DETAIL FOR PROPOSED BUDGET ADJUSTMENT FOR YEAR 1989 -1990 1989-90 1989-90 DEPARTMENT / PROJECT CAPITAL PROPOSED AMENDED PUBLIC UTILITIES IMPROVEMENTS AMENDMENT BUDGET TOTAL 800 N 1000-1200 W 1600 FT 42IN 350,000 350,000 800-700 S 500 W 1-15 2400 FT 225,000 225,000 4800 W 700-1300 S 4500 FT 24IN 500,000 500,000 NW QUADRANT LINE 1,000,000 1,000,000 5600 W_,2100 SOUTH 1,800,000 1,800,000 3500 W.,500-1800 SOUTH 1,800,000 1,800,000 5TH SOUTH TO P.STATION 1,437,803 1,437,803 TOTAL TRUNK & COLLECTION LINES 8,732,803 0 8,732,803 EQUIPMENT AUTOMOBILES AND TRUCKS 158,000 181,400 339,400 FIELD MAINTENANCE EQUIPMENT 74,000 50,888 124,888 TREATMENT PLANT EQUIPMENT 290,000 5,000 295,000 TELEMETERING EQUIPMENT 20,000 20,000 OFFICE FURNITURE & EQUIPMENT 13,000 8,600 21,600 OTHER EQUIPMENT 111,650 7,215 118,865 TOTAL EQUIPMENT 666,650 253,103 919,753 TOTAL CAPITAL OUTLAY 14,834,453 921,703 15,756,156 4c WATER UTILITY ENTERPRISE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenues Sales/Charges for Services $18,662,000 $ - $18,662,000 Rate Increase 1,969,746 - 1,969,746 Interest Income 350,000 - 350,000 Other Revenue 972,000 - 972,000 Total Revenues 21,953,746 0 21,953,746 Other Sources Grants/Other Related Revenue 275,000 2,025,000 2,300.000 Transfer from Reservoir & Supply Line Fees 26,300 - 26,300 Bond Proceeds - - - Loan From Sewer Utility 1,500,000 - 1.500,000 Loan From Metro. Water Dist. - 475,000 475,000 Reserve for Improvements 500,000 2,213,700 2,713,700 Total Other Sources 2,301,300 4,713,700 7,015,000 Total Resources $24,255,046 $4,713,700 $28,968,746 Uses Expenditures Personal Services $7,820,943 $ - $7,820,943 Operating and Maintenance 1,184,750 - 1,184,750 Travel/Training 19,000 - 19,000 Utilities 1,667,450 - 1,667,450 Professional & Tech. Service 476,000 - 476,000 Contractual Services 29,000 - 29,000 Interfund Charges: Data Processing 390,600 - 390,600 Fleet Maintenance 495,540 - 495,540 Risk Management 74,000 - 74,000 Gen.Fund Admin.Service Fee 570,709 - 570,709 Transfers Metrop. Water Purch. & Treat 2,700,000 - 2,700,000 Other Charges & Services 123,700 - 123,700 Total Expenditures 15,551,692 0 15,551,692 Other Uses Capital Outlay 651,384 485,700 1,137,084 Capital Improvements Budget 5,170,190 4,228,000 9,398,190 Debt Service: Principal 999,350 - 999,350 Interest 1,882,430 - 1,882,430 Total Other Uses 8,703,354 4,713,700 13,417,054 Total Uses $24,255,046 $4,713,700 $28,968,746 5 PUBLIC UTILITIES WATER UTILITY FUND PROJECT DETAIL FOR PROPOSED BUDGET AMENDMENT FOR YEAR 1989 -1990 1989-90 1989-90 DEPARTMENT / PROJECT CAPITAL PROPOSED AMENDED PUBLIC UTILITIES IMPROVEMENTS AMENDMENT BUDGET TOTAL CARRY OVER PROJECTS CALIFORNIA GLADIOLA TO PIONEER 475,000 475,000 NORTH TEMPLE 2200 - 3800 WEST 120,000 120,000 GLADIOLA CALIFORNIA TO 500 SOUTH 330,000 330,000 BASKIN RESERVIOR COVER 140,000 140,000 FAYETTE AVE MAIN TO WEST TEMPLE 30,000 30,000 1100 EAST AND 4800 SOUTH WELL 50,000 50,000 AFFLECK PARK WATER LINE 8,000 8,000 700 WEST 1700 TO 2100 SOUTH 250,000 250,000 BUDGETED 1989-90 PROJECTS IMPROVEMENTS TO PARLEY'S PLANT ENGINEERING 200,000 200,000 OAK HILLS RESERVOIR AND LINE 350,000 350,000 62ND SOUTH PUMP STATION 60,000 60,000 WALKER LANE WELL 50,000 50,000 TANNER RESERVOIR 150,000 150,000 900 WEST 2100 TO 2250 SOUTH 140,000 140,000 2500 SOUTH 800 TO 900 WEST 42,000 -42,000 0 300 EAST 1700 TO 2100 SOUTH 360,000 360,000 FRONTAGE ROAD 1600 TO 2000 NORTH 145,000 -145,000 0 700 WEST 1300 TO 2100 SOUTH 286,000 -286,000 0 1300 WEST ILLINOIS TO MEAD AVE 48,000 48,000 CATHERINE ST 1000 N TO GCODWIN 39,000 39,000 BECK STREET 900 TO 1300 NORTH 31,057 136,000 167,057 OAKLEY STREET 1200 NORTH /DUPONT 35,000 35,000 PUBLIC WORK PROJECTS 50,000 50,000 FIRE HYDRANT REPLACEMENT 30,000 30,000 VALVES 20,000 20,000 DONATED LINES 100,000 100,000 VARIOUS WATER LINES 52,433 50,000 102,433 900 WEST 2250 TO 2500 SOUTH 0 AND 2500 SOUTH 800 TO 900 WEST 183,000 183,000 EASTWOOD DRIVE 4,000 25,000 29,000 WARR ROAD 38,000 38,000 2700 EAST NORA DR TO NILA WAY 75,000 25,000 100,000 TOTAL PROJECTS 2,488,490 1,166,000 3,654,490 5a PUBLIC UTILITIES WATER UTILITY FUND PROJECT DETAIL FOR PROPOSED BUDGET AMENDMENT FOR YEAR 1989 -1990 1989-90 1989-90 DEPARTMENT / PROJECT CAPITAL PROPOSED AMENDED PUBLIC UTILITIES IMPROVEMENTS AMENDMENT BUDGET TOTAL NEW PROJECTS 13TH SOUTH REDWOOD TO 8TH WEST 1,200,000 1,200,000 IMPROVEMENT TO PARLEY' S PLANT CONSTRUCTION (TOTAL PROJECT 12 MILLION) 1,540,000 1,540,000 TETON TANKS TO CRESTWOOD DR 22,000 22,000 TOTAL NEW PROJECTS 0 2,762,000 2,762,000 NEW SERVICES SMALL METER REPLACEMENT PROGRAM 421,200 421,200 NEW SERVICES 135,000 135,000 SERVICE LINE REPLACEMENT 500,000 500,000 LARGE METER RERPLACEMENT PROGRAM 65,500 300,000 365,500 1,121,700 300,000 1,421,760 OTHER EQUIPMENT WATER STOCK 30,000 30,000 LAND PURCHASES 1,500,000 1,500,000 CULVERTS FLUMES & BRIDGES 30,000 30,000 TRUCKS AND HEAVY EQUIPMENT 400,000 263,000 663,000 PUMPING EQUIPMENT 52,000 5,500 57,500 TELEMETERING 15,000 185,000 200,000 TREATMENT PLANT EQUIPMENT 47,800 16,200 64,000 OFFICE EQUIPMENT 34,489 6,000 40,489 OTHER EQUIPMENT 102,095 10,000 112,095 BUDGETED OTHER EQUIPMENT 2,211,384 485,700 2,697,084 TOTAL CAPITAL OUTLAY 5,821,574 4,713,700 10,535,274 5b FLEET MANAGEMENT INTERNAL SERVICE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenue Charges for Services $4,659,104 $ - $4,659,104 Other Revenue ' 83,000 - 83,000 Total Revenue 4,742,104 0 4,742,104 Other Sources Charges for Replacement Transfer from General Fund 2,139,500 - 2,139,500 Interest 30,000 - 30,000 Insurance Claims-Replacement - - 0 Sale of Vehicles - - 0 From Reserves/Fund Balance 425,000 1,514,875 1,939,875 Total Other Sources 2,594,500 1,514,875 4.109,375 Total Resources $7,336,604 $1,514,875 $8,851,479 Uses Expenditures Personal Services $1,984,437 $ - $1,984,437 Materials and Supplies 1,995,500 - 1,995,500 Data Processing Services 55,084 - 55,084 Towing 16,275 - 16,275 Utilities 144,766 - 144,766 Risk Management Premiums 117,790 - 117,790 Admin. Service Fees-G.F. 231,453 - 231,453 Contractual Services 70,000 - 70,000 Other Charges and Services 34,775 - 34,775 Total Expenditures 4,650,080 0 4,650,080 Other Uses Transfer to General Fund - - - Capital Outlay: Maintenance 77,000 - 77,000 Vehicles 2,604,500 1,514,875 4,119,375 Contingency 5,024 - 5,024 To Reserve/Fund Balance - - - Debt Service: Lease Principal - - - Lease Interest - - - Total Other Uses 2,686,524 1,514,875 4,201,399 Total Uses $7,336,604 $1,514,875 $8,851,479 6 RISK MANAGEMENT INTERNAL SERVICE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenue Insurance Premiums $11,453,377 $33,000 $11,486,377 Other Revenue - - - Total Revenue 11,453,377 33,000 11,486,377 Other Sources Interest 35,000 - 35,000 Transfer from General Fund - - - From Reserves/Fund Balance 47,600 - 47,600 Total Other Sources 82,600 0 82,600 Total Resources $11,535,977 $33,000 $11,568,977 Uses Expenditures Personal Services $1,035,471 $ - $1.035,471 Charges and Services 129,043 - 129,043 Claims 201,560 - 201,560 Insurance Premiums 9,331,814 33.000 9,364,814 Prescriptions - - - Administrative Fees - - - Admin. Service Fees-G.F. 76,665 - 76,665 Other Expenses 17,694 - 17,694 Total Expenditures 10,792,247 33.000 10,825,247 Other Uses Capital Outlay 1,500 - 1,500 Contingency 454,630 - 454,630 Interest - - - Transfer to General Fund 47,600 - 47,600 To Reserve/Fund Balance 240,000 - 240,000 Total Other Uses 743,730 0 743,730 Total Uses $11,535,977 $33,000 $11,568,977 7 CAPITAL PROJECTS FUND BUDGET SUMMARY FY 1989-90 Amended Budget Carryover 9/19/89 Budget 1989-90 Budget Amendments 1988-89 Resources Transfer from General Fund $4,980,000 $ - $ - $4,980,000 CDBG 1,607,150 - - 1,607,150 Salt Lake County 639,635 - 450,000 1,089,635 Class 'C' Road Fund 1,250,000 - - 1,250,000 Redevelopment Agency of SLC 1,636,000 - 45,000 1,681,000 Bond Proceeds 1,850,000 - - 1,850,000 Property Owners 2,415,000 - 20,000 2,435,000 Charges for Services 203,500 - - 203,500 State of Utah - - 4,256 4,256 Carryover Funds - 12,122,923 - 12,122,923 Total Resources $14,581,285 $12,122,923 519,256 $27,223,464 Projects Street Improvements: Sidewalk SID 210,000 - - 210,000 Local Street SID 990,000 - - 990,000 400 South to 500 South 1,000,000 - - 1,000,000 California Avenue 1,250,000 - - 1,250,000 Central Bus. Dist. Beaut 1,620,000 - - 1,620,000 Traffic Safety Management 60,000 - - 60,000 Street Light Replacement 135,000 - - 135,000 100% Sidewalk Replacement 200,000 - - 200,000 Argyle/Edmonds 85,000 - - 85.000 Euclid 60,000 - - 60,000 500 South-700/900 East 480,000 - - 480,000 Median Island Design 25,000 - - 25,000 Central City 5,000 - - 5,000 East Central 8,000 - 50,000 58.000 Sugarhouse 35,000 - - 35.000 Future Street Redesign 15,000 - - 15,000 400 West Streets - - 40,000 40,000 Main Street Curb & Gutter - - 20,000 20,000 Total Street Improvements 6,178,000 - 110,000 6,288,000 Drainage Improvements: State Street 425,000 - -24,000 401,000 Main Street 395,000 - 29,000 424,000 South Temple-'M'/'O' Streets 250,000 - - 250,000 500 West-250/530 North 9,000 - - 9,000 Total Drainage Improvements 1,079,000 - 5,000 1,084,000 Parks and Public Facilities: Canterbury Apartments 60,000 - - 60,000 City and County Building 3,366,500 - - 3,366,500 Miscellaneous Facilities Repair 150,000 - - 150,000 Earthquake Hazard Imp 100,000 - - 100,000 Sunnyside Recreation Center 1,850,000 - - 1,850,000 Tracy Aviary 150,000 - - 150,000 Fire Station #10 Construction 305.000 - - 305,000 Park Facilities Fund 143.500 - - 143,500 Jordan Park Irrigation/Walk 95,000 - - 95,000 Athletic Park-Phase II 50,000 - - 50,000 Poplar Grove Park Irrigation 73,000 - - 73,000 Farimont Pk. Improve. Design 10,000 - - 10,000 Urban Forestry Planting 50,000 - - 50,000 Marmalade Hill Center Rehab. 47,000 - - 47,000 Glendale Youth Center Design 25,000 - - 25,000 City/County Landfill - - 450,000 450,000 Total Parks and Pub. Fac. 6,475,000 - 450,000 6,925,000 % for Art 16,400 - - 16,400 Contingency 832,885 - -50,000 782,885 slippage - - 4,256 4,256 Carryover Projects - 12,122,923 - 12,122,923 Total Projects $14,581,285 $12,122,923 $519,256 $27,223,464 8 COMMUNITY DEVELOPMENT BLOCK GRANT OPERATING FUND SPECIAL REVENUE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1988-89 Resources 1989 (15th Year) Entitlement $2,539,850 $ - $2,539,850 Prior Year Entitlements - 1,255,801 1,255,801 Total Resources $2,539,850 $ - $3,795,651 Uses Prior Year Projects $ - $1,255,801 $1,255,801 Current Year Projects New Hope Cultural Center 16,000 - 16,000 Capitol West Boys/Girls Club 28,500 - 28,500 Housing Rehabilitation 700,000 - 700,000 Alliance House Rehabilitation 11,000 - 11,000 Assist 240,000 - 240,000 NHS 90,000 - 90,000 Security Lock Program 30,000 - 30,000 Neighborhood Self-Help 15,000 - 15,000 Neighborhood Attorney 7,000 - 7,000 Oper New Men/Family Shelter 58,000 - 58,000 Oper of Exist Womens Shelter 25,000 - 25,000 Crime Prevention 81,000 - 81,000 Environmental Assessment 7,500 - 7,500 Westside Food Pantry 26,000 - 26,000 Housing Outreach Rental 35,500 - 35,500 Community Affair Admin 45,000 - 45,000 Planning Administration 55,000 - 55,000 Finance Administration 35,000 - 35,000 Attorney Administration 42,000 - 42,000 Capital Planning Admin 230,000 - 230,000 Operation Paintbrush 40,000 - 40,000 Clean & Secure Vacant Propert 20,000 - 20,000 Boarded at Risk Bldg Asst 75,000 - 75,000 Low Incom Housing Maint 13,000 - 13,000 Community Development Corp 80,000 - 80,000 Section 108 Canterbury Apt 300,000 - 300,000 Crisis Nursery Rennovate 18,000 - 18,000 First Step House Rennov 52,000 - 52,000 Bike Path 200W 800S-300N 3,200 - 3,200 Bike Path 300N 200-1200W 3,900 - 3,900 Bike Path 800S 800-1000W 1,000 - 1,000 Living Traditions Festival 15,000 - 15,000 Downtown Plan Strategies 35,000 - 35,000 Operating Contingency 56,250 - 56,250 SLACC Administration 50,000 - 50,000 Total Projects $2,539,850 $1,255,801 $3,795,651 9 DEPARTMENT OF DEVELOPMENT SERVICES ROSEMARY DAVIS Capital 'Planning and Programming DIRECTOR CITY AND COUNTY BUILDING 451 SOUH STATE STREET, SUITE 404 SALT LAKE CITY, UTAH 84111 535-7902 August 25, 1989 TO: Steve Fawcett, Budget Manager} FROM: Rosemary Davis, Director `�`-' Capital Planning & Programming RE: SEPTEMBER BUDGET OPENING Recommendations: That you include the following items in the September budget opening: reappropriation of the following CDBG projects by program year; a budget amendment to Community and Economic Development; Planning and Zoning contractual services budget; a budget item recognizing RDA Rental Rehab funds; a budget amendment to Public Works Transportation Division; and a budget amendment to Public Works CIP Projects. The specifics follow: [14th YEAR CDBG Current Carryover ProjeGt!Number Budget Budget 31,383 .90 t \Rehab,A Loans y&O 1900 3 2 Grants/9601901 813,502 165,307 .94 —Rape Crisis Center/9601904 25,000 25, 000 . 00 Assist-EHR/9601907e House aRO OA'.k,hw)row ,�tmp 15,000 14,537 . 82 reFPPrt�Prwttw 215,0 0 0 26,810 . 38 Neighborhood Self-Help/9601910-0(Aa c 25,000 20,182 .73 SLC Housing Resource Board/9601911-ma40* 3,000 750 . 00 Neighborhood Attorney/9601912 pe tte1 to. 5, 0001a1 hc'5(3 242 .00 New Women' s Family Shelter/9601915-f0WU 175 , 000( I+o-r' 175,000. 00 Crime Prevention/9601916-? Ce I 'y 5 70 ,000 f ��� 2,706 . 03 Environmental Assessment/96019 7-?lanntri,) Admin�b 7,800• ulKment 838 .53 W. Side Food Pantry/9601918-1roc&y,+ni nulls 24, 000 5, 272 . 12 Housing Outreach Rental/9601919 jar n� hslly 33 , 131 6 ,996 . 50 YMCA Mechanical System Imp. /9601920 15 , 000 9 , 950 . 94 toAS db problems• work betm do a- rictivt 1164)9a ol'oin it It s amp m Nowt, i,IpertiA-e SEPTEMBER BUDGET OPENING v,,l(\1'� V7l ' lt� August 25, 1989 tom' ' Page 2 �,�1 �'" Current Carryover 14TH YEAR CDBG CONTINUED Budget Budget 1► Community Affairs/9601921' 45,000 43,V e 378 . 10 Operation Paintbrush/9601926-lo c Wirv4ef dill 5 41,000 ' 8,493.13 Cleaning & Securing Vac. Prop/9601927 20,000 11,099 .80 Salt Lake Historic Survey/9601928-0Arotn5 26,000 21,000. 00 SL Comm. Progress Survey/9601929- " �' 7,000 7,000. 00 SL Comm. Prog. Survey Pub./9601930 4,500 4,500.00 Westside Senior Citizens/9601951-ham arlb�d> 1,200 1,200 .00 Operating Contingency/960193k. k L20,085 20,084 .86 Urban Homestead/9601952 \ 125,000 125,000 .00 NtO bey 7( 1 t . TOTAL 2,154,318 686,734 .78 1"3TH YEAR CDBG �►�t`IS Pro j ect/Number ` s al• (2a , oAv- J:3 - (� btui '1 New Hope Cultural Center/9601809. 1 W*�to, 'b 10,000 445 . 31 First Step House Imp./9601821-1,5c 46,000 1,992.50 Community Affairs/9601827 -Ndm'h 43,163 1,563 .30 State Street Landscape Plan/9601825-1'14^^t"5 17,400 9,636 .88 Capital Planning Admin./96018264%41 tt • 203,444 12,821 .58 Operating Slippage/9601899_e C,,,41 35,946 35,945.68 TOTAL 355,953 62,405 .25 VI- 12TH YEAR CDBG Project/Number ALVn ' Percent for Art Allocation/9601714' C0,01-Ctt 4,000 2,000 .00 Attorney Admin/9601727_Arlmh . 58,721 27 ,644 . 88 Capital Planning Admin/9601729-P \ 10,125 873 .44 Housing Assist Plan/9601733.O(' ii S'' e5 5,800 4, 262 .58 Foothill Open Space Plan/9601734 -Gunn+65 32,500 14,656 . 23 Wasatch Canyon Master Plan/9601712-Pm' 4(003 27,500 3,299 . 94 Constituent Relations/9601738`1- SUy0A040,052 1,663 . 78 Arts Council Neigh. Aware/9601746- 10 t' 10,000.cmD'k) 3,181 . 00 Comm. Garden Hook-up/9601749C1cwOoPiti-- "`"" 3,400 2,855 . 00 District Heating & Cooling/9601752'( W6 15,000 604 . 10 Conference of Neighborhoods/96017551V? 4,783 4,783 . 00 Comp. Downtown Parking Plan/9601756-5 17,500 17 ,500 . 00 Land WrigIt Down/9601750 Wvkv 147 ,500 145,386 . 00 \ ..b 'cr- e1.2 TOTAL 1,\..pve 576,881 228,709 . 95 t 9b 0 !(taj)0 SEPTEMBER BUDGET OPENING '(J• U'" August 25, 1989 ' Page 3 \% OiC. � Current Carryover 11th YEAR CDBG Budget Budget Project Number 0 0*'1 Westside Comm. Master Plan/9601639'141°v 41,475 28,439 . 24 Foothill Open Space Plan/9601641 .40" y 45,000 14,777.65 Exp. & Comp. of E. Cent. Plan/960164594' 13,000 1,796 .79 Percent for Art Allocation/9601646 .\cort,‘MC1444 4,495 730.40 Housing Att. Legal Advice/9601650.401A " 6., 83,888 24,857 .31 Capital Planning Admin./9601658. PAr+K 268,284 42,309 .96 Capital Hill Revolving Fund/9601661h6p,o)' 50,052 42,782.80 Constituents Relations/9601648 ge"w' 61,145 6 ,864 .68 Finance Support/960011655 4� 40,000 19,199 . 85 TOTAL 0L6 607,339 181,758. 68 `10TH YEAR CDBG Project/Number Westside Community Mst. Plan/9601537' ' 40,000 18,268.54 Publish Master Plans/9601539 -0a•- 62,500 21,432.68 Master Plan Updates/9601540- 04 46,000 20,918.41 Revised Zoning Ordinance/9601544 -01,7k 30,000 1,200.53 Historic/Architect Survey/9601545 -9' 26,000 892.45 Property Mgmt. Plan Asst. /96015471.W-,Au�, 25,000 8,148. 61 Finance Support/96015113v , • �� ' 19,656 3,937 .39 TOTAL V e o 249, 156 74,798. 61 9TH YEAR CDBG 7„aP Project/Number Capital Planning Admin/9601440 - ' 191,716 116 .58 Comp. Downtown Master Plan/9601466 -X01'"I"' 17,500 17 ,500. 38 Finance Support/9601454M01\ . 9,600 3,460.36 TOTAL 218,816 21,077 . 32 6TH YEAR CDBG 0b Project/Number ip • �5 0ik IJISego Park Development/9600770W. 105 ,730 316 . 00 \ir TOTAL 105, 730 316 . 00 ThrkL ?ILL /, .Z5-6; 800,6 q 9c GRANT OPERATING FUND SPECIAL REVENUE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources State Grant $63,772 $ - $63,772 UDAG Grant Repayments 423,719 - 423,719 Utah Transit Authority - 5,000 5,000 Redevelopment Agency of SLC - 15,000 15,000 Federal Grant - 221,000 221,000 Prior year grant balances - 647,442 647,442 Total Resources $487,491 $888,442 $1,375,933 Uses Emergency Medical Services $63,772 $ - $63,772 UDAG Revolving Loan Program 423,719 - 423,719 Downtown Parking Study - 20,000 20,000 1989-90 Renter Rehab. Program - 221,000 221,000 1988-89 Renter Rehab. Program - 295,000 295,000 1987-88 Renter Rehab. Program - 165,223 165,223 McKinney Shelter Project - 62,000 62,000 Urban Homestead Program - 125,000 125,000 Homeless Mentally Ill Study - 219 219 Total Uses $487,491 $888,442 $1,375,933 10 CENTRAL BUSINESS IMPROVEMENT DISTRICT SPECIAL REVENUE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenue Interest $10,000 $- $10,000 Business License Permits 115,000 - 115,000 Total Revenue 125,000 - 125,000 Other Sources From Reserve/Fund Balance 20,107 20,000 40,107 Total Other Sources 20,107 20,000 40,107 Total Resources $145,107 $20,000 $165,107 Uses Expenditures Operating and Maintenance $73,207 $- $73,207 Charges and Services 59,400 20,000 79,400 Total Expenditures 132,607 20,000 152,607 Other Uses Contingency 12,500 - 12,500 Total Other Uses 12,500 - 12,500 Total Uses $145,107 $20,000 $165,107 11 CENTRAL FIRE DISPATCH INTERNAL SERVICE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources From Reserve/Fund Balance $100,000 $36,255 $136,255 Total Resources $100,000 $36,255 $136,255 Uses Transfer to General Fund $100,000 $36,255 $136,255 Total Uses $100,000 $36,255 $136,255 12 BUILDING RESTORATION DEBT SERVICE FUND BUDGET SUMMARY FY 1989-90 Amended Budget 9/19/89 Budget 1989-90 Amendments 1989-90 Resources Revenue Intergovernmental revenue $300,000 $ - $300,000 Interest income - - - Rental 120,000 - 120,000 Other - - - Total Revenue 420,000 - 420.000 Other sources Transfer from CIP fund - 3,366,500 3,366,500 From Reserve/Fund Balance 1,534,155 1,534,155 Total Resources $1,954,155 $3,366,500 $5,320,655 Uses Expenditures Interest expense $120,000 $2,691,500 $2,811,500 Principal 300,000 675,000 975,000 Total Expenditures 420,000 3,366,500 3,786,500 Other Uses Transfer to Gen. Fund 1,534,155 - 1,534,155 To Reserve/Fund Balance - - - Total Other Uses 1,534,155 0 1,534,155 Total Uses $1,954,155 $3,366,500 $5,320,655 13 STAFFING DOCUMENT SUMMARY FISCAL YEAR 1989-90 FULL-TIME POSITIONS FULL-TIME EQUIVELENT POSITIONS Adopted 9/19/89 Amended Adopted 9/19/89 Amended DEPARTMENT 1989-90 Amendments 1989-90 1989-90 Amendments 1989-90 ADMINISTRATIVE SERVICES - - - - - - ATTORNEY 18.70 - 18.70 20.70 - 20.70 COUNCIL 13.00 - 13.00 13.13 - 13.13 DEVELOPMENT SERVICES 79.00 - 79.00 82.70 - 82.70 HUMAN RESOURCES - - - - - - HUM RES MGMT & ADMIN SER 55.50 - 55.50 58.28 - 58.28 FINANCE 59.00 1.00 60.00 64.58 1.00 65.58 FIRE 378.67 - 378.67 380.25 - 380.25 MAYOR 16.00 - 16.00 17.28 - 17.28 PARKS 80.13 - 80.13 148.88 - 148.88 POLICE 387.00 - 387.00 434.48 - 434.48 PUBLIC WORKS 235.60 - 235.60 260.83 - 260.83 GENERAL FUND TOTAL 1322.60 1.00 1323.60 1481.11 1.00 1482.11 AIRPORT 233.00 5.00 238.00 238.67 5.00 243.67 GOLF 29.87 - 29.87 50.97 - 50.97 PUBLIC UTILITIES 354.00 - 354.00 383.73 - 383.73 GARBAGE 19.40 - 19.40 20.03 - 20.03 ENTERPRISE FUND TOTAL 636.27 5.00 641.27 693.40 5.00 698.40 DATA PROCESSING 44.00 - 44.00 45.95 - 45.95 FLEET MANAGEMENT 61.00 - 61.00 61.00 - 61.00 RISK MANAGEMENT 8.50 - 8.50 8.50 - 8.50 CENTRAL FIRE DISPATCH 0.00 - 0.00 0.00 - 0.00 E911 10.33 - 10.33 10.33 - 10.33 GOVERNMENT IMMUNITY 0.30 - 0.30 0.30 - 0.30 INTERNAL SERVICE FUND 124.13 0.00 124.13 126.08 0.00 126.08 TOTAL TOTAL POSITIONS 2083.00 6.00 2089.00 2300.59 6.00 2306.59 14 AKF i1 GL BOARD Elaine B.Weis, Chair • ....kW:'. PALMER A. DEPAULIS, Mayor D F7:, ' `" IL LOUIS E. MILLER Curtis E.Ackerliiui,Jr. • J.Alan Blodgett • Don A.Mackey ;.,;.•.!;:r. Eddie P. Mayne • Joseph Rosenblatt A r ° Director of Airports Patrick A. Shea • Thomas K.Welch ,(r AU '- o July 11, 1989 W.M. (Willie) Stoler, Chairman and Members of the Salt Lake City Council City & County Building, Room 303 Salt Lake City, Utah 84111 SUBJECT: AMEND THE AIRPORT AUTHORITY'S FY 1989-90 BUDGET FOR SUPERVISION OF THE GROUND TRANSPORTATION STARTER SERVICE AT THE SALT LAKE CITY INTERNATIONAL AIRPORT Dear Chairman Stoler & Members of the City Council: RECOMMENDATION: Amend the Airport Authority's FY 1989-90 Operating Budget relating to the addition of 5 new full time operations officers to provide supervision of the ground transportation operations at the Salt Lake City International Airport. FISCAL IMPACT: The recommended increase for FY 1989-90 amounts to a $97,100 increase in personnel costs which is equal to 70Z of the total annual cost to fund the five new FTE operations officer positions . DISCUSSION: At the direction of the Airport Authority Board, I have completed my review of the available options for providing better passenger service relating to the Ground Transportation "Starter Services" currently being provided by each of the numerous companies operating at the Salt Lake City International Airport. - The attached report will provide you with a good understanding of the background of the changes in the ground transportation regulations and the process we used to reach our final recommendations which consist of the following: 1. The Airport Authority will provide "supervision and regulation" at the ground transportation counters and the individual companies will continue to provide their own starters . 2. The ground transportation facilities will be expanded in both of the terminal buildings to increase the level of service and meet the increased demands created by the different types of ground transportation providers . Salt Lake City Airport Authority • AMF Box 22084, Salt Lake City, Utah 84122•(801)575-2400 •Telefax: (801) 575-2679 ( .- Salt Lake City Council July 11, 1989 Page Two 3. A "call-up" system will need to be developed and installed to provide better communication between the staging areas and the terminal commercial roadway system. 4. The additional costs relating to this recommendation will be approximately $138,500 annually. We would recommend that we NOT increase the ground transportation charges at this time and that we take this cost into consideration, in addition to amortization of the capital costs, when we complete the Parking Structure and Roadway Development Project in 1991. At that time, we will be in a position to study all of the off airport operators and assess the appropriate fees and charges for conducting business operations at the Salt Lake City International Airport. As you will recall, I had committed to you to have the report completed and a final recommendation by June 30, 1989. Based on the schedule of the Airport Authority Board, it was not possible to meet this date and final acceptance of my recommendations was not received until July 5, 1989. We provided the ground transportation companies with a copy of the draft report and invited them to attend the Airport Authority Board meeting on July 5, 1989. The comments we received at the meeting were favorable and not one of the providers voiced opposition to the recommendations. Therefore, it is respectfully requested that the City Council amend the Airport Authority' s FY 89-90 Budget to increase our authorized expenditures for personnel costs by $97,100 and our authorized position list by 5 FTE positions to reflect the new operations officers. Respectf lly submitted, Louis E. Miller GROUND TRANSPORTATION STARTER SURVEY SALT LAKE CITY AIRPORT AUTHORITY JUNE 1989 ` The purpose of this study is to review the current practices and recommend changes to the delivery of ground transportation services at the Salt Lake City International Airport. Basically, the study was structured as follows: (1) an inventory process reviewing current levels of services provided; (2) a review of physical facilities; and (3) a review of options available for consideration. Background Ground transportation services have generally been somewhat self- regulating in that, historically, there has always been more demand than supply. In 1987, the State of Utah passed what was essentially a motor carrier deregulation act. The major thrust of this legislative change was to deregulate the motor carrier industry, particularly in the area of intrastate commerce. No longer was it necessary for companies interested in providing service to prove "convenience and necessity." The new standard established was basically a standard of fitness. This substantial change allowed a number of new entrants into the commercial motor vehicle transportation business. These businesses became licensed and started operating at the Salt Lake City International Airport providing transportation service primarily to skiers. With the increased competition, we began to experience a substantial increase in the number of problems relating to ground transportation services. The traveling public was not receiving reliable information on transportation services and there were problems and conflicts among and between the various service providers. The ordinances regulating commercial ground transportation services within the city were generally adequate pri.:,r to the deregulation act; however, the deregulation act in essence created the necessity to change the City' s ordinances. That task has been accomplished and provides a strong framework in which to regulate commercial services at the airport. Page 1 With the issue of adopting new ordinances behind us , it has become apparent that a method to enforce these regulations needed to be reviewed. This study focuses on the three most obvious options available for us to remedy the problem of regulating service providers at the airport. The three options are as follows : Option 1: No substantive change and stricter enforcement by on-duty staff. Option 2: The Airport Authority provide all starter coordination for the commercial operators. Option 3: The Airport Authority provide supervisory and law enforcement oversight of the company-provided starters. With these three options being identified, the inventory process was initiated. The staff developed a survey (Exhibit I) which was mailed to all companies providing commercial ground transportation services at the airport. Reasonable success was experienced in receiving comments from the providers. The results of the survey and the recap of the comments are discussed later in this study. Additionally, observations of the ground transportation facilities were made by the Airport staff. After completion of the survey data, staff began a more thorough review of the requirements for staffing and operating under Options 2 and 3. No serious consideration was given to Option 1 as a feasible option, but is used as a base case comparison to Options 2 and 3. As a general element of the study, staff identified the advantages and disadvantages of each of the two options. Following the study of the issues, we have made a series of recommendations listed in the last section of this study. Page 2 Survey Process On January 26, 1989 , a survey containing ten questions was provided to all of the ground transportation providers operating at the Salt Lake City International Airport. All but three of the companies returned the survey. Some of the information requested in the survey was of a proprietary nature; in particular, the number of passengers transported and the salaries paid to employees. Therefore, this information is addressed in the aggregate or as an average. The following is the actual survey information. It reflects the question asked on the survey, explains briefly why the information was requested, outlines the survey results and identifies which companies did not respond to the question. For the purpose of this survey, companies have been grouped by service type. These service types are consistent with the current city ordinances. Question No. 1 Question: What are your hours of operation? Please list the number of hours you have a starter each day for each terminal . Reason: This question was asked to get an idea of what the staffing levels for starters needs to be during different months of the year for each terminal building. Page 3 i-yam Results: During the winter months (November to March) starters are available in both terminals from 8:30 a.m. until midnight on a daily basis. The breakdown is as follows: 8:30 - 9:00 a.m. 2 Starters 9:00 - 10:00 a.m. 6 Starters 10:00 - 11:00 a.m. 7 Starters 11:00 a.m. - Noon 6 Starters 12:00 - 4:00 p.m. 7 Starters 4:00 - 8:00 p.m. 6 Starters 8:00 - 12:00 p.m. 5 Starters During the summer months (April to October) starters are available in both terminals from 9:00 a.m. until 10:00 p.m. The breakdown is as follows: 9:00 - 10:00 a.m. 2 Starters 10:00 - Noon 4 Starters 12:00 - 1:00 p.m. 4 Starters 1 :00 - 8:00 p.m. 5 Starters 8:00 - 9:00 p.m. 3 Starters 9:00 - 10:00 p.m. 2 Starters No Response: Transki , Presidential , Elite Question No. 2 Question: What do you currently pay your starters (hourly rate)? Reason: This question was asked to determine what the costs would be to provide starter services. Results: The following are averages for each type of service. Limousine Service: $5.00 per hour Scheduled Service: $6.40 per hour plus commission Unscheduled Service: $6.00 per hour Taxicab Service: $5.50 per hour No Response: Lewis Brothers, Transki , Presidential Question No. 3 Question: Who handles money (driver or starter)? Page 4 lY \ Reason: This question was asked to determine whether the starter, if provided by the Airport, would be responsible for handling money for the different companies. Results: The results show who collects fees. The number indicates how many companies in each service group use the driver, the starter, or both to collect their fees. Service Type Driver Starter Driver & Starter Limousine Service 2 1 Scheduled Service 2 Unscheduled Service 2 1 2 Taxicab Service 3 No Response: Presidential Question No. 4 Question: What forms of payment are acceptable? Reason: This question was asked to determine what set up would be required for handling money received by starters. Results: For companies making credit card transactions , only Visa, Master Card, and American Express are accepted. A few companies will accept checks. Question No. 5 Question: Estimated number. of passengers which your company transports from the airport by month. Reason: This question was asked to determine the peak periods and number of passengers requiring ground transportation services at different times of the year. This information will help in determining staffing levels of starters. Page 5 Results: Each company estimated the number of .passengers_ they transport per month. The information presented is a total of those estimates. Limousine Scheduled Unscheduled Taxicabs Total January 136 2269 32,160 16,400 50,965 February 136 2450 35,718 17,000 55,304 March 136 2259 41,450 16,000 59,845 April 57 2099 19,435 9,000 30,591 May 49 2070 1 ,194 9,000 12,313 June 43 2070 1,612 9,000 12,725 July 43 2070 2,382 11 ,000 15,495 August 43 2070 3,300 12,000 17,413 September 43 2070 3,322 8,000 13,435 October 57 2070 1,576 8,000 11 ,703 November 57 2085 11,390 10,000 23,532 December 71 2365 18,400 18,000 38,836 TOTAL 871 25,947 171,939 143,400 342,157 Question No. 6 Question: Do you receive telephone inquiries at the booth? If so, what is the nature of the calls. Reason: This question was asked to determine the level of utilities and telephone service the Airport Authority would need to provide. Results: The results show the number of companies, by service type, that require telephone service. Limousine Scheduled Unscheduled Taxicabs Yes 2 3 3 No 4 2 Comments: One option is to provide a common telephone number for the ground transportation booth and have starters forward callers requesting a particular company to additional phones located in the ground transportation area. These calls may then be picked up by the requested company. Page 6 Question No. 7 _ Question: What type of call-up system would you like to use for the starter to call up the driver? a. Light System (sign with all company names and have company name light up when needed) b. Radio System c. Inbound Toll Booth d. Other. Please Explain. Reason: This question was asked to gain an understanding of what type call- up system would be most acceptable to the transportation providers. Results: The initial results of this question were not conclusive which may have been a result of the language used and the concepts not clearly understood. This issue may need to be resurveyed. The best solution from an efficiency standpoint would be to have all operators on a common radio network; however, as a practical solution, this is unworkable. This would require each company to establish a radio system and install common radio equipment in all vehicles. We believe the most practical approach is the adoption of a call-up system which would be activated by a ground transportation "supervisor" calling up vehicles located in a remote parking area. This concept will require more study. Question No. 8 Question: How do starters currently communicate with drivers? Reason: This question was asked to gain an understanding of the current practices for communicating between drivers and starters and to is determine if practices being used could be implemented into a common system. Page 7 Results: Presently the starters use either a radio system, mobile phones, or communicate verbally to coordinate travel with the drivers. Question No. 9 Question: On what basis should starter costs be allocated to the various companies? (per passenger, per vehicle, vehicle size, vehicle weight, destination, other) . Reason: This question was asked to see how the majority of the companies would like to be charged for starter services if provided by the Airport Authority. Results: Limousine Service: Per Vehicle Scheduled Service: Per Passenger Unscheduled Service: Per Passenger Taxicab Service: Per Passenger No Response: Canyon, Park City, Lady Jane, Question No. 10 Question: How many starters do you feel the Airport will need to provide? What are your recommendations on the staffing levels and hours of operation? Reason: This question was asked to gain a perspective of the employees who work in the booth as to how many people it takes to properly man the area. Results: The responses to this question overwhelmingly stated that this approach was totally unacceptable to the operators and that it does not provide the opportunity for individual companies to represent their own interests. However, many of the providers indicated that an airport sponsored supervisor present at the ground Page 8 transportation booth in each terminal during the hours of operation would be the best solution. This would allow the individual companies to present their services and would provide oversight and proper management of the ground transportation starters. Staffing Level Analysis This section of the staff study tries to draw some conclusions about the staffing levels which will need to be provided under Options 2 and 3. (Option 2 - Airport Authority provided starters and supervisor and Option 3 - Airport Authority provided supervisor and company-provided starters). A review of the information indicates that we have an extremely seasonal demand situation. The statistics show the demand is five times higher during March than October, with significantly decreased demand during the summer. For purposes of this analysis winter and summer are as follows. 1. Winter - November 15 - March 31 (20 weeks) 0800-2400 (16 hours/day) 2. Summer - April 1 - November 15 (32 weeks) 0900-2200 (13 hours/day) Table 1 is a typical staffing level analysis for each of the three options during the winter months by hour of day. Option 1 shows the current staffing level . This information was provided by the ground transportation companies through the survey. It is important to point out that these staffing levels are shown for only one terminal building; however, the financial figures to follow reflect the level of service for both Terminal Unit No. 1 and 2. Option 2 is a recommended staffing level proposed by the Airport staff. The breakdown of how staff would be utilized in Option 2 is shown in Table 1-A. Under Option 2, one person would be a designated starter for the taxicab companies, one for the luxury limousine companies, one for scheduled service, Page 9 and 3 starters would be dedicated to providing service for unscheduled transportation providers because the demand for this service is so high. The luxury limousine starter would most likely be the on-duty supervisor since the demand for this service is the lowest. In addition, the supervisor could be the focal point for additional information service about the airport and points of interest. Option 3 indicates that the Airport would provide one on-duty supervisor of transportation services at each terminal during all hours of operation of the ground transportation center. Table 2 and 2-A reflect the same information as Table 1 and 1-A with the exception that it is for the summer months. Table 1 Starters Per Hour - Winter Time of Day 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Option 1 Current Staffing 2 6 7 7 7 7 7 7 6 6 6 6 6 5 5 5 0 Option 2 Recommended Staffing 3 6 6 6 6 6 6 6 6 6 6 6 6 6 5 5 0 Option 3 Supervisor Staffing 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 0 Table 1-A Option 2 Staffing Explanation Time of Day 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Taxicab Starter 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 0 Luxury Limo Starter 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 0 Schedu-led Service Starter 1 1 .1 1 1 1 1 1 1 1 1 1 1 1 1 1 0 Unscheduled Service Starter 0 3 3 3 3 3 3 3 3 3 3 3 3 3 2 2 0 Totals 3 6 6 6 6 6 6 6 6 6 6 6 6 6 5 5 0 Page 10 The number of hours for providing starter service each day, seven days a week is as follows: Option 1: 95 hours Option 2: 91 hours Includes 16 hours of supervisor pay and 75 hours of starter pay Option 3: 16 hours for a supervisor Table 2 Starters Per Hour - Summer Time of Day 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Option 1 Current Staffing 0 2 2 4 4 4 5 5 5 5 5 5 5 3 0 0 0 Option 2 Recommended Staffing 0 4 4 4 4 4 4 4 4 4 4 4 4 4 0 0 0 Option 3 Supervisor Staffing 0 1 1 1 1 1 1 1 1 1 1 1 1 1 0 0 0 Table 2-A Option 2 Staffing Explanation Time of Day 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Taxicab Starter 0 1 1 1 1 1 1 1 1 1 1 1 1 1 0 0 0 Luxury Limo Starter 0 1 1 1 1 1 1 1 1 1 1 1 1 1 0 0 0 Scheduled Service Starter 0 1 1 1 1 1 1 1 1 1 1 1 1 1 0 0 0 Unscheduled Service Starter 0 1 1 1 1 1 1 1 1 1 1 1 1 1 0 0 0 Totals 0 4 4 4 4 4 4 4 4 4 4 4 4 4 0 0 0 The number of hours for providing starter service each day, seven days a week is as follows: Option 1: 54 hours Option 2: 52 hours Includes 13 hours of supervisor pay and 39 hours of starter pay Option 3: 13 hours Page 11 Winter Option 1: 20 weeks x 95 hours/day x 2 Terminals = 26,600 hours Option 2: 20 weeks x 75 starter hours x 2 Terminals = 21,000 hours 20 weeks x 16 supervisor hours x 2 Terminals = 4,480 hours 25,480 hours Option 3: 20 weeks x 16 supervisor hours x 2 Terminals = 4,480 hours Summer Option 1: 32 weeks x 54 hours/day x 2 Terminals= 24,192 hours Option 2: 32 weeks x 39 starters hours x 2 Terminals = 17,472 hours 32 weeks x 13 supervisor hours x 2 Terminals = 5,824 hours 23,296 hours Option 3: 32 weeks x 13 supervisor hours x 2 Terminals = 5,824 hours Annual Hours Option 1: 50,792 Option 2: Starters 38,472 Supervisor 10,304 48,776 Option 3: 10,304 The costs for providing the starters under each scenario are outlined below. The information on salaries for this option are estimates based on a review of the information received by the ground transportation providers. The wage rates are a weighted average and are fairly reasonable projections of actual costs, although they are not representative of any one company. Page 12 Costs Associated With Option #1. Option 1 identifies a base line of wages expended by all companies under the current scheme. Because it is assumed that the current starters are hourly, seasonal employees, FICA was the only additional expense figured in the calculation. Average Weighted Salary of Starters $ 5.81 FICA Paid by Employer $ 0.43 Total Salary Per Hour $ 6.24 Total Number of Hours Worked 50,792 Total Cost for Option #1 $316,942 Costs Associated With Option #2 Option 2 shows the calculations for the Airport Authority to provide all services. The costs associated with salaries are five full-time supervisors and hourly, seasonal employees to provide starter services. Estimated Salary for Operations Officer $ 20,298 Estimated Benefits $ 7,412 Estimated Total Salary $ 27,710 Total Number of Hours 10,304 Available Hours Per Employee 1 ,816 Number of Officers Needed 5.67 Assume that Existing Manpower 5.00 will assist with coverage Annual Cost of 5 new Operations $138,550 Officers Estimated Salary of Starters $ 6.25 FICA $ 0.47 Page 13 Total Salary Per Hour $ 6.72 Total Hours Required $ 38,472 Estimated Cost for Starters $258,532 Estimated Total Cost for Option 12 $397,082 Additional Costs as Compared to Option #1 $ 80,140 Costs Associated with Option 13 This scenario reviews the financial burden for the addition of full-time supervisor staff only. This cost indicates there is an additional burden of $138,550; however, some of this burden can be relieved by the use of the supervisory staff in other Airport-related functions during non-peak hours. Cost of Five New Operations Officers $138,550 Continued Existing Cost of Company $316,942 Provided Starters Estimated Total Costs for Option 13 $445,492 Additional Costs as Compared to Option #1 $138,550 Page 14 1-\ Comparative Analysis of Options 2 and 3 Each of the options have advantages and disadvantages. This section reviews the features of each option. Option 2: Airport Authority responsible for providing starters and supervision. Advantages 1. More direct control of quality of service. 2. Ability to provide appropriate levels of staffing. 3. Information provided to traveler is potentially more accurate and less confusing. Disadvantages 1. Increased costs to operators which may or may not be passed on to customers. Cost increases for some operators require rate hearings, i .e. taxicabs. 2. Places Airport in position of increased fiduciary responsibility. 3. Removes opportunity for service providers to present their service on a competitive basis. 4. Increases Airport staff support requirements substantially, (financial , training, personnel , etc. ) . 5. Places Airport in position to be accused of favoritism. Option 3: Airport provides supervisory staff over operator-supplied starters. Advantages 1. Reduced costs relative to Option 2. 2. Provides oversight and enforcement while reducing concerns of favoritism. 3. No fiduciary responsibility incurred. Page 15 • 4. Assures quality control of services. 5. Staffing levels are not subject to seasonal fluctuations. Disadvantages 1. Less direct control over starters. 2. Staff increases relative to current situation, but considerably less than Option 2. Recommendations The staff recommends that the concept of providing supervision as outlined in Option 3 be adopted. This recommendation provides supervision at the ground transportation booth and allows the various companies to be represented at the booth. Additionally, electing this option does not preclude the Airport from providing the starter services if this approach is unsuccessful . The second recommendation is that facilities be increased to accommodate the rapid growth which has occurred. This has already begun in T.U. #1 and will be addressed for T.U. #2 during the expansion for Delta Air Lines. Staff also recommends that a call-up system be developed and implemented to make the most efficient use of the terminal curb and available resources. A thorough review of the rates and charges related to ground transportation needs to be conducted. The timing on this is perhaps best staged to coincide with the opening of the parking structure, completion of the roadway system, and the expansion of T.U. #2. An ongoing information gathering process needs to be implemented to further qualify and quantify passenger and vehicle movements related to the ground transportation industry at the Airport. Page 16 REVIEW OF THE LITERATURE Case Studies A. Controlling Ground Transportation Operations Hartsfield Atlanta International Airport By Kenneth E. Minton, Properties Manager Dept. of Aviation, Atlanta Airport January 30, 1989 1. Taxi/starters work for Department of Aviation. 2. Using gross receipts formula to recoup costs. Graduated fee structure for start-up. 1989 = 7%, 1990 = 8%, 1991 = 9%, working toward 10%. B. Revenue, Legal and Operational Issues of Off-Airport Ground Transportation Services. Metropolitan Knoxville Airport. 1. Explains the three year long battle over imposing gross receipt fees on non-tenant rental car operators. 2. Provides some very good ideas in the form of resolutions/ordinances on dealing with rental cars, taxicabs, and courtesy cars. C. Legal Considerations for Regulating Non-Tenant Landside Transportation. Ronald B. Dent Yellowstone Airport Manager Helena, Montana February, 1985 This paper is an excellent summary of the legal aspects to be considered in regulating ground transportation services. The paper covers in some detail the following major issues as they relate to the regulation of non- tenant landside transportation: 1. The proprietary function 2. Exclusive contracts 3. Public use 4. Interstate Commerce 5. 14th Amendment Guarantees 6. Sherman Antitrust Act 7. Parker Doctrine "home rule chapter" Page 17 The summary and conclusion statements of this paper are quoted below. The preceding chapters have been an examination of the legal precedents which form the body of law regulating the actions of the airport in respect to its dealings with non- tenant ground transportation operators. In order to be useful , however, it is necessary to distill this information into a few basic tenets. The airport operator, in managing its facility, does so in a proprietary capacity as opposed to its governmental function. The airport has a right and an obligation to operate its facility efficiently and to control access to its property in the interests of the safety and convenience of the traveling public. To accomplish this, the airport may enter into exclusive contracts with selected ground transportation operators and regulate the access and restrict solicitation of non-tenant firms. Prior to restricting non-tenant operators, the airport must establish whether or not its roadway is dedicated to the public use, either by a prescribed manner of dedication or common law dedication. If the roadway is not dedicated to the public use, the airport's right to restrict access is much the same as a private landowner. However, an airport may not deny access in a manner deemed to place undue burdens upon an operator engaged in interstate commerce. In order to deny access to or to unduly restrict a ground transportation operator engaged in interstate commerce, the airport must show that it is acting under a "clearly articulated and affirmatively expressed" state policy which is "actively supervised" by the state itself (Parker v. Brown, supra). Although an airport may not deny access to a ground transportation operator engaged in interstate commerce or an operator which is subject to pre-arranged transportation reservations, the airport may require the operator to obtain a permit and pay a. fee as long as the fee is reasonable and not enacted as an exclusionary device. In establishing such regulations, the airport may differentiate between rental car vans, hotel/motel courtesy vans , etc. without violating 14th Amendment guarantees. In general , when establishing restrictive regulations and establishing fee schedules, in addition to being in compliance with federal and state laws, the airport must be able to show that its actions are reasonable and prudent. Each airport must tailor its specific regulatory actions according to its own particular set of circumstances. Page 18 Industry Reports A. 5th Draft Edition - AOCI Ground Transportation Controls and Charges Task Force Report. This report is still in draft form and under legal review prior to final publication. It was released for our use and review with the strict understanding that it was for internal airport use and not to be released to the public. The task force report is quite comprehensive. It offers an overview of the current situation , suggests alternatives, and reviews the legal considerations. The report would serve well as a guide to structuring a comprehensive ground transportation program. Policies, Procedures and Ordinances A review of the work of other airports in regulating ground transportation operations was conducted. The documents provided useful concepts which will be considered in future Salt Lake City ordinance reviews. The documents reviewed are: A. Memphis-Shelby County Airport Authority Commercial Ground Transportation Policy B. Metropolitan Nashville Airport Authority Commercial Ground Transportation Policy. C. General Mitchell Field, County Ordinance Relating to Commercial Ground Transportation Services. D. Gulf Port - Biloxi Regional Airport Authority Resolution establishing regulations and fees for taxis and limousines. E. Ordinance 83-1 ; Requirements for Taxicabs Operating at the Charleston International Airport. F. Rules and Regulations for the Operation of Taxicabs , Limousines, Motor Buses, Charter and Courtesy Vehicles at McGhee Tyson Airport. G. Resolution 10-81 , Rules and Regulations Regarding Ground Transportation at Spokane International Airport. Page 19 `1. H. Ground Transportation Operating Procedures, Tampa International Airport September 3, 1987. 1. Regulate by length of vehicle. 2. Taxicabs operate under a license agreement with airport. Define rights and obligations. 3. Grants a permit and develops a revocation process. Page 20